Page 215 - THAILAND PRIVILEGE ANNUAL REPORT 2025

Annual Report 2025

In 2025, the Company generated investment returns totaling THB 406 million (target: THB 320 million) from
investments in fixed deposits, savings lottery bonds, government bonds, and structured debentures. With respect
to organizational restructuring and manpower planning, the Board of Directors approved the principles of the new
organizational structure. Relevant regulations were developed to support the new structure, and job descriptions
for newly established positions were reviewed and prepared. In addition, the Company implemented the “Happy
Workplace” initiative in collaboration with the Strengthening Holistic Health Promotion for SMEs (SHAP) program
under the Department of Industrial Promotion, and carried out the Employee of the Month / Employee of the Year
reward programs.
For Business Process Improvement (BPI) activities, the working team summarized and redesigned key processes
under the following projects:
1. Member data security enhancement and data breach incident response project;
2. Development of payment channels for member privilege purchases via the Payment Link system;
3. Improvement of the online background screening system for shortlisted personnel;
4. Establishment of a communication channel via LINE Open Chat for individual authorized agents.
The Company also strengthened relationships with government agencies by engaging with Immigration
Bureau officials to discuss product information and member service approaches, and by coordinating with relevant
government agencies on background checks and monitoring of foreign nationals’ misconduct. In addition, the Company
expanded regional services for members, such as driver’s license issuance at the Phuket Provincial Transport Office
and issuance of personal tax invoices.
Issues and Constraints Key challenges included the continued decline in policy interest rates, as well as
ongoing volatility in both the global economy and the Thai economy.
Corrective Actions To address these challenges, the Company explored new investment opportunities and
diversified investment approaches, including investments through private funds and debt instrument funds / private
credit, as well as studies on investments denominated in U.S. dollars, among others.

Summary of Budget Disbursement and Capital Expenditure for Fiscal Year 2025
(Data as of 30 September 2025)

1. Overall Budget Disbursement for Fiscal Year 2025
1.1 Annual Budget for Fiscal Year 2025
The approved budget for fiscal year 2025 amounted to THB 2,155.44 million. Actual disbursement
totaled THB 1,631.32 million, representing 75.68% of the approved budget. Disbursement was lower than the
established target due to membership card sales falling below the planned target. Consequently, selling expenses
(commission expenses) and marketing expenses, which are directly correlated with membership card sales,
were lower than initially estimated.

2. Capital Expenditure for Fiscal Year 2025
2.1 Approved Capital Budget
For fiscal year 2025, the approved capital expenditure budget amounted to THB 11.76 million,
with an annual disbursement ceiling of THB 1.86 million.
2.2 Capital Budget Disbursement
Actual capital expenditure disbursement in fiscal year 2025 totaled THB 1.12 million, representing 60.49%
of the annual disbursement ceiling. This was in line with the planned activities. The remaining 39.51% comprised
the annual contingency reserve and residual funds resulting from procurement price differentials. With respect
to the End-to-End Financial and Accounting System Project, which had an approved implementation budget of
THB 9.90 million, the Company decided to cancel the project following a feasibility study and analysis that concluded
the project would not provide sufficient value relative to the investment. This decision was approved by the Board
of Directors at its meeting No. 7/2025, held on 22 July 2025.

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