Thai Nippon Rubber Industry Public Company Limited or TNR Quarter 1/2021 resulted in a net profit of 70 million baht, increasing from the same period last year. In the second quarter, foreign markets are expected to benefit from the recovery of the US economy and the expansion through e-commerce websites in China.

It was considering the growth of the domestic market under the COVID-19 impacting the upgrading of government measures.

Mr. Amorn Dararatanarot, Chief Executive Officer of Thai Nippon Rubber Industry Public Company Limited or TNR, revealed that the Quarter 1/2021 operating results ( referring to the consolidated financial statements) made a total net profit of 70 million baht, an increase from the same period last year. It generated a net profit of 11 million baht, with sales and service income of 434 million baht, a 20% growth YOY, and 363 million baht, respectively.

The growth was driven by the sales performance of condoms from the company's Branded Goods (OBM) segment, which had generated higher gross margins than OEM and Tender Business (TENDER). In the first Quarter, TNR generated 68 million baht sales profit from the OBM business group, 270% compared to last year. The excellent result was from the PLAYBOY brand performance, which has increased sales from international markets, especially the United States.

ONETOUCH™ has increased domestic sales due to the recovery in condom demand, while the OEM and TENDER segments saw a slight increase in sales. In the First Quarter, TNR's performance also benefited from the depreciation of the Thai baht resulting in the net profit increase.

Meanwhile, the business outlook in Quarter 2/2021 for the international market, we expect to see the benefit from the recovery of the US economy, which is the primary market of PLAYBOY CONDOMS. Besides the distribution channel in the Wal-Mart department store, the company is negotiating with major trading partners expected to complete by Quarter 3/2021. Also, we hope to see the benefit from market expansion through leading e-commerce websites in China.

The domestic market is still affected by the COVID-19 epidemic with the increasing number of infected people. We can foresee that the epidemic impact may result in the government raising intensive measures which will impact consumer's purchasing and the usage of condoms.