Thai Union Group PCL is one of the world’s largest seafood companies who deliver seafood products with innovation, high product quality, delicious taste, and health benefits to consumers for more than 46 years. The company owns a portfolio of leading brands in various markets around the world and has a global sourcing, production, and distribution network. With corporate sustainability goals, Thai Union has a long-term commitment to be the most trusted seafood leader and conservation of natural resources for future generations.
| 2022 | 2021 | 2020 | 2019 |
|---|
| Revenues | 156,560.31 | 141,858.21 | 134,111.99 | 128,445.70 |
| Expenses | 147,731.47 | 132,827.86 | 124,581.06 | 122,702.51 |
| Net Profit (Loss) | 7,138.00 | 8,013.00 | 6,246.09 | 3,815.88 |
| Assets | 182,569.47 | 166,604.04 | 144,574.67 | 141,909.05 |
| Liabilities | 94,438.04 | 104,390.64 | 88,838.02 | 90,114.09 |
| Shareholders' Equity | 80,642.28 | 59,319.07 | 52,185.26 | 48,423.20 |
| Operating | 5,870.75 | 6,292.03 | 13,432.41 | 11,755.30 |
| Investing | -5,414.69 | -8,103.69 | -3,735.59 | -4,485.26 |
| Financing | 2,741.95 | 4,582.91 | -8,203.31 | -4,028.08 |
| EPS (Baht) | 1.47 | 1.66 | 1.26 | 0.80 |
| GP Margin (%) | 17.49 | 18.24 | 17.69 | 15.93 |
| NP Margin (%) | 4.73 | 5.83 | 4.85 | 3.24 |
| D/E Ratio (x) | 1.07 | 1.68 | 1.59 | 1.74 |
| ROE (%) | 10.20 | 14.37 | 12.42 | 8.33 |
| ROA (%) | 4.90 | 6.90 | 6.29 | 4.57 |
Thai Union’s Strategy 2025 builds on our determination to provide healthy and tasty products to consumers, which consists of six elements to create long-term value: Growing the Core, Diversifying along our Value Chains, Exploring New Horizons, Future-proofing our Operations, Continuing our Sustainability Leadership, and Wellbeing and Capability of our Employees. This will help us drive business growth and sustain profitability and shift and future-proof our group portfolio.
As part of our guidance for 2023, Thai Union will focus on sales growth of 5 – 6% from a year earlier with a gross profit margin level at 18.0 – 18.5%. The SG&A to sales ratio will be decreased to 11.0 – 12.0%. Additionally, the total planned capital investment will be approximately at THB 6.0 – 6.5 billion as we focus on carrying out capital expenditure related to both existing and new business divisions and continue to improve and streamline our existing operations to achieve sustainable and profitable growth.
Thai Union has a long-term commitment to “Healthy Living, Healthy Oceans”, with a focus on 4 programs under an integrated strategic plan of initiatives, SeaChange®, including Safe & Legal Labor, Responsible Sourcing, Responsible Operations, and People & Communities. During the past year, Thai Union has continued to advance its sustainability strategy, caring for its resources to nurture generations to come.
In early 2023, Thai Union will announce a major update of SeaChange® with new goals and new commitments through 2030. This will include actions across a wide range of topics to address such as the decline in biodiversity, tackling climate change, ensuring endangered species are protected, important ecosystems are restored, and that natural resources are managed sustainably.
Amid unforeseen global economic challenges such as high inflation and volatile foreign exchange, Thai Union was able to deliver a strong performance and record sales in 2022. Our core businesses remain a key driver, yet we continue to further diversify our portfolio of products to appeal to new customers across Asia, Europe, and North America. We also continue to develop value-enhancing businesses across our ingredients, supplements, and alternative protein units, where we are unlocking new and innovative products that will be essential to our future growth. In December 2022, i-Tail Corporation Public Company Limited (ITC), our flagship PetCare business was successfully listed on the Stock Exchange of Thailand (SET) and became the largest ever IPO in the food and beverage sector in Thailand, a total of THB 21,000 million. As a result, at the end of 2022, Thai Union’s net-debt-to-equity ratio was at 0.54x, significantly down from 0.99x at the end of 2021. Furthermore, the company was able to deliver a half-year dividend of THB 0.44 per share, bringing the full-year dividend to THB 0.84 per share. The company continues to deliver a consistent payout with a highly attractive yield at 5.3%.
Thai Union reported all-time high sales of THB 155,586 million, up 10.3% in 2022 driven by a solid performance in our PetCare and ambient seafood business. Full-year gross profit rose 5.8% to THB 27,206 million, with healthy GPM at 17.5%. While net profit was down to THB 7,138mn, due to a higher share of loss from Red Lobster’s operations and two non-cash one-off items (1) THB 900 million (after tax) change in fair value of Red Lobster’s preferred interest and (2) THB 195 million (after tax) in restructuring costs related to the closure of one Rügen Fisch plant. Excluding the one-off items, adjusted net profit marked at THB 8,233 million.
• Thai Union converted its loan-based strategic investment in leading Icelandic cod liver company Aegir into a 50% shareholding, further strengthening the successful business relationship Aegir has developed with Thai Union's brands across Europe.
• Thai Union announced new food-tech investment through its Corporate Venture Capital (CVC) fund in UK-based company named Jellagen, a medical biotechnology company developing ‘collagen type 0’ or collagen biomaterials derived from jellyfish, to be used as a biomaterial for tissue reconstruction. This investment and further collaboration will support the future growth of Thai Union’s business, coupled with exploration of other specialized ingredients especially for marine products.
Thai Union continues to embed a risk culture in our business and operations at all levels, starting by making it part of organizational culture, policy, and structures, with a risk management framework in accordance with COSO ERM, as well as monitoring risk indicators and performance on regular basis, according to the risk management plan, to mitigate the impact and/or the likelihood of risks. The key risks in 2022 are the rising inflation which led to the increasing prices of key material costs as well as the rising interest rate. However, there was a recovery in freight cost and ocean transit time which supported its inventory management in 4Q22.
- Ranked No. 1 in the world in the Food Industry on Dow Jones Sustainability Indices (DJSI)
- FTSE4Good Emerging Index
- Certified to be a member of the Private Sector Collective Action Coalition Against Corruption (CAC)
- Sustainability Disclosure Award 2022 from Thaipat Institute
- Gold Class Distinction in the S&P Global Sustainability Yearbook 2022
| as of 30/12/22 | TU | FOOD | SET |
|---|---|---|---|
| P/E (X) | 10.05 | 18.88 | 18.16 |
| P/BV (X) | 1.29 | 1.89 | 1.65 |
| Dividend yield (%) | 5.62 | 2.03 | 2.50 |
| 30/12/22 | 30/12/21 | 30/12/20 | |
|---|---|---|---|
| Market Cap (MB) | 80,643.68 | 93,050.40 | 64,896.69 |
| Price (B/Share) | 16.90 | 19.50 | 13.60 |
| P/E (X) | 10.05 | 12.04 | 10.83 |
| P/BV (X) | 1.29 | 1.59 | 1.25 |
• A- with positive outlook (rated by JCR)