1

2

30%

31%

North America

35%

36%

Europe

48%

51%

South Asia

45%

48%

SE Asia

LCC penetration

49%

52%

Thailand

2017 2018

CHINA

Grew by 7% YoY and 28% contribution

ASEAN

Grew by 10% YoY and 26% contribution

EUROPE

Grew by 4% YoY and 18% contribution

SOUTH ASIA

OVERALL

Recorded at 38.3 million visitors in 2018

Expected over 41.1 million visitors in 2019

E.Asia 67%

EU 18%

S.Asia 5%

US 4%

Others6%

million

FY2018 38.3 million tourists to Thailand or 8% YoY

Grew by 12% YoY and 5% contribution

Expected over 41.4 million visitors in 2019 or 7% YoY

3

4

2.13 mil

(+8%)3.37 mil

(+0%)

► Passengers grew by 3% from the slowdown during the golden

week, despite 6% growth in capacity.

► ASK increased by 8% driven by the launch of 11 new routes

and an added frequency of 1 route.

► Average fare was at Baht 1,412 per pax, edged down by 6%

due to lower demand in the peak season. Thus, waiving VOA

fee has resulted in the gradual recovery of Chinese tourists

during post-implementation in December.

► Ancillary revenues were Baht 1,896.3 million up 10% or

Baht 345 per pax up 6% YoY, while value pack enhanced

seat selection and inflight revenues.

► CASK was 1.60 Baht up 6% YoY as a 28% rising oil price

($90/bbl. VS $70/bbl.), while CASK ex-fuel was 0.99 Baht

down by 5% due to cost containment.

► Core Revenues were 9,655.1 MB with 14.5% EBITDAR Margin.

► TAA & AAV reported Net loss at Baht 483.8 million and

Baht 269.9 million, respectively.

5

(-2 ppt YoY)

13.4 mil(+8%)

8.2 mil (+11%)

► Passengers grew by 9%, despite 11% growth in capacity.

► ASK rose by 12% due to launching 21 new routes and

adding frequencies in favourable routes.

► Average fare was at Baht 1,477 per pax, down by 2%

due to slowing Chinese visitors.

► Ancillary revenues were Baht 7,134.1 million up 13% or

Baht 331 per pax up 4% YoY, while dynamic pricing and

value pack enhanced seat selection and inflight revenues.

► CASK was 1.58 Baht up 4% YoY as a 32% increase in oil price

(85/bbl. VS $64/bbl.), while CASK ex-fuel was 1.00 Baht

down by 5% due to cost containment.

► Core Revenues were 38,904.8 MB with 19.2% EBITDAR Margin.

► TAA & AAV reported Net profit at Baht 127.4 million and

Baht 70.0 million, respectively.

► Net gearing at 2.16x with a cash balance at Baht 4.0 Billion

6

TOTAL REVENUES

40,200+8% YoY

EBITDAR

7,475-23% YoY

TAA NET INCOME

128-95% YoY

AAV NET INCOME

70-95% YoY

2017

million Bahtmillion Baht million Baht million Baht

TOTAL REVENUES

9,997-1% YoY

EBITDAR

1,396-47% YoY

TAA NET LOSS

-484->100% YoY

AAV NET LOSS

-270->100% YoY

million Bahtmillion Baht million Baht million Baht

• 4Q18 traffic up 9%, led to a rise in fees of 11% YoY

• FY18 traffic up 8%, led to a rise in fees of 15% YoY

• Fly-Thru pax was at 5% of total pax

• 4Q18 up by 32% YoY, FY18 up by 33% YoY

• Emphasise on Value Pack and Premium Flex with travel

protection to increase sales volume

• 4Q18 grew by 18% YoY, FY18 grew by 30% YoY

• Continue promoting pre-book In-flight combo set

• Enhance house-brand on F&B

• 4Q18 down by 3% due to slowdown of foreign

tourists (50% of ancillary revenues)

• FY18 increased by 9% (52% of ancillary revenues)

• Fee structure adjustment; Processing fee

4Q18 grew by 45% YoY, FY18 grew by 23% YoY

FY2018 achieved 7,134 mb (+13%YoY) or Bt 331 per pax (+4% YoY)

7

8%

8%

4%

52%

9

Whereas, CASK Ex-Fuel in FY2018 edged down by

5% to Baht 1.00 per ASK due to the cost containment.

Sensitivity: +/- 1 Baht against USD equal +/- 5 USD

per barrel Jet

Fuel costs is the major cost, rocketed

by 32% in relation to the significant rise

in global oil price ($85/bbl. VS $64/bbl.).37%

37% Fuel Costs

15% Staff Costs

13% Aircraft and Aircraft

Engine Rental

8% Repair and Maintenance

11% Ramp and Airport

Operation

6% Selling and

Administrative Expenses

10% Other costs

Hedge Position

Note: Information as of February 18, 2019* Excluding D Factor and Excise Tax

MARKET

SHARE1 BY

PAX

FLOWN

As of 31 December 2018

11

4Q18 DMK-Danang (2nd)(Oct) CNX - Hanoi (Oct)

CNX - Nanchang (Oct)

DMK - Bhubaneswar (Nov)

DMK - Visakhapatnam (Nov)

KBV - Macao (Dec)

KBV - Hong Kong (Dec)

DMK - Gaya (Dec,W)

DMK - Colombo (Dec)

CNX - Beijing (Dec)

KBV - Chongqing (Dec)

UTP - Khon Kaen (Dec)

1Q19 CEI – Macao

CEI – Kuala Lumpur

CEI – Singapore

CEI – Phuket

2Q19 CNX – Danang

DMK – Nha Trang

DMK – Can Tho

12

•

•

13

ASEAN

DOMESTIC, 45%

CHINA, 20%

CLMV, 15%

ASEAN ex CLMV, 10%

INDIA, 10%

Revenue by Routes in 5-Year

CLMV

12%YoY

REVENUES 16%YoY

1

14

1 As of 31 December 2018

15

ColomboMale

Kochi

Jaipur

CHENNAIBENGALURU

KOLKATA

Visakhapatnam

Bhubaneswar

Gaya

BOLD : Tier 1

16

17

Impact -> Processing fee (2% of Revenues) to be recorded on the flown date

Impact -> Recorded 111 MB in 1Q19

Impact -> Comprehensive income statement

Impact -> Modified retrospective method

-> Increased EBITDA and Debt to Equity Ratio

INC

OM

E

STA

TE

ME

NT

Operating Exp. - Rental Expense -

EBITDA - -

Deprecation Exp. Depreciation Exp - Depreciation Exp

Finance Cost Interest of Finance Lease - Interest of Lease Agreement

EBIT - -

B/S

Asset Right of Use Asset - Right of Use Asset

Liability Lease Liability - Lease Liability