Policy and Business Overview

          Hwa Fong Rubber (Thailand) Public Company Limited (“HFT”) was established in 1987, with current registered capital o f 658,434,300 Baht and paid up share capital of 658,434,300 Baht. Having 32 years of expertise, HFT core business are manufacturing and distributing of tires and inner tubes for bicycle, motorcycle and small logistic vehicles. The vehicles include but not only: trolleys, forklift, golf cart, and all-terrain vehicles. HFT produce products under recognizable worldwide trademark named “DURO”,“Q-UICK”, and “DUNLOP” owning by Sumitomo Rubber, Japan. With DURO stemmed from the technology and marketing support of Hwa Fong Rubber Industries company limited (“HFR”), Being HFT’s majority shareholder, Hwa Fong Rubber Industries company limited (“HFR”) is a known name in Republic of China Taiwan for its quality in manufacturing tires and inner tubes for bicycle, motorcycle, automobile, and industrial vehicle. HFR has been listed in Taiwanese Stock Market for more than 24 years. With rapport supports and more than 3 decades of experiences, HFT proudly produce excellent product with high quality, recognized globally and certified with ISO 9001-2008. HFT’s sales portion is classified by the local and international sales in the percentage of 30.99% and 69.01% respectively. In domestic sales, HFT distributes its products to the leading bicycle’s Original Equipment Manufacturer (OEM) such as LA BICYCLE, TURBO BICYCLE under the brand name “DURO” and motorcycle manufacturers i.e. HONDA, KAWASAKI including genuine parts to be distributed amongst licensed distributors under “DUNLOP” brand. Moreover, HFT supplies golf tires under trademark “DURO” for golf cart manufacturers (OEM) in making of YAMAHA’s golf cart. On top of OEM business, HFT has also work under the brand name “DUNLOP”, “DURO”, “Q-UICK” and PREMIUM HFT in the Replacement Equipment Market (REP) business via Borneo Technical (Thailand) Co., Ltd. and P.V. Motor Co., Ltd. In the international sales, HFT distribute products via its network of Hwa Fong Rubber (Thailand) Public Company Limited (“HFT”), Hwa Fong Rubber Industries company limited (“HFR”), Hwa Fong (Hong Kong) Ltd. (“HFK”), Hwa Fong Rubber (U.S.A.) Inc.(“HFA”) they are group companies that allow distribution to cover USA, Europe, Asia, Africa, Australia and Middle East.
For overall performance, HFT reported its revenue from sales at 2,555 Million Baht in 2018 and 2,737 Million Baht in 2019 which is a increase of 182 Million Baht or 7.12%. The company has an increase in sales from motorcycle tires in the amount of 131.84 Million Baht or 9.15%. This is because increasing distribution channels. HFT, however, can still maintain market share of international market. In this regard the company has always been supporting of its sales and marketing. Therefore HFT is able to reach targeted customers and maintain brand awareness successfully. In 2019, the cost of production was decreased by 1.78%. The ratio of cost of sales to turn over was at 81.91% compare to 83.69% in 2018. The cost of raw materials that is adjusted down. As for net profit the company and subsidiaries net profit can be reported at 278.84 Million Baht, a increase from 223.71 Million Baht last year. It is increase 55.13 Million Baht or 24.64% to previous year, with earnings per share of 0.42 Baht.