Bunchai Punturaumporn, Chairman of the Executive Board of Sabina Public Company Limited (SET: SABINA), revealed that SABINA has adjusted its strategy in response to the economic slowdown both domestically and globally, driven by uncertainties such as the ongoing trade wars.
As part of these adjustments, the company has merged its Buriram factory with the Yasothon factory. This restructuring involves certain costs, especially for employee compensation as per benefits agreements for those not transferring to the Yasothon facility.
Consequently, the company reported a net profit of THB 113.5 million in 4Q24, a slight decrease of 0.1% from 4Q23, with a net profit margin of 12.9% in 2024 compared to 13.4% in the previous year.
Additionally, SABINA has gained some advantage from increased wages, which did not rise uniformly across the country. The expected 14% cost increase only ascended by 2%.
Coupled with a strategic shift in workforce management, where the company focuses on enhancing existing employee skills and capabilities rather than hiring replacements for departing staff, SABINA’s financial structure for 2024 is expected to be even stronger. This follows a record-high earnings per share (EPS) increase from THB 1.33 in 2023 to THB 1.34 in 2024.
Duangdao Mahanavanont, SABINA’s CEO, discussed the company’s international expansion, highlighting the business’s progress in the Philippines where SABINA invested in Moda Philippines in early 2023.
Despite the positive trend, sales in the Philippines in 2024 were impacted by department store restructurings, leading to a decrease in sales from SABINA’s large stores.
In response, the company enhanced its online marketing, increasing the online sales channel’s proportion from 8% in 2023 to 13% in 2024, with expectations for continued growth in 2025. SABINA plans to increase its offline stores from 49 in 2024 to no less than 70 stores by 2025.
In Thailand, retail remains the main sales channel, constituting 61% of total sales channels and generating THB 2,187 million in 2024. In 2025, SABINA plans to open at least seven new shops, increasing from 89 to 96 outlets, thereby raising the total number of retail stores from 516 to 523.
The selection of new locations is based on high growth potential areas. Meanwhile, the Non-Store Retailing (NSR) channel, which accounted for 33% of total sales in 2024, showed a 17.8% growth with sales reaching THB 1,184 million.
The Original Equipment Manufacturer (OEM) channel comprised 6%, and in 2025, SABINA targets a 10% growth in OEM, in line with its strategy to achieve growth across all sales channels in 2025.
