Message from the Board of Directors

"With a heavy heart, I pen this message to all stakeholders as the ongoing Russia-Ukraine gunfire continues to bring great destress to innocents across the other end of the world. On top of Covid 19 which further disrupted and declined a large portion of the world economy for a second year, the war has brought about huge concerns about worldwide stagflation – a state of inflation while economic bodies remain stagnant in terms of growth. Thailand has not been spared, and it has proven to be yet another difficult year in 2021 for us all."
The Board of Directors
KARMARTS PUBLIC COMPANY LIMITED

Domestically, the outbreak of Omicron variant towards the end of 2021 resulted in tightening of curfew measures which directly led to slowed consumption. Fear and uncertainty for the future decreased consumer confidence index, and when coupled with soaring energy prices and worldwide disruptions to international supply chain which decreased purchasing power while increasing business costs, it was inevitable that the volume of purchase transactions within the Thai economy dropped to an all-time low.

In our fight against Covid 19 in 2021, I am proud to state that prevention measures taken by the Company and in line with guidelines from the Centers for Disease Control and Prevention (CDC) has effectively blocked the chain of infections within the organisation. Moving forward, the Company will continue to place topmost emphasis to the protection of our team against the disease.

In the past financial year, total income recorded 1,503 million Thai Baht which represents an increase of 13.35% while the expenses were reduced from the previous year. With prudent spendings, the company ensured that shareholders dividends were accorded at regular intervals and recorded a total of 0.18 Thai Baht per share in 2021. Q4 in 2021 also marked the 40th consecutive quarterly dividend payment by the Company which translates into 10th consecutive years of financial reward for our long-term shareholders. Total expenses aggregated 458 million Thai Baht which represents 30.47% of total income in 2021 and a decrease of 10.02% compared to 2020. This slight decrease, however, reflects the timeliness of the Company’s responsive measures taken towards tremendous rising business costs largely associated with trade wars between the East and West which shook the forex markets and shipping costs like never before.

Notable investments in 2021 included the Company’s strategic acquisition of 86% shareholding in Pa Donphutsa Company Limited, an entity engaging in primary businesses of forestation, plantation and conservation of endangered large aquatic animals. This leap into the business of environmental protection seeks to compensate carbon footprint in response to the world’s current global warming concerns and represents the Company’s swift embrace of a green economy as well as our commitment to maintaining a sustainable development. Following all nations’ declared commitments made during COP-26 (also known as 2021 United Nations Climate Change Conference), Karmarts is confident that the generation of low-carbon solutions through Pa Donphutsa Company Limited will quickly produce economic favours in the foreseeable future for all stakeholders.

As various countries around the globe resume the opening up of borders during these first few months of 2022, we remain hopeful that daily lives will soon resume to a new normal amidst the pandemic this year. We are also confident that the people of Thailand shall witness a strong rebounce like we always do, especially in light of booming international tourism and the country’s successful sandbox programs, notwithstanding the fact that recovery of the world economy may only be achieved over the next few years. Looking back at the past and into the future, we like to express our sincere gratitude to all stakeholders who remained with Karmarts over the harsh years. Together, we roam; collectively, we soar!