Message from Chairman

Dear Shareholders,

Thailand's economy operates as an open economy, heavily reliant on foreign demand. Despite a recovery in the tourism sector with an accumulation of more than 27 million tourists in 2023, the export sector has continued to contract. The repercussions of conflicts in various regions and geopolitical issues have hindered trade and posed risks to the global supply chain, resulting in a 1.0 percent contraction in Thailand's exports in 2023. Specifically, industrial exports were valued at 223.6 billion USD, decreasing by 1.0 percent. The decline also affected the air conditioning exports, which plummeted by 7.6 percent, impacting a portion of the company's operations.

In response to the challenges faced in 2023, the company had to adapt to significantly reduced demand from key customers and exercise caution to mitigate financial risks. Consequently, the company had to reduce orders in the OEM (Original Equipment Manufacturing) segment, leading to a decrease in total annual revenue to 9,333 million baht, down by 51 percent compared to 2022, resulting in the company's first-ever loss of 18 million baht.

Going forward, the company's business outlook is promising as SNC continues to invest in developing Industry 4.0 manufacturing systems and plans to further advance into Industry 5.0, integrating robotics and automation throughout the production processes. Additionally, investments are underway to expand into new businesses, including contract manufacturing and assembly of electric vehicles, and converting diesel trucks into electric vehicles. These new business ventures are expected to grow alongside the recovery of the air conditioning and electrical appliance manufacturing segments. Furthermore, the industrial area development project, slated for completion by the end of 2023 on a 1,230-acre land near Laem Chabang Port, is anticipated to significantly contribute to future business growth.

On behalf of the Board of Directors and management, I would like to express my gratitude to our shareholders, partners, and stakeholders for their continued support and confidence in the company's endeavors toward sustainable long-term growth.