ANNUAL REPORT 2007 รายงานประจำปี - IR Plus

Management’s Discussion and Analysis (MD&A) and Operating Result
REVENUES
Items (Unit: Million Baht) 2007 2006
Net sales 2,345.20 2,741.94
Revenue from services 131.88 108.70
Revenue from lease agreement 9.20 8.21
Others 21.13 32.04
TOTAL REVENUES 2,507.41 2,890.89
EXPENSES
Cost of goods sold 1,939.28 2,270.13
Cost of services 105.83 94.03
Cost of leasing 6.42 6.30
Selling and administration expenses 289.16 262.39
Remuneration for directors 0.77 0.54
TOTAL EXPENSES 2,341.46 2,633.38
EARNINGS BEFORE INTEREST EXPENSES AND INCOME TAX 165.95 257.51
Interest payable 70.64 65.88
Corporate Income Tax payable 33.34 70.25
NET PROFIT (LOSS) 61.96 121.38
EARNINGS PER SHARE (Baht) (Par value per share of Baht 1) 0.15 0.33
EARNINGS PER SHARE (Fully Diluted) (Baht) (Par value per share
of Baht 1)
0.12 0.23
The major revenues of The Company and its Subsidiaries derived from car sales and services revenues.
Sales revenues of The Company and its Subsidiaries for the year 2007 totaled Baht 2,345.20million,
decreased 14.47% from the previous year. The major reason of lower sales is because of the economy
slowdown which results to sluggish consumer consumptions.
In 2007, service revenues totaled Baht 131.88 million, increased by 21.32 % from Baht 108.70 million in 2005.
Service revenues represented 5.26% of the total revenue in 2007. The increase in service revenues largely
due to The Company’s policy of introducing great service to the customers to become the leading car importer
in this field.
In 2006 and 2007, the Company’s gross profit reported Baht 486.49 million and 431.97 million respectively, or
17.07% of sales revenue in 2006 and 17.44% of sales revenue in 2007. An increase in gross profit margin was
164