Message from Chairman

Dear Shareholders,

Since the day FN Factory Outlet Public Company Limited (“the Company”) was registered and establish in The Stock Exchange of Thailand on 14 September 2016, the Company still determine to operate the outlet stores in the line of “Export Quality at the Manufacturer Price” concept. Company distribute and sell house brands, such as Prim, Cushy, Cherish, Inco, Cheval, which offer consumer goods, clothes, bedding, leather, furniture, and household product. Furthermore, the Company offers national and international brand including local brand in Tonkla Shop to carry out a variety in responding customer needs which could be any range of age and gender combining as a family.

In 2017, the Company has expanded two new stores which are the ninth branch at Hatyai and the tenth branch at Chachoengsao. They were launched on 6 April 2017 and 8 December 2017 respectively. To grow customer base of traveler, local, and industrial estate worker, Company offers Eating, Visiting, and Shopping stops. The Internet-famous, Mom-Ta-Nad-Dak restaurant, Japanese restaurant, Noodle shop, Café, Starbucks Drive-Thru are served in FN Outlet. Company doesn’t stop selecting innovative goods, developing goods, and launching every quarter to meet customer need and satisfaction at every visit.

The year 2017 company performance, consolidate report states an income of 1,101 million Baht and a net profit of 86 million Baht. Due to overall 2017 Thai economy which was focus on adjusting macro-economy structure and started to improve after Royal event on October which had an insignificantly positive impact on retail industry. However, in the Fourth quarter, the Company promoted selling activities and has expanded selling channels to Online, Home-Shopping TV channel, Trade exhibition, and B2B which increase revenues stream comparing to 2016. Company strategically believes that selling to other channels besides FN Outlet would significantly increase revenue in the future. Company financial status is strong with a good liquidity at the end of 2017 and Debt to Equity ratio equal to 0.09.

About the future project, Company has not only planned to expand physical store to the province that is the main road for tourism especially a big city and economic zone. But also renovating existing store to be modernized, increase and reallocate rental space, and eager to bring in new brands which is customer’s favorite. Furthermore, the Company is seeking for a new opportunity to grow as an inorganic growth which the Company believes in capacity to create satisfaction to existing customers and expand new customers consecutively.

On behalf of the Board of Directors, executives, and employees, we would like to express our appreciation and gratitude to our shareholders, business partners, customers, financial institutions and all stakeholders for their continued trust and support. As the leader and pioneer of factory outlet business in Thailand, we greatly affirm to operate our business with prudence and good corporate governance, and will contribute to the development of communities and society to ensure a sustainable growth of the Company and of the nation as a whole.

“Selective Life”



Mr. Visuth Vitayathanagorn

Chairman

Mr. Benyiam Songwatana

Chief Executive Officer