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EN_Tipco_Annual Report 2014

ANNUAL REPORT 2014 Marketing Costs Financial support from Suntory Beverage & Foods Asia Co., Ltd. funded advertisement production and promotion campaigns for products under Suntory Beverage & Foods brands produced and distributed by subsidiary company, i.e., TIPCO F&B Co., Ltd. This item includes special funds for pur-chasing Analysis of Costs and Initial Profit Baht million Sales and Management Expenses Expenses 2012 2012 Baht million Baht million Baht million Baht million Baht million % of sale revenue % of sale revenue % of sale revenue % of sale revenue % of sale revenue % of sale revenue 2013 2013 2014 2014 Sales revenues Cost of goods sold Gross profit Sales & management expenses 5,442.1 3,701.2 1,740.9 1,752.0 100.0 68.0 32.0 32.2 100.0 72.1 27.9 32.6 100.0 69.5 30.5 36.5 5,588.2 4,030.3 1,557.9 1,824.0 5,507.8 3,825.4 1,682.4 2,008.2 products in accordance with set sales targets. Profit from Sale of Investments This item represents profit from the sale of certificates of entitlements issued by TIPCO Asphalts PCL. Other Income Transportation and insurance income accruing to CIF exports are recorded under Other Income. In regard to FOB export, sales revenues are recorded while income from transportation and sales insurance come under Other In-come. Insurance expenses payable to shipping and insurance companies are already included in the costs of sales and services. In 2014, the gross profit increased while canned pineapple export was the only Business Unit to report lower gross profit, reflecting raw material short-age as sharp fluctuations of pineapple prices pushed up production costs while export prices of canned pineapple and juice could not be adjusted to absorb higher cost of goods. In the ready-to-drink beverage, retail trade, agro-industry and extract seg-ment, higher gross profit was achieved though tight cost control, greater efficiency of the entire production line, and lower production costs. Agro in-dustry and plant extract business managed to increase the selling price to reflect outstanding product features, thereby achieving higher gross profit.


EN_Tipco_Annual Report 2014
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