ICHI targets sales of 6.7 billion baht Presenting “Tea that cares you the most” concept and Marching on CLMV markets

26 March 2018

"Ichitan" targets 2018 revenue on 6.7 billion baht, has strategy adjusted to align new consumption trends by rushing on expanding RTD tea with coconut jelly production line. 5 ICHI’s mainstream products cut down sugar content and granted the healthier choice logo in order to meet consumers’ demands and reduce a tax burden. The export market is bright & shines, aiming more on CLMV markets. Last, the company announced 2017 performance; generated revenue of 5,688 million baht with 315 million net profits, dividend of 0.15 baht per share has been approved. Mr. Tan Passakornnatee, president & CEO of Ichitan Group PLC (ICHI), revealed that the company has reduced sugar content from 5 mainstream products to meet healthier standard such Ichitan green tea, original and genmai flavor, Yen Yen Herbal drink and Yen Yen chrysanthemum and Yen Yen Gold , recently received a Healthier Choice Logo. The label also presents containing only 60 kcal per bottle, in line with the concept of “The tea which cares you the most”. In addition, after installing a new production line, Ichitan is aiming to boost a high-growth product, Chew Chew, RTD tea with coconut jelly. The export to CLMV market has significantly growth in 2017, while this year the company has already received pre-order from Cambodia, Laos, Myanmar, and Vietnam. The firm expects overseas revenue to be reach 27% of the total targeted sales. "In 2018, Ichitan intensely adjusted each brand’s strategies and focus specifically to each target market. Domestic market is still a major arena need to be improved, a summer promotion called Ichitan Rapid Rich :1 Code Wins All 4 Vehicles campaign has been launched to gain sales in high season started March 1 to May 9. We also pay attention to seek more potential distributors for CLMV. As a result, we expect to reach a total target sales at 6.7 billion baht" stated Tan. For 2017 performance, Ichitan generated a net profit of 315.1 million baht and revenue of 5,687.5 million which is increased 6.5% YoY due to the significantly growth of export opportunity. The domestic tea market shrink while cost of goods sold is rising since there was a stiff competition. However, Q42017, the revenue grew especially the export trend seemed to be positive for years ahead. The board committees approved the dividend payment of 0.15 baht per share. XD date (No right to get dividend) is May 2 and the dividend payment date is May 18, 2018.