Siam Wellness Group Public Company Limited · SET:SPA

Siam Wellness Group Public — FY2020 Earnings Presentation

39 slides from Siam Wellness Group Public's earnings presentation, 2021

  1. Slide 1: Siam Wellness Group (SPA)

    (on) can Ssinoa Lets Relax [ets Relax _Baansuan) L (> L Massage ~~ = WELLNESS SPA. ga ONSEN pull oe nae’ Stretch>me Stretc heme Dist SkinCare Solutions Rains bEck an

  2. Slide 2: Disclaimer

    Disclaimer: The information contained in this presentation is for information purposes only and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for share in Siam Wellness Group Public Company Limited (“SPA” and shares in SPA,

  3. Slide 3: Executive Summary

    Executive Summary Risk Factors: Improved Financial Performance with growth in • Temporary Shutdown of Massage & Spa Revenue Q-o-Q however pressured from Business from 18 Mar – 31 May 2020 and Second COVID-19 Spread and Political Second Shutdown in Pattaya (end of December) Protest in Bangkok CBD • “

  4. Slide 4: Company Overview

    COMPANY OVERVIEW a ad t's Relax ets Relax B ranijnon Coton, fot Refers Boansyat) Stretch = Stretch Du Spot “o> Pure SkinCare Solutions Ran

  5. Slide 5: SPA business groups and brands

    SPA is the first full-scale spa company to listed on mai with the most comprehensive services and most number of branches. Spa SWR (hotel & food) Other Wellness Services SWL (spa products) Onsen Stretch Me SWE Dr.Spiller Pure Skincare Solution (massage school) 5

  6. Slide 6: Total branches by spa category (as of Dec 2020)

    Total 70 Branches (as of 31 dec 2020) 5-Stars Spa 4-Stars Spa 3-Stars Spa Innovative Wellness Spa Boutique Day Spa Neighborhood Massage & Spa Avg. Spend = 2,200 THB/pax Avg. Spend = 1,100 THB/pax Avg. Spend = 600 THB/pax CAPEX 25 million THB/branch CAPEX 15-20 million THB/branch CAPEX 10million THB/

  7. Slide 7: Stretching studio, clinic and facial spa branches

    Stretching Studio Stretching Clinic with Sophisticated by Physical Therapists Advanced Technology FACIAL SPA Avg. Spend = 1,200 THB/pax Avg. Spend = 1,200 THB/pax Avg. Spend = 1,700 THB/pax CAPEX 5-7 million THB/branch CAPEX 5-7 million THB/branch CAPEX 5-7 million THB/branch 5 Branches Thailand 1 B

  8. Slide 8: SPA's branches are located in most strategic locations

    70 SPA’s branches are located CHINA 3 KUNMING 63 Chiang Mai in most strategic locations 3 9 55 5 3 Nong Khai 3 Udon Thani MYANMAR 41 YANGON 3 Nakhon Ratchasima 31 39 45 48 3 Bangkok 21 27 CAMBODIA 3 Pattaya 19 HuaHin 12 8 10 2 14 4 5 6 2 2 1 2 8 10 8 11 10 10 10 4 4 4 6 4 2 1998 2003 2004 2006 2008

  9. Slide 9: Business Model: operations timeline 2020

    Business Model Operation 1Q20 2Q20 3Q20 4Q20 1 APR– 31 MAY Raise Hygiene Standards // Temporary Closure of all Spas Political Protest in Bangkok 18 MAR & Massage Center in Thailand CBD // SPA Temporary Closure of all 1 JUN SHA Certification from TAT 30 DEC Spas & Massage Center in Reopened New Normal

  10. Slide 10: Business Model: lifestyle, restaurant and education 2020

    Business Model Operation 1Q20 2Q20 3Q20 4Q20 APR– JUNE Temporary Closure of Renovate to new concept Add on Delivery Platform Restaurant Restaurant in Chiang Mai : “All Day Dining” e.g. Lineman, Foodpanda Dr. Spiller added new online & Dr. Spiller launched Manage LRL & Dr. Spiller launched LRL launch

  11. Slide 11: Cost Reduction and Cash Flow Management Measures

    COST REDUCTION AND CASH FLOW MANAGEMENT MEASURES Implemented Cost-Cutting Measures Cost Saving • Labour Cost & Executive Pay-cut (seek SSO support during temporary shut-down) • Rental Negotiation • Reduce Admin expenses Cash Flow • Convert Dividend Payment to Stock Dividend Management • Seek Soft Lo

  12. Slide 12: New Normal of Spa Practices

    NEW NORMAL OF SPA PRACTICES “A Place you can trust” New Measures for welcoming New Measures for keeping our beloved customers our staffs healthy New Measures for an infection-free environment 12

  13. Slide 13: Growth in E-Commerce Sales

    Growth in E-Commerce Sales Online Channel ● Facebook ● Instagram ● Line Official Account ● Laz Mall ● Line My Shop Online Channel ● Facebook ● Instagram ● Line Official Account ● Laz Mall ● Line My Shop 13

  14. Slide 14: New Business Expansion Focus on Thai Customers

    NEW BUSINESS EXPANSION FOCUS ON THAI CUSTOMERS 14

  15. Slide 15: New Business Expansion Focus on Thai Customers

    NEW BUSINESS EXPANSION FOCUS ON THAI CUSTOMERS 15

  16. Slide 16: Earnings hit by COVID-19

    Earnings hit by COVID-19 Total Revenue EBITDA & EBITDA margin Net Profit & Net Profit Margin THB m THB m 30.2% 30.5% THB m 29.6% 18.5% 18.1% 17.2% 1500 500 250 200 1200 400 150 206 246 100 175 900 1,450 300 50 0 600 1,152 200 -50 423 962 346 -100 -209 286 300 100 -150 433 2.9% 12 -200 0 0 -250 -49.0%

  17. Slide 17: Gearing still manageable

    Gearing still manageable Interest bearing debt increased significantly in 2020 due to the accounting adoption of TFRS16 (Lease Liability) Debt to Equity & Liquidity ROA&ROE 30 2.0 25 1.91 25.1 23.8 23.4 20 1.5 15 17.2 17.0 16.2 10 1.0 1.18 5 0.93 0.78 0 2017 2018 2019 2020 0.5 0.56 0.64 -5 0.41 0.34

  18. Slide 18: 18

    18

  19. Slide 19: Outlook

    OUTLOOK

  20. Slide 20: Short-term Strategies

    Short-term Strategies ■ Focus on Domestic Tourism ■ Add on New Services that matches with the current trends i.e. “Hemp Massage” or “Hemp Spa” ■ Add on New Lifestyle Products that matches with the current trends i.e. “Hemp Pillow Spray” etc. 20

  21. Slide 21: Mid to Long term Strategies

    Mid to Long term Strategies ■ Add on New Businesses that adds cash flow to business (Wellness & Holistic Health Experiences) ■ Resumes Overseas Marketing Scheme as Travel Bubble and Travelling Ban Relief after Vaccine intake as Overseas Tourists Arrivals resume 21

  22. Slide 22: Q&A and SPA IR Contact

    Q&A SPA IR Contact Ms. Yonlawan Eiamalongkorn Tel. 02 641-6619-20 E-mail: [email protected] Company information www.siamwellnessgroup.com/investor_relations www.facebook.com/siamwellnessgroup 22

  23. Slide 23: Appendix

    Appendix

  24. Slide 24: RarinJinda Wellness Spa

    RarinJinda Wellness Spa World-Class Wellness Spa that harmonize all of life’s senses to deliver the ultimate Wellness Experience RarinJinda Wellness Spa, a premium and innovative spa that harmonized all life senses. It is dedicated to be the most innovative and admirable Thai Wellness Spa by combini

  25. Slide 25: RarinJinda Wellness Spa locations

    RarinJinda Wellness Spa CHIANG MAI (1) RarinJinda Wellness Spa Chiang Mai BANGKOK (1) RarinJinda Wellness Spa Ratchadamri (2) RarinJinda Wellness Spa Ploenchit 25

  26. Slide 26: Let's Relax

    Let’s Relax Thailand’s Boutique Day Spa that offers refined spa indulgence for a New Lease of Life. Let’s Relax Spa stands for warm hospitality and sensory revitalization, with convenient and accessible branches across the nation. The serene atmosphere with contemporary decoration induces a relaxed

  27. Slide 27: Let's Relax locations

    Let’s Relax (20) Let’s Relax Carlton Hotel Thailand Krabi (21) Let’s Relax Leisure Space CentralWorld Chiang Mai (1) Let’s Relax Krabi Wake Up (22) Let’s Relax Mahanakhon Cube (1) Let’s Relax Chiang Mai Pavillion (2) Let’s Relax Krabi Srilanta (2) Let’s Relax Chiang Mai Thapae Pattaya Trang (3) Let’

  28. Slide 28: Baan Suan Massage

    Baan Suan Massage Cozy and Warm Neighbourhood massage, center with the touch of Thainess for your comfort Baan Suan Massage, a neighborhood massage center that you will feel like home, It is a stand-alone massage shop- house comprises of a house, which is converted into thai, foot and aroma massage

  29. Slide 29: Baan Suan Massage locations

    Baan Suan Massage BANGKOK KORAT (1) Baan Suan Nonthaburi (1) Baan Suan Terminal 21 Korat (2) Baan Suan Charoennakorn 55 UDON THANI (3) Baan Suan Prachanukul (1) Baan Suan Udon Thani (4) Baan Suan Charoennakorn 68 NONG KHAI (5) Baan Suan Baromrajchonnanee (1) Baan Suan Nong Khai (6) Baan Suan Petkase

  30. Slide 30: Special Project: Stretch me and Dr. Spiller

    Special Project Stretch me by Let’s Relax Dr. Spiller Pure SkinCare Solutions. (1) Stretch me Central World (1) Dr.Spiller Pure SkinCare Solutions Ginza Thonglor (2) Stretch me Iconsiam (2) Dr.Spiller Pure SkinCare Solutions Leisure Space (3) Stretch me 101 The Third Place CentralWorld (4) Stretch m

  31. Slide 31: RarinJinda Wellness Spa Resort

    RarinJinda Wellness Spa Resort RARINJINDA WELLNESS SPA RESORT is a wellness boutique spa resort with 35 rooms, decorated in thai contemporary style. CHIANG MAI The resort is equipped with full facilities such as full service Spa, (1) RarinJinda Wellness Spa Resort Swimming Pool, Fitness Center, Yoga

  32. Slide 32: Deck One

    Deck One “Deck1” The Exotic Scene & Cuisine, a fine-dining Riverside CHIANG MAI Restaurant, offers delectable Asian, Thai and Western cuisines with (1) Deck1 Restaurant Chiang Mai Full Wine Cellar with outdoor and indoor seating. 32

  33. Slide 33: LRL (Let's Relax Lifestyle)

    LRL (Let’s Relax Lifestyle) 33

  34. Slide 34: Siam Wellness Academy

    Siam Wellness Academy Siam Wellness Academy offers theoretical and practical training to spa therapists. The instructors are well qualified with certificates from the United States and Thailand (Wat Pho). The school is certified by the Ministry of Education. 34

  35. Slide 35: Multi-Award Winning Spa Group

    Multi-Award Winning Spa Group • Excellence & Outstanding Destination Spa • Best Luxury Destination Spa Thailand Tourism Awards World Luxury Spa Awards 2012 2008, 2015, 2017 • Best Luxury Boutique Hotel • Outstanding Day Spa World Luxury Hotel Awards 2012 Thailand Tourism Awards 2010, 2017 • Best Spa

  36. Slide 36: Awards (continued)

    • Best Spa Resort Destination, Thailand • Best Investor Relations Awards Asian Lifestyle Tourism Awards 2017 for Listed Company in MAI SET Awards 2018 • Asia’s Top 50 Brands CMO Asia Awards 2017 • Outstanding Brands 2018 Asia CEO Summit & Influential Brands Award Ceremony • Forbes Best Under a Billi

  37. Slide 37: Shareholding Structure

    Shareholding Structure 11% 4% Foreign Fund Domestic Fund Top 5. 1. Mr. Wiboon Utsahajit 11.11% 2. Mr. Prasert Jiravanstit 3. Mrs. Pranee Suphawatanakiat 10.91% 9.13% 21% Retail Investor 64% 4. Mrs. Thanit Amorntirasan 8.40% Executive+Family • Utsahajit Family 45% 5. Mr. Narun Wiwattanakrai 3.55% • J

  38. Slide 38: Dividend History

    Dividend History Policy : Minimum 40% of net profit payout. Dividend Payout Financial Payment Dividend Total Eps per Share Ratio Year Date (Thb/Share) Payout Consolid/Separate Consolid/Separate 2017 08/09/17 0.05 28.50 M Interim 2017 25/04/18 0.07 39.9 M Annual 2017 0.12 68.4 M 0.31 0.28 32% 43% Tot

  39. Slide 39: Siam Wellness Group Public Company Limited

    [SPA] Siam Wellness Group Public Company Limited www.siamwellnessgroup.com

Siam Wellness Group Public Company — FY2020 Earnings Presentation on 6ix