Bangkok, August 15, 2025 – HaadThip Public Company Limited (HTC) announced its operating results for the second quarter of 2025, highlighting soft consumption trends in the overall non-alcoholic ready-to-drink (NARTD) categories in Southern Thailand. The company’s sales contracted by 12.7% and net profit declined by 10.3% compared to the same period last year. To address these challenges, the company has been working to enhance production and operational efficiency, while also launching a new 250-milliliter beverage pack size at a 10-baht price point. This aims to better align with current consumer spending habits and prepare the business for the economic volatility anticipated in the second half of the year.

HaadThip, the authorized bottler and distributor of Coca-Cola beverages in 14 southern provinces, reported Q2 2025 sales revenue of THB 1,938.4 million, down 12.7% year-on-year. The decline was attributed to the slowdown in tourism. According to the Bank of Thailand, Southern Region Office, international tourist arrivals in the South fell by 10.8% in Q2 2025 compared to Q1 2025 (QoQ). Agricultural income also contracted, especially in the rubber sector, which was hit by both lower global market prices and reduced yields due to heavy rainfall. Rubber income contracted by 20.6%, and total agricultural income fell by 11.6% year-on-year. Coupled with uncertainty in both the Thai and global economies—partly stemming from the U.S. reciprocal tariffs policy—consumer confidence has weakened, leading to more frugal spending.

In response to this volatile business environment, the company accelerated operational efficiency improvements. Prior packaging size adjustments helped reduce raw material usage, and combined with lower raw material costs, this drove the Q2 2025 gross profit margin to 42.7%, up 0.7 percentage points from the same period last year. Selling, general, and administrative (SG&A) expenses totaled THB 660.7 million, down 10.3% year-on-year. However, one-off expenses—specifically the impairment of the old glass bottle production line at the Hat Yai Plant in Songkhla Province—and higher financing costs from long-term loans to invest in the PET Line 3 and new glass bottle production line at the Punpin Plant in Surat Thani Province—led to net profit of THB 142.7 million, down 10.3% year-on-year. The net profit margin was 7.4%, an increase of 0.2 percentage points from the same period last year.

Major General Patchara Rattakul, Chief Executive Officer, commented on the company’s strategy for the second half of 2025: “The beverage market in the South has been affected by softer purchasing power, with the tourism industry—which has driven our sales over the past two years—showing a clear slowdown. However, we have faced situations like this before and are confident that by adapting our strategies to meet consumer needs, we can turn the situation around. For example, our recent promotion offering a Coca-Cola glass with the purchase of a 1.25-liter beverage received excellent feedback from both retailers and consumers. This shows that if we truly understand our consumers and offer products that meet their needs, there will always be market opportunities. In addition to such promotion, we recently launched a new 250-milliliter pack size at a 10-baht price point—a size and price that fits current consumer purchasing power. This gives us confidence that even in challenging times, we can maintain our competitive advantage.”

According to Nielsen (Thailand), the overall NARTD beverage market in Southern Thailand contracted by 2.0% in the first half of 2025 compared to the same period last year. Within this, the sparkling soft drink segment declined 5.7% and the ready-to-drink juice segment contracted 8.0%, while the bottled water segment grew 1.2%. HaadThip remains the market leader in the NARTD segment, holding a 24.2% value share, and commands a dominant 78.0% market share in the sparkling soft drink segment.