Thai Union Group has reported first quarter sales of THB 31.1 billion, an increase of 5.9% year-on-year and its best first-quarter sales performance in three years.
The growth in sales was driven by a strong performance from the ambient business with a 24.5 percent increase in sales volume to 99,599 tonnes, as consumers around the world stocked up on shelf-stable products in response to COVID-19. Cash flow in the first quarter exceeded THB 1 billion.
“The world changed dramatically in the first quarter with the impact of COVID-19 felt all around the world,” said Thiraphong Chansiri, chief executive at Thai Union Group. “Throughout this pandemic, Thai Union has continued to focus on the health and safety of our people and our business operations so that we can continue to deliver our products to our customers and consumers around the world in confidence and safety.”
The company recorded an operating profit of THB 1.5 billion, a 49.9% rise whilst cash flow in the first quarter exceeded THB 1 billion. Thai Union’s SG&A to sales ratio was at 11.3% compared to 11.4% over the same period last year. However, net profit was 20.2% lower year-on-year primarily because of the impact of COVID-19 on strategic investments and foreign exchange loss.
The sales contribution from Thai Union’s ambient business grew 16.2% with 43% of sales coming from North America, 30% from Europe, 11% from the domestic market with all other markets accounting for the remainder.
