OISHI’s 1Q21 Profit Drops 37% due to the Covid-19 Effect on Beverage and Food Revenue

Oishi Group Public Company Limited (OISHI) has reported its yearly consolidated financial statement of 1Q21 through the Stock Exchange of Thailand as follows;

OISHI reported Baht 225 million of Net profit in Q1/2020-2021, a decline of Baht 132 million or 37.0% from Q1/2019-2020. This was by reason of the COVID-19 pandemic that impacted revenue and profit of both Beverage and Food business units although the impact was partly minimized by the cost control measures as aforementioned. Moreover, OISHI has adopted the new Thai Financial Reporting Standard with regard to lease agreements (TFRS 16) for the first time in Q1/2020-2021. Consequently, there were increases in amortization expenses and interest expenses from financial lease agreements, partly negated by tax expense, that made our net profit this quarter lower by Baht 7 million compared to the situation without an implementation of the new accounting practice.

 

Meanwhile total sales and services revenue of OISHI for Q1/2020-2021 was Baht 2,667 million, a decrease of Baht 694 million or 20.7% from Q1/2019-2020. This was due to the widespread of COVID-19 pandemic in the quarter while there was no pandemic in Thailand during the same period last year.