OSP’s 3Q Earnings Edge 10% Higher as Sales Revenue Grows and SG&A Falls

Osotspa Public Company Limited (OSP) has reported its 3Q20 consolidated financial statement through the Stock Exchange of Thailand as follows;

OSP recorded a net profit of 923 million baht in 3Q20, increased 10.24% compared to the same period last year due to higher sales revenue and lower SG&A.

In 3Q20, revenue from sales at THB 6,601 million, increased 4.3% YoY and 11.7% QoQ. The sales recovered after easing nationwide lockdown measures in 2Q20. Domestic beverage sales showed good growth, driven by core energy drinks and continued success of C-Vitt after capacity expansion.

Selling and administrative expenses (SG&A) level of spending was well managed at 21.7% of sales, decreased 140 bps YoY.

 

Overall gross margin in 3Q20 expanded to 35.5%, increased 90 bps YoY and 190 bps QoQ as a result of favorable product mix from recovery of core energy drinks and personal care category, improved production utilization, additional manufacturing margin after the commercial run of the new factory in Myanmar, and robust cost saving projects through Fit Fast Firm initiatives.