Page 211 - Annual Report Design 2023-2021

Annual Registration Statement / Annual Report 2022
1 April 2022 – 31 March 2023 3
(แบบ 56-1 One Report)
Mr. Hiroshi Yamada Business conditions / FY2022 results
In FY2022, the stagnant production and consumption activities including the restriction on the movement of people and goods, caused by the coronavirus pandemic, were unraveled. Although the unravelling in each region and market was different, the overall economy tended to recover moderately. In the other hand, the economy growth slowed down due to raising raw material price caused of situation in Ukraine, semiconductor shortage, increased inflation and raising the policy rate in Europe and USA. In the case of our company, although demands of fabrics had been recovering slowly, the cost of raw materials and energy increased. Moreover, textile for automobile industry was affected by semiconductor shortage.
Under these situations, our revenue in 2022 increased 20% to 9,875 million Baht when comparing with the previous year. Net profit on the equity method basis was 86 million Baht or 15 times when comparing with the last year. Moreover, cash flows from operating activities increased to 258 million Baht caused of sales increasing.
Business policy
The coronavirus has caused the major changes in the world, but on the other hand, it is important to accurately grasp changes in the market structure such as consumer tastes, behaviors and supply chains to lead to future business expansion.
Among our businesses, although the apparel market for business uniform of spun fabrics, filament fabrics, knitted fabrics and denim spun yarns are expected to decrease, the fabrics for sports and casual wear will expand. In addition, due to the increased awareness of sustainability, customer demands for recycled products and international environmental certification are becoming stronger than before. It is becoming more important to develop and propose new products that meet these demands. Furthermore, in terms of supply, as the movement to review local production for local consumption is progressing. Our key of growth and survival is how to expand our business toward markets which have the potential to grow such as ASEAN countries and India by taking advantage of our location in Thailand.
On the other hand, in the market for industrial material products as airbag fabrics and cord yarns, mainly for automobiles, demand is expected to increase steadily over the medium to long term. We will continue to maintain a system that enables efficient use of production equipment, while continuing to strengthen cost competitiveness, which is the source of profits for manufacturers, stabilize quality and build a strong business structure.
Our company, which has both apparel and industrial material products, will continue to strengthen our product development capabilities and expand our material lineup, aiming to contribute to society by creating new value as a comprehensive textile manufacturer.
In 2023, the uncertain situations such as protracted conflict between Russia and Ukraine, many banks in America may go bankrupt. However, although we are in uncertain situations, we will intend continuously to promote business expansion and strengthen our constitution for recovering and expanding our business performance. All employees will work together as one, so please support us.
Finally, on behalf of the management, I would like to express my sincere gratitude to the Thai government, shareholders, customers and employees for their great support.