Sappe Public Company Limited (SAPPE) maintained its outstanding performance in the first quarter of 2024 with a net profit of 352.3 million baht, up 28.2% and sales revenue of 1,836.0 million baht, growing 20.8%. The figures mark another “new high” for SAPPE and underline strong growth both in the domestic and international markets. The company is confident that its 2024 performance will grow 20-25% as targeted. SAPPE also plans to launch a global campaign as a surprise for customers and fans in the near future.
SAPPE Chief Executive Officer Ms. Piyajit Ruckariyapong unveiled the overall operating performance in Q1/2024 which made “Triple High” for three months in a row from January to March with sales revenue of 1,836.0 million baht, growing 20.8% compared to 1,520.3 million baht in the previous year, and a net profit of 352.3 million baht, increasing 18.2% from 274.8 million baht in 2023. It was another consecutive “All Time High” for SAPPE, thanks to the robust growth domestically and globally that the company currently exports to 100 countries. The region with notable growth was the Middle East with 107.4%, followed by the Americas 43.9% while Asia and Europe are still able to make good performances, reflecting a remarkable success of SAPPE product brands which have been accepted from the consumers worldwide.
In the first quarter of this year, the international market sales were accounted for 83% and the flagship and most popular product was Mogu Mogu, the fruit juice mixed with coconut jelly, followed by SAPPE Aloe Vera Drink, In this first quarter, the company was able to earn revenue of 1,524 million baht from international sales, growing 24.3%, as a result of an expansion of distribution channels, particularly the modern retail stores (Modern Trade) with the branches nationwide (National Chain).
Apart from the international market, the domestic market was able to make sales revenue of 312 million baht, growing 6.1% while the Sappe Beauti brand is still the main and outstanding product for the market in Thailand. Sappe Beauti recently announced its major rebranding in 18 years through the campaign “Suay Rao Mai Tong Suay Krai” (Beauty through our eyes, not other people’s), bringing Diversity & Equality to emphasizes its “Trend Setter” status in a beverage category that dares to communicate with a new definition of beauty – “No Beauty Standard” — and values all beauty. After being launched, the campaign received warm welcome from the new Gen consumers, as well as a collagen powder product like “Sappe Beauti Powder Stix”, which made a good performance in the traditional trade channel due to its strengths of affordable price and no other competitor in the same market. To boost the sales volume for the product, the company is preparing to add more distribution channels for Sappe Beauti Powder Stix.
Meanwhile, other refreshments including B’lue vitamin water and Preaw Coffee are still constantly popular among consumers. SAPPE also introduced a new brand of French style instant coffee “Frenché Roast”, 3-in-1 roasted and ground coffee under the partnership with Power Root Berhad, the leading beverage company in Malaysia. Power Root Bhd’s expertise in coffee, tea, chocolate malt and herbal drinks has been brought to expand SAPPE’s coffee product portfolio to be more inclusive, which also received good response after being distributed in the Traditional Trade and Modern Trade.
The SAPPE CEO noted that in 2024 SAPPE aims to drive the growth domestically and internationally and aims for the growth by 20-25%. Regarding the domestic market, the company will focus on strengthening its key products such as Sappe Beauti, Preaw Coffee and B’lue vitamin water and prepares to launch new products not less than 20 SKUs. For the international market, in addition to an expansion to the new market (Greenfield) by distributing various products, boosting sales, and increasing marketing through online channels, SAPPE will build on the success of Mogu Mogu to allow the consumers to have more engagement with the brand in order to elevate it to become more global brand than ever before. The company will launch a big campaign before long to create fun and excitement for the consumers.
