Thai Beverage Public Company (Y92) Q2 2025 earnings summary

Executive summary

• Sales revenue for the first half of 2025 was THB 177,617 million, up 1% year-on-year, led by growth in beer and non-alcoholic beverages, but offset by declines in spirits and other businesses.

• Net profit, including associates, was THB 17,769 million, down 9.2% year-on-year, mainly due to lower profits in spirits, non-alcoholic beverages, food, and other businesses, partially offset by higher beer profits.

• Net profit attributable to owners was THB 14,709 million, down 3% from the restated prior year.

• Interim dividend of THB 0.15 per share was maintained, totaling THB 3,770 million.

• EBITDA fell 5.3% year-on-year to THB 31,111 million, with only the beer segment showing EBITDA growth.

Financial highlights

• Spirits sales revenue fell 1.5% year-on-year to THB 64,520 million; net profit dropped 10.3% to THB 11,601 million due to lower volumes and higher costs.

• Beer sales revenue rose 3% year-on-year to THB 66,201 million, with net profit up 19% to THB 3,152 million, driven by higher volumes and lower raw material costs.

• Non-alcoholic beverage sales increased 2.5% year-on-year to THB 33,438 million, but net profit declined 11.3% to THB 3,114 million due to lower associate contributions and higher taxes.

• Food business sales grew 0.7% year-on-year to THB 11,145 million, but net profit plunged 61% to THB 124 million due to higher costs and depreciation.

• Gross margin for 1H25 was 30.6%, slightly down from 30.7% in 1H24.

Outlook and guidance

• Spirits business expects lower raw material costs to benefit margins from the fourth quarter of the fiscal year.

• Beer market in Vietnam faces challenging conditions due to weak consumer confidence, but mainstream brands may benefit from downtrading.

• No significant price increases planned for beer or spirits in the near term due to soft economic conditions.

• Management notes ongoing risks from raw material costs, market volatility, and economic conditions.

• Marketing and brand-building expenses for spirits and beer will be lower in the second half due to seasonality.