Economic Headwinds Pressure SABUY’s 2023 Earnings to Turn Negative

Sabuy Technology Public Company Limited (SET: SABUY) has announced its 2023 consolidated financial statement through the Stock Exchange of Thailand as follows;

Year 2023 2022
Net Profit (Loss)

Million Baht

-189.83 1,482.11
Earning Per Share


-0.1070 1.0670


SABUY reported a net loss of THB 190 million, a decrease of THB 1,671.94 million compared to the same period last year, mainly from the detail as follows:

  1. As a result of challenging economic conditions both domestically and globally, several industries and sectors have faced liquidity issues, many listed companies have not paid or postponed payments in the money market and the bond market, coupled with commercial banks tightening their control over lending and waiting to see whether companies have potential to repay or not, SABUY decided to sell investments that are not core businesses (non-core) as well as businesses that may take time to create value by selling 12% investment in TKC in 4Q/2023 and the remaining 4% in 1Q/2024 by focusing on maintaining the liquidity of the Group. This decision resulted in the Company to recognize a loss from the investment in the amount of approximately THB 640 million and has already been recorded in the Q4/2023.
  2. SBNEXT along with companies in the group such as Alpine, Safe Trade and Thiensurat Leasing (TSRL), the Group decided to be more conservative in granting loans to retail borrowers as well as setting of a more conservative provision for bad debts in 2023 in the amount of THB 140 million which can help absorb impact in 2024.
  3. As a result of restructuring the organization to reduce redundancies, the Group has incurred restructuring expenses by reducing employees by approximately 12% from the target set at 35%, with the goal of reducing employee expenses approximately THB 200-250 million in 2024, such as personnel costs, buildings and facilities, which such expenses are approximately THB 35 million.
  4. SBNEXT has changed the method of recording land value from cost to revalued value in Q3/2023, resulting in the recognition of a loss from land valuation in the Q4/2023 in the amount of THB 43 million. In addition, SBNEXT is in the process of improving land use (expected to be completed in 1Q/2024) in which SBNEXT can reverse this loss and recognize a profit in 2024.
  5. To enhance efficiency and future performance, the Group has invested in developing various systems to reduce reliance on personnel in which such expenses are expenses for the development of the IT system, with an investment value of approximately THB 150-200 million and will be gradually recognized from Q4/2023 onwards.

The Board of Directors came to a resolution that the company will omit its dividend payout for the operations of last year.