MK Restaurant Group PCL (M) 1Q2019 Presentation Results May 2019 - PowerPoint PPT Presentation

Company Presentation MK Restaurant Group PCL (“M”) 1Q2019 Presentation Results May 2019

Agenda Company Overview 1Q2019 Key Financial Highlights Business Update 1

Business Structure MK Restaurant Group Public Company Limited (M) MK Suki, MK Gold and MK Live restaurants Thai restaurants – Na Siam and Le Siam Japanese restaurants – Miyazaki and Hakata Others – Le Petit, MK Harvest, Bizzy Box Overseas franchise 100% 100% 100% 49.75% MK Service MK Interfood International Food M-Senko Logistics Training Center Co.,Ltd. Supply Co.,Ltd. Co.,Ltd. Co.,Ltd.  Yayoi Japanese  Provide training services  Food manufacturer &  Provide logistics & Restaurants  Registered Capital: distributor warehouse services  Registered Capital: 35 MB  Registered Capital:  Registered Capital: 400 MB 280 MB 1,300 MB 50% 12% 100% Mark One Plenus & MK Pte. Innovation Center Plenus MK Co.,Ltd. Ltd. Co.,Ltd.  MK Suki Restaurants  Restaurants in  Research & development Singapore in Japan  Registered Capital:  Registered Capital:  Registered Capital: 60 MB 2 JPY 250 million SGD12.5 Million

Restaurant Outlets in Thailand Type of Business Restaurants Brand No. of Outlets Suki Restaurant MK 441 7 MK Gold MK Live 4 Japanese Restaurant 188 Yayoi Miyazaki 26 Hakata 4 Thai Restaurant 1 Na Siam 3 Le Siam Others 3 Le Petit 6 Bizzy Box 1 Harvest 3 Remark: Data as of Mar 2019

Dominant Position in Chained Restaurant Industry Leader in chained restaurant industry with nationwide branches coverage 452 Extensive Coverage Nationwide 448 435 424 419 Branches North 248 246 55% 235 225 MK / Gold / Live 24 222 Yayoi 6 North East MK / Gold / Live 61 West Yayoi 18 MK / Gold / Live 19 Yayoi 7 202 204 197 199 200 45% East MK / Gold / Live 49 Central Yayoi 20 MK / Gold / Live 44 Yayoi 16 2015 2016 2017 2018 1Q19 BKK & Greater BKK MK / Gold / Live 204 Bangkok & Metropolitan area Provincial area Yayoi 108 188 184 165 158 140 80 78 South 68 43% 59 MK / Gold / Live 51 Yayoi 13 51 Vietnam Japan Singapore an Japan an 57% 106 108 99 97 89 MK 35 Yayoi 8 MK 7 Malaysia Lao PDR 2015 2016 2017 2018 1Q19 an Bangkok & Metropolitan area Provincial area 4 Yayoi 1 MK 2 / Miyazaki 1

Same-Store Sales Growth In 1Q2019, same-store sales growth for MK and Yayoi were 2% and flat respectively compared to the previous year. 5% 3% 3% 2% 2% 0% 0% 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 -1% -3% 8% 7% 3% 1% 1% 0% 0% 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 -1% -4% 5

Agenda Company Overview 1Q2019 Key Financial Highlights Business Update 6

Total Revenues and Net Profit Million Baht Total Revenues Net Profit 17,234 16,458 15,498 14,957 14,923 4,456 4,164 2,425 2,574 2,100 2,042 1,856 710 632 2014 2015 2016 2017 2018 1Q18 1Q19 %YoY Growth 2014 2015 2016 2017 2018 1Q19 Total Revenues 6% 0% 4% 6% 5% 7% Net Profit 0% -9% 13% 15% 6% 12% 7

Revenues Growth In 1Q2019, revenues from sales & services grew up 7% compared to the prior year due primarily to the new branch expansion as well as same-store sale growth. Revenues from Sales and Services Revenue Contribution THB Million Others, 2% 16,770 14,492 14,478 15,146 16,073 Yayoi, 19% +7% YoY 4,352 4,049 MK, 79% 2014 2015 2016 2017 2018 1Q18 1Q19 Gross Profit THB Million 68.4% 68.5% 67.8% 68.4% 67.3% 65.6% 65.9% 14,000 11,475 10,899 60% 12,000 10,193 9,507 9,534 50% 10,000 40% 8,000 +7% YoY 30% 6,000 2,979 2,773 4,000 20% 2,000 10% - 0% 2014 2015 2016 2017 2018 1Q18 1Q19 8

SG&A Expenses In 1Q2019, SG&A increased 5% YoY compared to the prior year primarily due to the decrease of labor cost, depreciation and marketing expenses. SG&A 1Q2019 SG&A Expenses Breakdown THB Million 51% 51% 51% 50% 51% 50% 12,000 50% Others, 50% 14% 10,000 8,806 8,299 7,942 Depreciation, 7% 40% 7,660 7,428 8,000 Utilities, 7% Personel, 30% 6,000 52% +5% YoY 20% 4,000 Rental, 2,218 2,114 20% 10% 2,000 - 0% 2014 2015 2016 2017 2018 1Q18 1Q19 9

EBITDA & Net Profit In 1Q2019, EBITDA & Net Profit grew 8% and 12% YoY respectively compared to the previous year EBITDA THB Million 23.3% 23.8% 23.6% 6,000 22.0% 22.9% 22.4% 25% 21.0% 5,000 3,952 3,840 20% 3,468 3,290 4,000 3,139 15% 8% YoY 3,000 10% 2,000 1,062 982 5% 1,000 - 0% 2014 2015 2016 2017 2018 1Q18 1Q19 Net Profit THB Million 15.9% 14.9% 15.2% 4,000 14.7% 16% 13.7% 13.5% 3,500 12.4% 14% 2,574 3,000 2,425 12% 2,100 2,042 2,500 1,856 10% +12% YoY 2,000 8% 1,500 6% 710 632 1,000 4% 500 2% - 0% 2014 2015 2016 2017 2018 1Q18 1Q19 10

Financial Ratio Liquidity is at a comfortable level as well as strong capital base to support growth Current Ratio D/E Ratio 0.21 5.6 25,000 0.20 0.16 20,000 4.2 14,176 14,885 0.15 15,000 0.10 10,000 2,998 2,411 0.05 5,000 - - 31-Dec-18 31-Mar-19 Total Liabilities Shareholders's Equity D/E 31-Dec-18 31-Mar-19 ROA (%) ROE (%) 18.4% 18.1% 15.4% 15.7% 31-Dec-18 31-Mar-19 31-Dec-18 31-Mar-19 11

Agenda Company Overview 1Q2019 Key Financial Highlights Business Update 12

Outlet Expansion Plan Continued expansion strategy with shopping complexes, modern trade stores and community malls covering nationwide 20 20 Plan No. of New 10 outlets in 2019 MK Yayoi Others 4 4 No. of New 3 outlets opened in 1Q2019 MK Yayoi Others 13

Marketing Campaign in 1Q2019 – MK 14

Marketing Campaign in 1Q2019 – MK 15

Marketing Campaign in 1Q2019 – Yayoi 16

Marketing Campaign in 1Q2019 – Yayoi 17

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