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Opportunity Day
2018 Year End Performance Review
Information as of year ended 2018
Latest update on 5th Mar 2019
2
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
3
Leading local skin care company in
Thai market owner of
NAMULIFE SNAILWHITE
OxersquoCure PRETTii FACE and SoS
4
Company structure and shareholding structure
THAILAND
SINGAPORE
INTERNATIONAL
Parent and subsidiaries
DO DAY DREAM
Intermediary in trading
with foreign customers
DO DAY DREAM TRADING
100
Investment arm for
overseas businesses
DO DAY DREAM HOLDING
100
Domestic Distributor
NAMU LIFE PLUS
100
International Headquarter
DO INFINITE DREAM
100
Dermatological Skincare
DREAM DERMATOLOGY
95
Skincare for millennials
SKIN MAKE SMILES
70
Future potential partners to do
overseas business
POTENTIAL PARTNERS
Philippines Distributors
DO DAY DREAM PHILLIPPINES
CORPORATION
51
5
Extensive Product Portfolio Covering Five Categories of Skincare
New Product
30 ml 690 THB 7 ml 39 THB
50 ml 699 THB
Note Information as of 1 Mar 2019
20 Products41 SKUs
6 Products12 SKUs
1 Products1 SKU
1 Products1 SKU
10 ml 199 THB
32
1
6
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
7
Revenue from sales in Year Ended 2018 (YoY)
Facial Skin Care70
Body Care3
Facial Cleansing
11
Body Cleansing
8
Sunscreen3
Others5
Modern Trade38
Traditional Trade and Distribution Partner
40
Export21
Others1
Facial Skin Care77
Body Care4
Facial Cleansing
4
Body Cleansing8
Sunscreen4 Others
3Modern Trade
29
Traditional Trade and Distribution Partner
41
Export30
Others0
Revenue from sales
Unit THB Million
30
70
99
21
79
65
1179982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2017 2018Domestic Overseas
1674
1249
2017
-25
-46
-17
2018
2017
2018
Products Group Distribution Channels
18
8
Revenue from sales by Quarter
Revenue from sales (QoQ)
Unit THB Million
208 217
4249
0
100
200
300
400
500
600
Q32018 Q42018
Domestic Overseas
250266
Revenue from sales (YoY)
Unit THB Million
380
217
38
49
0
100
200
300
400
500
600
Q42017 Q42018
Domestic Overseas
418
266
-36
32
-43
6
18
4
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
2
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
3
Leading local skin care company in
Thai market owner of
NAMULIFE SNAILWHITE
OxersquoCure PRETTii FACE and SoS
4
Company structure and shareholding structure
THAILAND
SINGAPORE
INTERNATIONAL
Parent and subsidiaries
DO DAY DREAM
Intermediary in trading
with foreign customers
DO DAY DREAM TRADING
100
Investment arm for
overseas businesses
DO DAY DREAM HOLDING
100
Domestic Distributor
NAMU LIFE PLUS
100
International Headquarter
DO INFINITE DREAM
100
Dermatological Skincare
DREAM DERMATOLOGY
95
Skincare for millennials
SKIN MAKE SMILES
70
Future potential partners to do
overseas business
POTENTIAL PARTNERS
Philippines Distributors
DO DAY DREAM PHILLIPPINES
CORPORATION
51
5
Extensive Product Portfolio Covering Five Categories of Skincare
New Product
30 ml 690 THB 7 ml 39 THB
50 ml 699 THB
Note Information as of 1 Mar 2019
20 Products41 SKUs
6 Products12 SKUs
1 Products1 SKU
1 Products1 SKU
10 ml 199 THB
32
1
6
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
7
Revenue from sales in Year Ended 2018 (YoY)
Facial Skin Care70
Body Care3
Facial Cleansing
11
Body Cleansing
8
Sunscreen3
Others5
Modern Trade38
Traditional Trade and Distribution Partner
40
Export21
Others1
Facial Skin Care77
Body Care4
Facial Cleansing
4
Body Cleansing8
Sunscreen4 Others
3Modern Trade
29
Traditional Trade and Distribution Partner
41
Export30
Others0
Revenue from sales
Unit THB Million
30
70
99
21
79
65
1179982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2017 2018Domestic Overseas
1674
1249
2017
-25
-46
-17
2018
2017
2018
Products Group Distribution Channels
18
8
Revenue from sales by Quarter
Revenue from sales (QoQ)
Unit THB Million
208 217
4249
0
100
200
300
400
500
600
Q32018 Q42018
Domestic Overseas
250266
Revenue from sales (YoY)
Unit THB Million
380
217
38
49
0
100
200
300
400
500
600
Q42017 Q42018
Domestic Overseas
418
266
-36
32
-43
6
18
4
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
3
Leading local skin care company in
Thai market owner of
NAMULIFE SNAILWHITE
OxersquoCure PRETTii FACE and SoS
4
Company structure and shareholding structure
THAILAND
SINGAPORE
INTERNATIONAL
Parent and subsidiaries
DO DAY DREAM
Intermediary in trading
with foreign customers
DO DAY DREAM TRADING
100
Investment arm for
overseas businesses
DO DAY DREAM HOLDING
100
Domestic Distributor
NAMU LIFE PLUS
100
International Headquarter
DO INFINITE DREAM
100
Dermatological Skincare
DREAM DERMATOLOGY
95
Skincare for millennials
SKIN MAKE SMILES
70
Future potential partners to do
overseas business
POTENTIAL PARTNERS
Philippines Distributors
DO DAY DREAM PHILLIPPINES
CORPORATION
51
5
Extensive Product Portfolio Covering Five Categories of Skincare
New Product
30 ml 690 THB 7 ml 39 THB
50 ml 699 THB
Note Information as of 1 Mar 2019
20 Products41 SKUs
6 Products12 SKUs
1 Products1 SKU
1 Products1 SKU
10 ml 199 THB
32
1
6
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
7
Revenue from sales in Year Ended 2018 (YoY)
Facial Skin Care70
Body Care3
Facial Cleansing
11
Body Cleansing
8
Sunscreen3
Others5
Modern Trade38
Traditional Trade and Distribution Partner
40
Export21
Others1
Facial Skin Care77
Body Care4
Facial Cleansing
4
Body Cleansing8
Sunscreen4 Others
3Modern Trade
29
Traditional Trade and Distribution Partner
41
Export30
Others0
Revenue from sales
Unit THB Million
30
70
99
21
79
65
1179982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2017 2018Domestic Overseas
1674
1249
2017
-25
-46
-17
2018
2017
2018
Products Group Distribution Channels
18
8
Revenue from sales by Quarter
Revenue from sales (QoQ)
Unit THB Million
208 217
4249
0
100
200
300
400
500
600
Q32018 Q42018
Domestic Overseas
250266
Revenue from sales (YoY)
Unit THB Million
380
217
38
49
0
100
200
300
400
500
600
Q42017 Q42018
Domestic Overseas
418
266
-36
32
-43
6
18
4
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
4
Company structure and shareholding structure
THAILAND
SINGAPORE
INTERNATIONAL
Parent and subsidiaries
DO DAY DREAM
Intermediary in trading
with foreign customers
DO DAY DREAM TRADING
100
Investment arm for
overseas businesses
DO DAY DREAM HOLDING
100
Domestic Distributor
NAMU LIFE PLUS
100
International Headquarter
DO INFINITE DREAM
100
Dermatological Skincare
DREAM DERMATOLOGY
95
Skincare for millennials
SKIN MAKE SMILES
70
Future potential partners to do
overseas business
POTENTIAL PARTNERS
Philippines Distributors
DO DAY DREAM PHILLIPPINES
CORPORATION
51
5
Extensive Product Portfolio Covering Five Categories of Skincare
New Product
30 ml 690 THB 7 ml 39 THB
50 ml 699 THB
Note Information as of 1 Mar 2019
20 Products41 SKUs
6 Products12 SKUs
1 Products1 SKU
1 Products1 SKU
10 ml 199 THB
32
1
6
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
7
Revenue from sales in Year Ended 2018 (YoY)
Facial Skin Care70
Body Care3
Facial Cleansing
11
Body Cleansing
8
Sunscreen3
Others5
Modern Trade38
Traditional Trade and Distribution Partner
40
Export21
Others1
Facial Skin Care77
Body Care4
Facial Cleansing
4
Body Cleansing8
Sunscreen4 Others
3Modern Trade
29
Traditional Trade and Distribution Partner
41
Export30
Others0
Revenue from sales
Unit THB Million
30
70
99
21
79
65
1179982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2017 2018Domestic Overseas
1674
1249
2017
-25
-46
-17
2018
2017
2018
Products Group Distribution Channels
18
8
Revenue from sales by Quarter
Revenue from sales (QoQ)
Unit THB Million
208 217
4249
0
100
200
300
400
500
600
Q32018 Q42018
Domestic Overseas
250266
Revenue from sales (YoY)
Unit THB Million
380
217
38
49
0
100
200
300
400
500
600
Q42017 Q42018
Domestic Overseas
418
266
-36
32
-43
6
18
4
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
5
Extensive Product Portfolio Covering Five Categories of Skincare
New Product
30 ml 690 THB 7 ml 39 THB
50 ml 699 THB
Note Information as of 1 Mar 2019
20 Products41 SKUs
6 Products12 SKUs
1 Products1 SKU
1 Products1 SKU
10 ml 199 THB
32
1
6
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
7
Revenue from sales in Year Ended 2018 (YoY)
Facial Skin Care70
Body Care3
Facial Cleansing
11
Body Cleansing
8
Sunscreen3
Others5
Modern Trade38
Traditional Trade and Distribution Partner
40
Export21
Others1
Facial Skin Care77
Body Care4
Facial Cleansing
4
Body Cleansing8
Sunscreen4 Others
3Modern Trade
29
Traditional Trade and Distribution Partner
41
Export30
Others0
Revenue from sales
Unit THB Million
30
70
99
21
79
65
1179982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2017 2018Domestic Overseas
1674
1249
2017
-25
-46
-17
2018
2017
2018
Products Group Distribution Channels
18
8
Revenue from sales by Quarter
Revenue from sales (QoQ)
Unit THB Million
208 217
4249
0
100
200
300
400
500
600
Q32018 Q42018
Domestic Overseas
250266
Revenue from sales (YoY)
Unit THB Million
380
217
38
49
0
100
200
300
400
500
600
Q42017 Q42018
Domestic Overseas
418
266
-36
32
-43
6
18
4
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
6
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
7
Revenue from sales in Year Ended 2018 (YoY)
Facial Skin Care70
Body Care3
Facial Cleansing
11
Body Cleansing
8
Sunscreen3
Others5
Modern Trade38
Traditional Trade and Distribution Partner
40
Export21
Others1
Facial Skin Care77
Body Care4
Facial Cleansing
4
Body Cleansing8
Sunscreen4 Others
3Modern Trade
29
Traditional Trade and Distribution Partner
41
Export30
Others0
Revenue from sales
Unit THB Million
30
70
99
21
79
65
1179982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2017 2018Domestic Overseas
1674
1249
2017
-25
-46
-17
2018
2017
2018
Products Group Distribution Channels
18
8
Revenue from sales by Quarter
Revenue from sales (QoQ)
Unit THB Million
208 217
4249
0
100
200
300
400
500
600
Q32018 Q42018
Domestic Overseas
250266
Revenue from sales (YoY)
Unit THB Million
380
217
38
49
0
100
200
300
400
500
600
Q42017 Q42018
Domestic Overseas
418
266
-36
32
-43
6
18
4
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
7
Revenue from sales in Year Ended 2018 (YoY)
Facial Skin Care70
Body Care3
Facial Cleansing
11
Body Cleansing
8
Sunscreen3
Others5
Modern Trade38
Traditional Trade and Distribution Partner
40
Export21
Others1
Facial Skin Care77
Body Care4
Facial Cleansing
4
Body Cleansing8
Sunscreen4 Others
3Modern Trade
29
Traditional Trade and Distribution Partner
41
Export30
Others0
Revenue from sales
Unit THB Million
30
70
99
21
79
65
1179982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2017 2018Domestic Overseas
1674
1249
2017
-25
-46
-17
2018
2017
2018
Products Group Distribution Channels
18
8
Revenue from sales by Quarter
Revenue from sales (QoQ)
Unit THB Million
208 217
4249
0
100
200
300
400
500
600
Q32018 Q42018
Domestic Overseas
250266
Revenue from sales (YoY)
Unit THB Million
380
217
38
49
0
100
200
300
400
500
600
Q42017 Q42018
Domestic Overseas
418
266
-36
32
-43
6
18
4
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
8
Revenue from sales by Quarter
Revenue from sales (QoQ)
Unit THB Million
208 217
4249
0
100
200
300
400
500
600
Q32018 Q42018
Domestic Overseas
250266
Revenue from sales (YoY)
Unit THB Million
380
217
38
49
0
100
200
300
400
500
600
Q42017 Q42018
Domestic Overseas
418
266
-36
32
-43
6
18
4
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
9
243215
262299
238
363
299258
208 217
40
30
93
218
146
56
75
101
4249
282
254
359
519
386
421
386 379
261277
Q316 Q416 Q117 Q217 Q317 Q417 Q118 Q218 Q318 Q418
Unit THB Million
Lowest point of
total revenue
King Rama IX
mourning period
Closing down of the
biggest wholesale
skin care markets in
Thailand since May
2018
Lower number
of tourist due
to the limited of
zero-dollar tour
Quarterly revenue 2016-2018
6
4
18
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
10
3-year target
28
32
Cost of goods sold in Year Ended 2018
248
349 375
543
412
567
364
303
325 330
2014 2015 2016 2017 2018
Raw material and Packaging Freight Labor Depreciation Others of Sales
COGS
Unit THB Million
190
608
862
1131
837433
636
697676 670
2014 2015 2016 2017 2018
Gross Profit Gross Margin
72
3-year target
Gross Profit
Unit THB Million
68
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
11
Selling amp administrative expenses in Year Ended 2018
38
3-year target
35
Selling amp administrative expenses
155
361
442
716
669
353378
357
427
536
2014 2015 2016 2017 2018
Advertising and Promotional Employee costs Freight Others
Unit THB Million
bull Selling amp Administrative Expense has shown
significant increase correlated with increase in
sales activity The increase was mainly attributable
by advertising and promotional expenses and
employee cost
bull Selling and administrative expenses mainly
comprise advertising and promotional expenses
and employee expenses
bull Year ended 2018 y-o-y SGampA decreased by 656
The decrease in SGampA was mainly due to the
company reduced sales expense to suit the
decrease in sales revenue
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
12
Profitability in Year Ended 2018
Net Profit
28
194
335 351
184
63
203
270
208
142
-400
-300
-200
-100
00
100
200
300
400
2014 2015 2016 2017 2018
Unit THB Million
bull The Company posted net profit for the year ended
31 December 2017 and 2018 significant declined
4745 The drop in net profit margin was derived
from the decline in sales revenue especially from
overseas Proportion of cost of goods sold that
shot up a little from the adjustment in production
plan selling expense and administrative expenses
rising that went up compared to the same period of
the previous year
24
3-year target
22
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
13
2018 Wrap up Temporary Setback
Revenue from sales
Unit THB Million
1179
982
495
267
0
200
400
600
800
1000
1200
1400
1600
1800
2017 2018Domestic Overseas
-46
-25
1674
1249
-17
Depreciating
RMBCauses of
Temporary
Setback
Insufficient and inconsistent marketing
activities in China from our distributor
Lacking penetration in traditional trade
channel (1 penetration)
Tourists ferry incident in Phuket
dampening Thailand tourism
Closing down of the biggest wholesale
skin care markets in Thailand
98
65
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
14
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
15Source The Nielsen Company Weighted Distribution
We are a top-of-mind brand in Thailand
Market Share of
Facial Moisturizer
2017 38
2018 43
No 7in Thailand
Market Share
2017 50
2018 41
SupermarketHypermarket
No 6in Supermarket
Hypermarket
No 6in Convenience
Stores
Market Share
2017 30
2018 66
Convenience Stores Open Trade
Market ShareDec 2018 04
Distribution Coverage
Dec 2018 2
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
16
SNAILWHITE is the 2nd fastest growing facial skin cares brand
6254
44
Smooth-E
36 38 39
Hada Labo
37 38 43
SnailWhite
152 152146
Olay
14133
111
Garnier
95 97 98
Dermo Expertise
9185 85
Ponds
64 6878
Eucerin
41 37 38
Nivea Men
-3
-11
-2
-16 -4
54 55 57
Other
10
8 4
2
3
NO7
Market Share in Total Thailand
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
17
Thailand Market Outlook
297
461
66653
67
78
137
187
238
51
85
111
22
42
7
2012 2017 2022F
Thailand Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
7
Facial Care 764
Sunscreen 1059
Body Care 303
Facial Cleansers 495
Body Cleansing 546
2017 -2022F CAGR Consumer Trend
bull Consumers are now seeking sachet as both
trial and regular products which allow them to
try a new variants easily
bull Consumers are shifting away from chemical-
containing products as they perceive natural
ingredients to be beneficial for skin care
bull Aging Society in Thailand supports the
growth for anti-aging segment
Source Euromonitor
Anti-agingUVWhitening
Basic Care
Oil Control
116
52
84
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
18
Thailand Market Outlook
Source Ministry of Tourism and Sports
Number of Inbound Tourist in January (YoY)
257 265
097 107
000
050
100
150
200
250
300
350
400
450
500
Jan2018 Jan2019Other Countries China
+5354
372
+10
Unit Million
Revenue from Inbound Tourist in January (YoY)
137808 139867
53471 55981
0
50000
100000
150000
200000
250000
Jan2018 Jan2019Other Countries China
+2191279
+5
Unit THB Million
195847
Unit Million
Jan Dec
086 079 079 075 076 076 087 089076 081 079 082
09712
1 099087 09 094 087
064 065 068084
05
1
15
05
1
15
NUMBER OF CHINESE TOURIST
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
19
Philippines
Philippines Market Outlook
598
109
72
95
1266
86
101
12
16
19
02
04
06
2012 2017 2022F
Philippines Skincare Market Size
Facial Care Body Care Facial Cleasers Body Cleasing Sunscreen
Unit THB Billion
5
Facial Care 638
Sunscreen 872
Body Care 482
Facial Cleansers 321
Body Cleansing 278
2017 -2022F CAGRConsumer Trend
bull Consumerrsquos desire to improve
their looks was reflected in their
ongoing acceptance of global
trends together with increasing
purchasing power
bull Consumer are not only adding
more such products to their daily
skin care routines but are also
trying out different formats
bull High income consumers look for
more effective and gentler
products
Source Euromonitor
35
28
21
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
20
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
21
2023To be top 3 market leader in Thai facial skin care
2038To be a market leader in Asian facial skin care
2030To be a market leader in ASEAN facial skin care
Mission Statement
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
22
28
3
15
2
12
0
11
0
62
37
37
13
12
10
28
1
15
2
11
6
10
0
55
38
38
21
14
15
26
1
14
6
12
5
98
44
43
39
34
12
11
LOreal(Thailand)
Procter ampGamble
(Thailand)
Beiersdorf AgGermany
Unilever ThaiTrading
Smooth-E Dodaydream Mentholatum Aisance Johnson ampJohnson
Consumer
Karmarts
2016
2017
2018
Market Share ()
88 SKUs 52 SKUs 68 SKUs 32 SKUs 19 SKUs 8 SKUs 19 SKUs 28 SKUs 10 SKUs 4 SKUs
Top Manufacturers in Thailand (Facial Moisturizer)
Do Day Dream
NO6
Source The Nielsen Company
The highest market
share per SKUs
among the top
manufacturers
8
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
23
How to be
top 3 in
Thai facial skin care
2023 Mission
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
24
NO6
Source The Nielsen Company
DDD need to capture at least 12 market share to become top 3
NO6
12
+8
And New Brand
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
25
How can DDD capture
more market share
2023 Mission
Products Channel
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
26
Products
Brands Portfolio
ldquoBeauty is Healthyrdquo ldquoAcne Knockrdquo
Number of Product 20 Products (41 SKUs)
6 Products(12 SKUs)
1 Product(1 SKUs)
Distribution Channel Modern Trade
Traditional Trade
Export
Modern Trade
Traditional Trade(Focus on Drugstore)
Online
Focus on Whitening
Anti-Aging
Anti-Acne
Sensitive Skin
Whitening
Anti-Aging
Positioning Premium Mass Premium MassMass
ldquoBFF for Womanrdquo
Beauty Skin Care Derma Skin Care
1 Product(1 SKUs)
Modern Trade
Moisturizing
Anti-Aging
Premium Mass
ldquoStories of Skinrdquo
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
27
Supplement
Herbal
Beauty Service
Other
Dermatological
Cleansing
Brands Portfolio
Products
Facial Skincare
Potential
Deal
Potential
Deal
Premium Mass
Potential
Deal
Potential
DealPremium Mass
Premium Mass
Mass Premium Mass
New Brand
New Brand
New Brand
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
28
Brands Portfolio 2019
201820 Products 41 SKUs
20191 New Product
4 New SKUs(21 Products 45 SKUs)
2018NA
20192 New Product
4 New SKUs(2 Products 4 SKUs)
20181 Products 1 SKU
20194 New Product
4 New SKUs(4 Products 4 SKUs)
20186 Products 12 SKUs
20191 New Product
1 New SKUs(7 Products 13 SKUs)
Beauty Skin Care Derma Skin Care
Products
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
29
How DDD capture more
market share
2023 Mission
Products Channel
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
30
Growing the market share
Modern TradeMarket size THB 34468 mm
Traditional TradeMarket size THB 30560 mm
Inbound TouristMarket size THB 9728 mm
Export
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
31
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
PENETRATION
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Domestic penetration over 85
Expand from online channel to mainstream
Focus on CVS over Thailand within 2019
New Brand launch on Mar 2019
List-in Modern Trade Channel (Focus on specialty Store)
Expand to new modern trade store (Focus on Drug Store)
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
32
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
33
Growing the market share
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
34
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution 72
1
2 - 3
28
Leader in TT channel
Rooms for improvement
5
30
Target - 2023
Expand penetration in traditional
trade channel
Strengthen relationship with
upcountry distribution centers
Direct communication to target
customers
1
2
3
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Sep 2018
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
35
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Market Share
Distribution
1
2 - 3
Target - 2019
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
At the end of Dec 2018
2
NA
NA
NA
Market Share
5
NA
NA
NA
Distribution
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
36
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
PENETRATION Low domestic penetration rate
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Source The Nielsen Company
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
37
Growing the market share
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Communication for Traditional Trade ChannelSNAILWHITE roadshow in Northeastern part of Thailand
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
38
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
CHANNEL COVERAGEIncrease point of sale in tourist attractions to
capture more potential customers
The Worldrsquos Top Tourism Destinations Ranked by Money SpentInternational Tourism Receipts in 2017 (US$ billion)
Source Bloomberg
Thailand to grant visa-on-arrival
Fee waiver for some visitors in bid
To lift tourism slump
Expected inbound tourists in 2018
3755Million tourists
Travelers spend more money
In Thailand than anywhere else
In Asia
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
39
Growing the market share
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Export
Source Ministry of Tourism and Sports
Domestic Tourist Increase point of sale in tourist attractions to capture more potential customers
2017 2018
1 Bangkok 596281 681329
2 Phuket 374902 424565
3 Chonburi 191403 218431
4 Surat Thani 75326 85884
5 Krabi 68460 78834
6 Phang Nga 41039 45592
7 Chiang Mai 37750 41650
8 Songkla 28887 34348
9 Prachuap
Khiri Khan12863 14064
10 Trad 7231 8037
Revenue from Inbound Tourist
+14
+13
+14
+14
+15
+11
+10
+19
+9
+11
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
40
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
CHINA Distribution model bull Appoint new distributor to expand market reach
bull Huge skin care market size with intense competition
bull Expected to grow at market rate
HONGKONG Distribution model bull Trade center for business and tourist destination for both
foreigner and Chinese
bull Border to china mainland
PHILIPPINESPartnership model bull Sizable skin care market with high forecasted growth rate
bull Strong relationship with partner
bull Leverage marketing know-how to replicate success
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
41
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
Hongkongbull Available in Watsons SASA and Mannings stores since Q3rsquo2018
bull Created brand awareness via online channel and out of home media
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
42
Growing the market share
Export
Modern TradePOS 13000 15000
Market size
THB 34468 mm
Traditional TradePOS 5000 400000
Market size
THB 30560 mm
Inbound TouristKing Power DFS 8 9
Market size
THB 9728 mm
PHILIPPINESbull Available in Watsons stores since October
bull Launch campaign ldquoUnlock Beautyrdquo with 70 Beauty influencers
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
43
PHILIPPINESCreate Brand Awareness and
Expand Distribution Channel
New ProductBrand LaunchTotal New 8 Products 13 SKUs
Traditional Trade ChannelExpand Distribution Coverage from 2 to 5
Increase point of sales in top tourist provinces
Growth Drivers 2019
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
44
2019 Target Sale growth 20
bull 10 Channel expansion
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 PH
2018
Traditional
Trade
Inbound
Tourist
New Product
New Brand
Philippines
3000(USD 9375 mm)
Traditional
Trade
New
Product
Overseas
400
450
700
2023 Target THB 3000 mm in sales
2019 2023
2019 Target Sale growth 15
Unit THB mm
A B C D 1 2 3
2019 Target Sale growth 15
bull 7 TT expansion
bull 3 Inbound tourist
bull 5 new product
bull 5 Philippines
2023 Target 3000 MB in sales
bull THB 700 mm from Traditional Trade
bull Improve penetration to 30
bull THB 450 mm from New Products
bull Increase variety of products
to 40 products
bull THB 400 mm from Overseas
bull Growth in Philippines and new
countries
A
B
C
D
10 Channel expansion
1
2
3
2019 amp 2023 Perspective
1250
1450
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
45
Do Day Dream is still young We have a big dream
We never stop growing to be the market leader
Road to 2023Mission Top 3 market leader in Thai facial skin care in 2023(current No 6 as of 2018)
To be top 3 Gain at least 12 market share(current market share 43 as of 2018)
How to grow the market share Domestic channels new country new product
bull Modern Trade Increase variety of products
bull Traditional Trade Increase penetration (from 1 to target 30)
bull Inbound Tourist Effective communication tools
(airport WI-FI KOL) and Increase present in tourist provinces
bull Export New overseas subsidiaries and distributors
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
46
TABLE OF CONTENTS
Background and business
Key financial performance
Where we are so far
Company outlook
Appendix
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
47
2016bull Launched 4 more
products of NAMU
LIFE SNAILWHITE
and expanded into
body cleansing
bull Started production in
the new plant located
in Rojana Industrial
Park in October 2016
bull Implemented SAP
bull Increased share
capital to THB 225 mn
focusing on
international
expansion
2017
bull Launched 8 more
products of NAMU
LIFE SNAILWHITE in
facial skin care and
body care
bull Started to produce
small size products
(Sachet) selling
through leading
convenience stores
bull Listed on the Stock
Exchange of Thailand
bull Founded Do Infinite
Dream Co Ltd to be
IHQ for the Companyrsquos
international business
2014bull Launched 3 more
products of NAMU LIFE
SNAILWHITE and
expanded into body care
product
bull Expanded into modern
trade and export to
China Hong Kong
Myanmar and Cambodia
bull Increased share capital
from THB 1 mn to THB 10
mn for business
expansion
CHINA
HONG KONG
2012-2010
bull Founded Do Day Dream
PLC to focus on OEM
Business
of skin care products
with registered and paid-
up
capital THB 1 mn at par
value of THB 100 each
Our Journey Since 2010 has seen us become a leading skin care company in Thailand
2015
bull Founded Namu Life
Plus Co Ltd to be
the Companyrsquos local
distribution arm
bull Launched 3 more
products of NAMU
LIFE SNAILWHITE
and expanded into
sunscreen and
cleansing products
bull Invested in land with
factory located in
Rojana Industrial
Park and started to
renovate new plant
bull Snail Filtrate rejuvenates the skin
bull Tailored the product to suit the
climate and skin of SEA countries
bull Created the new segment for the
market the Premium-Mass
2013
bull Founded NAMU LIFE
Brand and launched the
first product
ldquoSNAILWHITE
SECRETION FILTRATE
MOISTURE FACIAL
CREAMrdquo
bull Main distribution
channels are online
(Line Facebook and
Instagram) and
traditional trade
2018
bull Launched 1 more
product of NAMU LIFE
SNAILWHITE ldquoICY
Maskrdquo
bull Founded Dream
Dermatology Co Ltd to
support the Anti-Acne
Brand ldquoOxersquoCurerdquo that
we acquired in April 2018
bull Founded Skin Make
Smiles Co Ltd for
selling premium skincare
products
bull Founded DDD PH
Corporation Co Ltd for
expanded SnailWhite
products into Philippines
since September 2018
bull Launched the first
products of Prettii Face
which is ldquo Clay Maskrdquo
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
48
Appendix Key financial strategies
Capital structure
Risk management
Dividend policy
bull Do Day Dream will maintain an appropriate debt to equity ratio to optimize capital
structure
bull Current DE is at 05x
bull The Company has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull Our subsidiary has dividend payout policy of at least 50 of the net profit under
standalone financial statements
bull The Company hedge foreign exchange rate risk by entered into forward contract for
hedging approximately 70 of USD purchased value
bull Our insurance made cover damage incur approximately THB 1049 mn which cover
our total fixed asset value
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
49
Financial position
(THB mn) Dec 31 2017 Dec 31 2018
Cash and cash equivalents 438852 177448
Current investments - 239956
Trade accounts receivable and other receivables 42918 26589
Inventories 29168 39158
Property plant and equipment 27856 27422
Intangible assets 1650 10883
Other 5605 6364
Total Assets 546049 524820
Short-term loans from financial institutions 26714 -
Trade accounts payable and other payables 30928 15690
Long-term loans from financial institutions 6819 9120
Other 2939 1738
Total liabilities 67400 26548
Issued and paid-up share capital 31600 31789
Share premium on ordinary shares 434791 439986
Retained earnings (Inc legal reserve) 15429 26934
Other (3171) (437)
Total equity 478649 498272
Total liabilities and equity 546049 524820
Balance Sheet
bull Assets
Cash spent as working capital to acquire
other assets such as higher inventories or
loan payments to financial institutions
mainly contributed to the decline in total
assets
bull Liabilities
Total liabilities fell as short-term loans from
financial institutions and trade payables and
other payables dropped
bull Equity
The increase in shareholdersrsquo equity was
mainly caused by the Companyrsquos retained
earnings from the Companyrsquos performance
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
50
Financial position
529 776
5460 5248
286 401
674
265 243 375
4786 4983
2015 2016 2017 2018
Total Assets Total Liabilities ShareholdersEquity
Balance Sheet
Unit Million baht
Key Financial Ratio 2015 2016 2017 2018
Days Sales Outstanding (days) 46 53 64 93
Days Inventories on Hand (FG) (days)
29 40 48 101
Days Payable Outstanding (days) 56 80 76 76
Return on Assets () 498 514 113 352
Return on Equity () 1335 1086 136 370
Debt to Equity Ratio (times) 12x 11x 01x 005x
Interest Bearing Debt to Equity Ratio (times)
05x 05x 01x 005x
A
B
C
A
B
C
Total liabilities increased mainly due to loan to
finance new factory
Total assets increased mainly due to increase in
account receivable and cash and cash equivalent
Total Equity increased mainly due to the initial
public offering (IPO) on Dec 2017
D
D
FG decreased QoQ but PM increased due to new
product launch in Q4
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
51
Cash Cycle
Key Financial Ratio 2017 2018
Days Sales Outstanding (days) 64 93
Days Inventories on Hand (days) 187 299
Days Inventories on Hand (FG) (days) 48 101
Days Payable Outstanding (days) 76 76
Cash Cycle (days) 175 316
84
1369
760
62
133
1805
6
2017 2018
FG Semi-FG Raw Material Packaging Supply and other
292
391Unit Million baht
FG
+62
Packaging
+35
+34
A
B
C
DSO increased due to revenue from sale declined
dramatically at 25 from last year
DIO significant changed came from the increasing
of inventories
2018 FG decreased QoQ but Packaging increased
due to new product launch in Q4
Inventories
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
52
Profit and loss statement
Statements of comprehensive income
Year ended December 31 Quarter ended (3 months)
(THB mn) 2014 2015 2016 2017 2018 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
Revenues
Sales 4380 9551 12368 16744 12496 3552 5172 3840 4180 3743 3592 2498 2663
Domestic sales 3543 7751 10907 11617 9822 2623 2986 2376 3804 2991 2585 2078 2167
Export sales 837 1800 1462 5128 2674 929 2186 1464 376 752 1007 419 496
Service income - 00 01 01 00 00 00 00 00 00 00 00 00
Other income 01 16 32 98 544 37 17 18 27 123 198 112 110
Total revenues 4381 9567 12402 16843 13040 3589 5189 3858 4207 3866 3790 2610 2773
Expenses
Cost of sales 2482 3475 3748 5349 4123 1105 1480 1390 1458 1010 1207 977 929
Selling expenses 1474 3309 3545 5809 5105 1462 1466 1474 1406 1196 1434 1087 1388
Administrative expenses 74 303 871 1434 1587 238 392 419 301 341 411 520 315
Total expenses 4030 7087 8164 12592 10816 2805 3338 3283 3164 2547 3052 2584 2632
Profit before finance cost and
CIT
351 2480 4238 4251 2224 784 1851 575 1043 1319 738 26 141
Finance cost (04) (39) (58) (120) (95) (28) (31) (34) (27) (32) (29) (22) (12)
Profit before CIT 347 2441 4180 4131 2129 756 1818 541 1016 1287 709 04 129
Income tax (72) (502) (828) (621) (284) (132) (352) (96) (41) (166) (79) (02) (37)
Profit for the year 275 1939 3352 351 1845 624 1466 444 975 1121 630 02 92
Earning per share (Adj) 50 176 234 150 058 028 065 019 038 035 020 (0002) 003
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
53
Appendix Balance sheet and cash flow statement
Statements of financial position
Statements of cash flows
As at December 31
(THB mn) 2014 2015 2016 2017 2018
Cash and cash equivalents 417 739 415 43885 17745
Total current assets 1817 3787 5129 7340 48366
Total non-current assets 690 1498 2626 3380 4116
Total assets 2507 5285 7755 54605 52482
Total current liabilities 1404 2352 3532 6172 1945
Interest bearing debt 889 1268 1957 3353 912
Total liabilities 2026 2860 4005 6740 2655
Total shareholdersrsquo equity 481 2425 3750 47865 49827
Total liabilities and shareholdersrsquo equity 2507 5285 7755 54605 52482
Year ended December 31
(THB mn) 2015 2016 2017 2018
Net cash flows from operating activities 833 2188 2453 886
Net cash flows from (used in) investing activities (865) (1140) (963) (24374)
Net cash flows used in financing activities 354 (1372) 41980 (2674)
Cash and cash equivalents at end of yearperiod 739 415 43470 17745
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
54
Appendix China outlook
Products with CFDA
Online
Cross-border e-commerce
CHINA
Not required CFDA
Mainstream
online platform
Required CFDA
bull Market size is much bigger than
Cross-border e-commerce
bull Allow wholesale transaction
bull Lower transportation cost due
to the bundle shipments
bull Cross-border is temporary
which is subject to change
according to Chinses policy
bull Not eligible for wholesale
transaction
Offline
Required CFDA
bull Currently in talk with one of the
distributors
ALREADY
ENTERED
Main benefits of CFDA
bull More easily accessible
in Mainstream online
platform and offline
channels which the
market is much bigger
than Cross-border e-
commerce alone
bull No risk from the policy
change of Cross-border
e-commerce
NAMU LIFE
SNAILWHITE
SYN-AKE MIST
Q3 2018
NAMU LIFE
SNAILWHITE
WHIPP SOAP
Q1 2018
NAMU LIFE
SNAILWHITE
CLEANSING
Q1 2018
NAMU LIFE
SNAILWHITE
FACIAL CREAM
Q1 2018
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
55
Brand SoS (เอะส โอ เอะส)
Stories of SkinOwner Skin Make Smile CoLtd
(Subsidiaries of Do Day Dream PCL)
Launch Mar 1st 2019
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
56
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
57
Modern Trade Local Traditional Trade Inbound Tourists - Focused
2017 2018
Revenue by Channel
Domestic Revenue (YoY)
Inbound Tourists includes King Power Duty Fee and specialty stores - which mainly focus on inbound tourists
- 2- 55
29
0
100
200
300
400
500
600
2017 2018
China Philippines Other
Unit Million baht
Overseas Revenue (YoY)
-46
-65
99 65
18
Unit Million baht
495
267
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
CONTACT US
DO DAY DREAM PLC
Investor Relations Department
Tel +662-917-3055 Ext808
Fax +662-917-3054
Email irdodaydreamcom
Website wwwdodaydreamcom
Contact person
Ms Chanoknan Thiemrat (Investor Relations)
Email Chanoknantdodaydreamcom
Company satisfaction survey
