Earnings call transcript: Thai Union Q3 2025 misses revenue forecast, stock dips

Thai Union Group PCL reported its third-quarter earnings for 2025, revealing a mixed financial performance that saw the company miss revenue forecasts but exceed expectations in other areas. The company’s revenue came in at 34.5 billion USD, falling short of the anticipated 36.16 billion USD, marking a 4.59% revenue surprise. Earnings per share (EPS) were reported at 0.34 USD. In response, the company’s stock experienced a slight decline, closing at 13.4 USD, which is a 2.29% increase from its pre-earnings price but down 1.46% from the previous close.

Key Takeaways

• Thai Union’s Q3 revenue fell short of expectations by 4.59%.
• The company’s stock rose by 2.29% post-earnings but dropped 1.46% compared to the last close.
• Strong performance in the feed and pet care segments contributed positively.
• The company revised its full-year sales outlook to a decline of 2% to 4%.

Company Performance

Thai Union’s third-quarter performance showed a decrease in sales by 1%, although there was an organic growth of 1%. The gross margin stood at 19%, and the adjusted net profit was 1.5 billion baht, a 7.2% decline year-over-year. Despite challenges, the feed business reached an all-time high, and the pet care segment experienced a 10% volume growth.

Financial Highlights

• Revenue: 34.5 billion USD, down from forecasted 36.16 billion USD
• Earnings per share: 0.34 USD
• Gross Margin: 19%
• Adjusted Net Profit: 1.5 billion baht, down 7.2% YoY
• Free Cash Flow: 4.1 billion baht over nine months

Earnings vs. Forecast

Thai Union’s actual revenue was 34.5 billion USD, compared to the forecast of 36.16 billion USD, resulting in a 4.59% negative surprise. The EPS of 0.34 USD aligned with expectations, suggesting that while revenue lagged, profitability metrics remained stable.

Market Reaction

Following the earnings release, Thai Union’s stock price increased by 2.29% during market hours but closed down 1.46% from the previous trading session. The stock remains within its 52-week range, with a high of 14.9 USD and a low of 8.6 USD, indicating moderate investor confidence amidst the mixed results.

Outlook & Guidance

Thai Union revised its full-year 2025 sales outlook to a decline of 2% to 4%, with a gross profit margin target of 18.5% to 19.5%. The company plans capital expenditures between 3.5 to 4 billion baht and continues its dividend policy of paying at least 50% twice a year.

Executive Commentary

"We are back to organic growth this quarter," stated Kulodawik Ghanier, Group CFO, emphasizing the positive trajectory despite revenue challenges. CEO Kuntirapong Jangsiri highlighted, "The feed business is doing extremely well," reflecting the segment’s record performance.

Risks and Challenges

• Rising tuna prices, which increased by 10% year-on-year, could pressure margins.
• Shrimp prices are facing slight inflation, potentially impacting cost structures.
• Increased net debt from 53 billion to 59 billion baht could limit financial flexibility.
• The depreciating USD against the Thai baht by 7.2% may affect export competitiveness.
• Macro-economic uncertainties and market saturation remain potential hurdles.

Q&A

The earnings call did not detail specific questions and answers, but management expressed satisfaction with the quarter’s performance and highlighted ongoing collaborations, notably with Mitsubishi.

Full transcript - Thai Union Group PCL (TU) Q3 2025:

Malanyal Jadulong, MC/Moderator, Thai Union: Good afternoon, everyone. Welcome to Thai Union’s Analyst Meeting for the 2025 Results Announcement. My name is Malanyal Jadulong, and I will be your MC today. First of all, I would like to introduce our key speakers. First, Kuntirapong Jangsiri, President and CEO.

Kulodawik Ghanier, our Group CFO Kunpinjada Seng Sakhdarhan, Head of Investor Relations. Today’s session will take around one point five hours, including Q and A session and followed by a ten minute break before we begin the TFM session. Without further ado, I would like to invite Kunti Raphong to begin the presentation.

Kuntirapong Jangsiri, President and CEO, Thai Union: Hello to all of the analysts and the financial institutions who are joining us today. Today, we would like to share the results for the third quarter for this year. And we’d like to tell you that overall, it has been a quarter that the management is quite satisfied with, even though compared to last year, it may be a bit lower than the results from that period. But compared to the last quarter, we are seeing signs of development in a positive trend. And this is especially true for the revenue.

It might have gone down by one percent, but if we do not include the foreign exchange impact, and you can see that there is growth of 1%. And this is the first time that we’ve seen growth in terms of organic growth. And as for the margin, this is one thing that I believe is something that we continue to do well in. It’s at about 19%. The transformation program that we have in place are going according to plan, whether it’s our sonar project or a tailwind project.

Aside from that, as we mentioned last time, the cost for sonar, the sonar project, will end at the end of this year, and we will see a reduction in the fees increasingly in the next year. And as for Mitsubishi, their general offer, you probably all know that the program that they had launched in the two past months, it was unsuccessful, mostly due to the price that was offered. It was not as appealing as we had hoped for the shareholders to want to sell their shares to Mitsubishi. So far today, I have no other special updates for you. And, of course, this program, they continue to pursue it, but the timing, we have no clarity at the moment there.

They are working internally on this, and they need to hold discussions in their with within their board. And what’s important is that it is an ongoing process. On the next page, you will see we take a look at the numbers. In the third quarter, our sales is at billion, and this is mostly growth from the ambient segment, especially in Europe, which has led to sales, increasing sales for us. And the gross margin is at 19%.

And overall, the business that has led has had great performance is the feed business. And this is a business that has a high growth rate in our business. At the moment, has reached an all time high, whether it’s the margin, the net profit or other figures. And this is a business where we are seeing strong performance results and the trend continues upward. It’s a bright future for the business, and I’m sure that Taiyou and FIBA will provide more details for you.

It’s another growth driver. We’re also looking at Indonesia, which we have invested in already. And as for the pet business pet food business, it is also very strong even though the margin might seem to have dropped a bit, but it is still a business that has created sales revenue for us, profit for us. If you look at the volume growth, even though it has not been according to our plan, it is still a double digit growth, and we continue to see strong growth in that area. If we take a look at the adjusted operating profit, you can see that it is at billion, a little less from last year.

And the adjusted net profit is Th1.5 billion, 7.2 percent drop year on year. But overall, I believe that we are quite satisfied to a certain degree. We have been successful in our management efforts, and we have been facing a lot of volatility, whether it’s the tariffs or other impacts. On the next page, you can see the net profit that has softened compared to the adjusted. It’s gone down by 7%.

When we compare it to the reported net profit, it’s gone down by 6.8%. And this is mostly due to the drop in the operating profit. And we have a forex gain that has helped a bit as as well as other factors. There isn’t anything that I you need to be concerned about or anything that is very significant. And next, we take a look at the solar project.

The first nine months, we have achieved savings at 12,000,000 US dollars compared to our target for the whole year at 15,000,000 US dollars. And this is something that we are confident to say that we are delivering the savings that we target as our target. The Project Tailwind, the OP uplift, we have achieved to USD 14,000,000 at the moment. And so Project Tailwind is also in line with the plan that we put in place, so there is nothing to be concerned about here. The Tailwind project will continue on until the middle of next year.

It will continue on until 2027 in April, and we still have time, more than twelve months, for this to play out. Aside from this, the cost reset program for Thai Union is something that we have put in place that we are taking seriously as cost reduction, it’s SG and A, and it also involves CapEx control. And this is what we are doing to make our balance sheet and our cost competitiveness improve continuously. And this is what our management team is giving putting placing great emphasis on. And on the next page, you can see that in details, whether it’s the general offer for Mitsubishi, even though it was unsuccessful.

Nonetheless, our collaboration continues on with Mitsubishi, whether it’s through frozen shrimp, chilled salmon, pet food, and so on, our teams continue to work together. Aside from that, I would like to share other updates with you. Our ratings are maintained at A plus, and this demonstrates that we have issued bonds, 1,700,000,000.0. It was very successful. Interest rate that we have received is in a level that is quite low and is a satisfactory low level.

In addition to this, we have also received various awards, multiple awards, whether it’s the Adam Smith Award or Asia. And most recently, we have to say thank you to the analyst association for voting for us. And they’re going to announce it tomorrow, but they said that we could share this in the meeting today. We’re allowed to share it. We have more than last year.

We have one more award that we got last year, which was outstanding CEO and outstanding CFO. We also have the outstanding IR team. So we would like to thank the analysts once again for the confidence that you have in us. We’ve now also received many awards as well. They received the Innovative Company Awards from Zed, and they also received the top senior CEO from the Econ Mass event.

And this is another award that, again, was voted on by financial institutions. And lastly, what I’d like to share with you for my part is about the BlueFine ads. We mentioned that we launched this and the details about the interest you can see, whether it’s 1.1% for four years, 2.2% for seven years and 2.40.6% for ten years. And this is something that we are very happy with. And our goal to have blue financing of more than 75% by the year 2025, we have achieved more than our target.

It’s more than 80%. And in the next two years, we expect to have a refinancing loan that will be Blue Finance. And so that is what I would like to share with all of you today. And in the details, Ludovic will be the one to provide more information for you. Thank you.

Kulodawik Ghanier, Group CFO, Thai Union: Thank you, Contra Prong. I’m very happy to be with you this afternoon. As usual, we will start with the five years picture. So here are a few things, I think, for you to keep in mind, and I think Contra Prong mentioned this one. Very happy to see that we get back to organic growth this quarter.

In Q1 and Q2, our organic growth was declining a bit, but here, we are back to growth. The GP margin, also 19%. Even if it is declining a bit compared to last year, I think it’s moving in the right direction. Since the beginning of the year, the gross profit margin is always very close to 19%, okay? And I think this is a very strong achievement, especially in this time where we have so much pressure coming from the USD or also coming from The U.

S. Tariffs. So overall, very happy with this picture. Just to try to focus on the top line. So here, we have in dark blue the organic growth and light blue, the reported growth, the FX translation, sorry.

So here, overall, our top line looks decreasing by 1%. But if you remove the FX again this quarter, the FX impact is negative, by 2.8%, then the organic growth is 1.8 it’s not yet huge. Still, we are very happy, and I think it’s a very positive development. One thing also I want to draw your attention to is on the volume, okay? We have a 3% or 4% volume growth in Q3, mostly coming from the feed business.

As Conteer Pong mentioned, our feed business is doing extremely well. As usual, you have TFM analyst meeting right after the one from TU. Please stay. It’s a very booming business for the time being. Just a quick overview by category.

In terms of ambience, the reported sales declining by 3.8%, mostly coming from the FX. The volume are almost flat, but then we are facing also softer demand from The U. S. Profitable retailers. But in Europe, we have been increasing our volumes.

One thing I want you to keep in mind is right now, we have many customers in The U. S. They are still in the wait and see attitude, okay? There is a decision from the Supreme Court to come soon. We don’t have a lot of hope behind this one yet.

Some people are waiting what is happening. And also, I’m sure you heard at the beginning of last week that President Trump negotiating some new trade agreement with Thailand, and there is some discussion potentially to remove tuna from the 19% tariff. It’s not confirmed. At this stage, it’s only an MOU. It will have to be confirmed.

So we do remain very careful. But of course, our customers, they know that, okay? So when they know that, there is so many uncertainties. Sometimes, they just prefer to wait and see. Opposite situation for the frozen.

The frozen sales here are growing by 5%. Kun Kwon, we elaborate, but I think overall, we have many segments in the frozen business who are doing well. And especially, the gross profit margin is very attractive for this quarter within the frozen pet care. Pet care also is growing by 6% in Taibat. If we were considering the USD sales, then the growth would be more 13% to 14%.

So again, very happy with the Pet Care development over the quarters. This is really growing back to growth. And you know we want these BU to deliver much more in terms of growth compared to the others. So I think this is also a positive sign for you. In terms of raw material prices, we have been facing a bit of inflation, okay?

You can see the tuna prices went up to $1,500.05 $50 increasing by 10% compared to last year and increasing by 2.6% quarter on quarter. That was expected. We told you at the end of Q2, we’re expecting a bit of inflation to come in Q3 and also in Q4. But overall, no surprise on this one, but still a bit of inflation compared to last year. In terms of shrimps, also, are facing some inflation, 153 Taibat for one kilogram.

So here, again, a bit of pressure, but nothing exceptional on the shrimps. There is one anomaly here, which is the salmon price. The salmon price at NOK 69 is extremely low, okay? And of course, this is positive for us. We have different businesses which are exposed to the salmon price.

And here, are fully benefiting from this one, especially in the frozen business. So overall, no big warning on this one. On the FX, we are kind of the same situation since the beginning of the year. We have been facing some constant appreciation of the Thai baht versus USD and all the other currencies. If you look year on year, the USD has been depreciating by 7.2% versus Thai baht.

So this is massive. The euro by 1.3%, so this is more reasonable. The GBP by 3.7% and then the yen by 6%, okay? So we have been facing all along the year some very significant changes coming from the FX. Of course, this is penalizing us for our top line and also for our bottom line.

However, for you to keep in mind, we are using some very conservative hedging strategies, okay? So the vast majority of transactions are being hedged. So we are not fully impacted by that. Our hedging is preventing us from losing too much on this part. Quick overview on the ratio.

I think, first of all, I will talk about the inventories and the net working capital. Here, I think the situation is improving. Overall, our inventory stands at 5,000,000,000 baht or one hundred fifty two days. It’s decreasing a bit compared to the previous quarters. It’s moving in right direction.

The net working capital also stands at one hundred thirty three days. And I think overall, we see some gradual improvement. The idea for us is to continue in that direction and to reduce further in the next quarters. In terms of net debt to EBITDA, you have seen some increase. We had 4.8.

We told you because of the share buyback, also because in Q4, we did convert the PERP into traditional funding, we told you that we were expecting a growth to happen, okay? And we told you also that in H2, we see some kind of plateau, okay, some plateau around this level of 4.7%, 4.8%. We told you also that next year, the priority would be to be put on deleveraging the company, no more share buyback and really generating some cash flow and improving this net debt to EBITDA to get back to our target range, which is 3.5 to four as quickly as possible. In terms of net debt to equity, we are at 1.1 in the high range of our guidance, again, mostly explained by the share buyback program. But overall, very strong balance sheet.

I think there is no concern on that. Quick overview of our net debt. Our net debt has been increasing in Q3, so from Baa 53,000,000,000 at the beginning of the year to Baa 59,000,000,000. The key drivers between the two, we are quite happy. We’re getting our free cash flow generation.

We have Baa 4,100,000,000.0 of free cash flow over nine months. The EBITDA is exceeding slightly exceeding CHF 9,000,000,000. This is okay. The net working capital, mostly because of the raw material increase, has been increasing by CHF 2,000,000,000. The CapEx are fully in line with our guidance at 2,700,000,000.0.

But overall, we told you we are not happy with our cash flow generation in Q1. Now since Q2 and also in Q3, the situation has been really improving, okay? And we do expect also to be in the same direction in Q4. Of course, we have been doing some investment and some financing activities in over the nine months. We did pay for the dividend, and we had also the share buyback for 4,300,000,000.0 baht.

So these are the key drivers. One thing also I want to highlight here is the cost of debt, okay? The cost of debt last year on average was around 3.65% and now moving this year to 3.45%. So I think also it’s moving in the right direction. Quick focus also, and ConturaCom mentioned this one, we have been doing a lot of refinancing.

At the beginning of the year, we told you we have a very heavy agenda in terms of refinancing in 2025. We told you at the beginning of the year, did a 5,000,000,000 baht with ADB. You know already this one. So here, we show you what we did in Q3. We did a blue refinancing by 19,000,000,000 baht.

And we did a combination this time of loans and bonds, okay? So baht 10,000,000,000 for the loans and baht 9,000,000,000 for the bonds. Again, we are doing blue bonds. We are doing SLL. We continue doing the same thing and scaling up compared to what we’ve been doing in the past.

We were very positively surprised with, again, the success of these transactions. Now we have quite a good track record from all the banks and a lot of excitement. We can see here we are exactly where they want to invest, okay? So when we do launch this kind of project, we can deliver a lot of success. And finally, the amount we were able to refinance was higher compared to our expectation, okay?

And the impact from this, we do expect there would be some positive impact, mostly next year, in our finance costs. And we do expect our finance costs to be more in the range of 3% in the next years to come, okay? Again, a lot of credit to our treasury team, Young Jut, who is here also, a lot of success on this one, and we want to continue in his direction. We do really have a lot of recognition from that, from all the bankers. There are some bankers here in the room today, very strong recognition from that, and I think we want to continue in that direction.

Another good news I wanted to share with you is regarding to the Pillar two, the minimum tax. At the beginning of the year, if you remember, we told you a few things. We told you, first of all, the key challenge for us is Thailand, okay? In Thailand, we are exporting 90% of our product. We are benefiting from very positive and very favorable tax scheme, okay?

You know the whole idea behind this Pillar two is to get to a minimum tax rate of 15%. In Thailand, we are quite far away from this rate. So at the beginning of the year, we told you we’re expecting the impact to be around $250,000,000, $250,000,000 bad for the whole year, okay? We have been revising down in Q2 and again in Q3, okay? In Q2, we told you between 100,000,000 and 150,000,000.

Now it would be very likely slightly below 100 okay? The key explanation from that, there are multiple explanations. The first one is our profit is a bit lower compared to expectation, which is not a good reason. But we have to acknowledge that overall, our performance is not in line with our guidance. That’s point number one.

Point number two is to say also the tax expense is a bit higher compared to expectation. We have, in some businesses in Thailand, some BOI coming to maturity, coming to expiration. And I think we did not really budget in the right way for that. And this is why our ETR, our effective tax rate, is a bit higher compared to expectations. So lower profit and ETR, which is a bit higher.

And this is why we do believe now for the full year, the impact will be more in the range of £100,000,000 okay? For your information, this is a very dynamic calculation. It’s a very technical one, the first time we are doing this. So we miss a bit of background, okay? So it’s a very dynamic calculation.

We are also considering a few options for the end of the year where potentially we could reduce compared to the CHF 100,000,000 impact this impact, but it’s still a point we are discussing right now with our advisers and auditors. But the one thing for you to keep in mind is the impact will be lower compared to our initial expectation. I think this is very positive news. How sustainable will it be for ’26 and the years after? I would expect the impact for the next years to come to increase.

Why? Because we do expect our profit in Thailand to increase, and we do expect that we’ll benefit again from all the BOI incentive schemes, okay? So don’t take it for granted that forever it will be this amount of 100,000,000. But I think it’s a very positive development. And now we’ll hand over to Kun Kwon for the view by BU.

Malanyal Jadulong, MC/Moderator, Thai Union: Thank you, Kulodo.

Kuntirapong Jangsiri, President and CEO, Thai Union: Everyone. I would like to update you on our business category. You can see that in the nine months that have passed this year, we have noted about. Altogether, you can see it’s over 90,000,000,000 Thai baht and the sales contribution for the ambient to the value added. Have increased contribution first from value added in from the pig care.

The nine months, ambient has a group of margin at 20.3%, gross profit margin, and our guidance was 20% to 22%. Gross and business is 12.7, 12.7% gross profit margin. For pet care, it’s at 25.3% for gross profit margin, and the range was at 23% to 25%. And for the value added business, for the nine months, it’s at 26.6 gross profit margin, and we were targeting more than 25%. And on the next page, you can see the third quarter for the ambient business.

For the canned goods, our sales have gone down compared to the last the quarter since the year before. This is because of the FX translation as Lou explained earlier. If we take a look at the sales volume, you can see that the sales have gone down a little bit by 0.6% year on year. This decline, the main reason is because of the demand in The US for OEM customers, and the second reason is for the high baseline in The Middle East region. In the third quarter for 2024, it was a high baseline for us.

This also includes the third quarter and fourth September. This year, we have a postponement in shipments from OEM customers in The Middle East. Nonetheless, if we take a look at the OEM in Europe, we can see that in Europe, the demand has increased, especially from Germany. And as for our branded business, our branded customers, the volume remains solid, and this reflects our marketing and promotion that we continue to implement, and we informed you of that earlier. The gross profit margin is at 19.4%, down 0.7%.

And the main reason for this is the cost that we have absorbed in terms of The US tariff and the pricing, we aren’t able to pass through 100% just yet, so that’s why we have an impact in this quarter. On the next page, the nine months for the ambient business, we have a drop in the sales. You can see 7.3% drop year on year, and this is because of the FX impact. And we have a sales volume that has gone down by about 3%. The main reason is because of the OEM customers who are waiting to see due to the uncertainty of The US tariffs in the past period.

They were waiting to see what would happen, and the sales volume in The US has gone down. This is offsetting some of the offset by the demand increase in Europe. And the gross profit margin is still in the range that we have set with set 20.3% for the past nine months. And the presentation that we provided in the past, and then our marketing and promotion portion. On the right hand side, you can see the promotion that we have had, whether it’s with Bettina Buren in France or Mare Blue in Italy and Chicken of the Sea in The U.

S. On the next page, our frozen business, it is this is a combination of many segments, and there are four of them. The first is the frozen shrimp, and the second is the chilled salmon. The third is the beef, and the last is others. And the sales in the third quarter were at 10,334,000,000.000, increasing 5% year on year, mostly due to the sales volume.

As our executives mentioned earlier, the sales revenue and the volume have increased, and this is due to the TFM feed. They have strong performance results, and they have recorded an all time high in their sales volume and their sales value. And we are still seeing increasing demand for the frozen shrimp in The U. S. As well.

If we take a look at the gross gross profit margin for us in this quarter is at 13.8%. It has increased 1.8% year on year. And this is mostly due to the feed business that we mentioned earlier. If we take a look at the chilled business, the chilled salmon, it also has strong performance. If we take a look at the performance that does not include the food, you can see that the gross profit margin for the frozen business and the chilled segment is still favorable, very favorable.

And for the nine past nine months, where the frozen business has gone down by about 5% year on year, and this is mostly due to the customer OEM customers in The US because the price of shrimp in the past nine months has increased significantly by about 12.4% year on year. And if we take a look at the branded products, we are seeing an increase in the sales volume. The gross profit margin is at 12.7% for the first nine months of this year. And this is an all time high for the gross profit margin for the past nine months for the frozen business unit, and this is mostly driven by the Feed and the Chill business. Next, the Head Care in the third quarter Head Care business in the third quarter has sales at 4,624,000,000.000 increasing 6.2% year on year despite the impact from the foreign exchange.

And in terms of the sales volume, you can see that the pet care business has done very, very well at about 10% year on year. And this increase is due to The U. S. Market and also the market in Europe as well. In terms of the European market, if we track the past period, it’s there has been a drop in pet care, but ITC has a strategy to expand its sales in Europe.

And this quarter, they have been able to achieve the strategy that they put in place. Looking at the product mix, you can see that for the third quarter, the premium product mix has increased compared to the same period last year, up to 55.1%. And this is another key driver for the pet care revenue increase. The gross profit margin is at 25.8% for the third quarter. This is more than the target that was set at 23% to 25%.

Despite the drop year on year by 4.8%, we’d like you to know that in the third quarter of last year, there was a benefit for the bacteria business from the inventory reversal. If we exclude this inventory reversal, then the gross profit margin declined by only 3.1%, and this is due to the pet care business unit having to provide support to their customers because of the tariff impact. As for the past nine months for the pet care business, we have seen an increase of 3.3% in the first nine months, thanks to increase in the volume by 11% year on year. And this is driving this is driven by the increased demand in The U. S, while the gross profit margin is also very strong at 25.3%.

If we take a look at the last business unit, which is our value added business, you can see that the sales is 2,296,000,000.000, dropping 16% year on year. The main element for the value added business, there are four main elements. The first is the value added products, which are the ambient and frozen, and the second is packaging. The third is our ingredients, and the fourth is byproducts, and the last is others. In the last quarter, the sales that declined for the value added category are from the value added products in The US for the most part.

If we take a look at the European market, we can see an improvement in terms of the value added products. Nonetheless, if we take a look at packaging, the sales have gone down, and this is in line with the ambient category. The sales volume for the value added products went down by 10%, and this is mostly due to the byproducts and the packaging and value added product segments. And our gross profit margin has improved a bit compared to the same period in last year, up to 25.6%. In the past nine months, with the value added business, the sales have declined by about 10% year on year.

And at the same time, the volume has increased a bit by about 1%. The reason for the drop is every segment except for the ingredient business, and the gross profit margin is still in a positive range of 26.6%. And next, I would like to pass things back to Mr. Teripon to provide the outlook for 2025. You.

Full year 2025 outlook, there isn’t much change to sales growth. We may have to adjust it downwards a little bit from before we gave guidance of minus two minus one to minus 2%. But at this moment, we are looking at minus 5%, so we want to adjust it to minus two to minus 4%. We expect an improvement in the fourth quarter. And the gross profit margin is remains the same at 18.5 to 19.5%, as G and A is also the same at 13.5 to 14.5%.

We might see a a bit increase in this, but it won’t be that different.

Kulodawik Ghanier, Group CFO, Thai Union: There

Kuntirapong Jangsiri, President and CEO, Thai Union: isn’t anything that’s exceptional to worry about. And CapEx is at 3.5 to 4,000,000,000 Taipei. And the effective interest rate, there is nothing no change, and the dividend policy remains the same. We will continue to pay at least 50% twice a year. And the presentation has come to an end.

So if you have any questions, we welcome them. I think what’s important and remember is what we’re an indicator is the gross profit margin. If this is if it’s improving, this is because it’s the COGS reduction that we’re working on. It’s the SG and A. We’ll see if it if the lift decreased from 14 to 13.5 or not.

We have to monitor this as well. I believe that there are indicators that can provide clarity in the past two two to three years, if we had not taken this action, our margin would not would probably not have improved because of inflation, which has increased significantly. And in some places, the currency is at the core, like in Ghana. In Ghana, if we had a stable forex, but it’s gone down by 10%, remember, but their forex has gone up and their money continues to appreciate by 40%. And this is something that exceeded all of our expectations.

So there are so many other factors at play, but overall, we can see there has been a a drop for us, a lowering for us. And the ambient factories are there’s a standardization. We’ve we’ve been we have them all aligned under one line. Rather than everyone doing their own things, we have a more standardized procedure. If there are no other questions, then we would like to thank you all for your interest.

And we hope that we will continue to receive your support, not just your votes for the awards, but it provide us general support as well. Thank you so much.

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