April invests 200 million baht in a new model, rebranding after 15 years to pave the way for international expansion.
Daily Manager 360 – April has postponed its plan to list on the stock exchange to 2029 from next year due to unfavorable circumstances. However, it is moving forward with a 200 million baht investment this year for a major rebranding effort after 15 years, and plans to expand with 20 new, freshly baked stores this year.
Ms. Kanokkan Mathuraporn, Managing Director of Singha Food Industries (Thailand) Co., Ltd., the company that has managed the April's Bakery brand for over 15 years, revealed that due to the current unfavorable economic conditions and various problems, as well as the slowdown in purchasing power, she believes it is not yet appropriate to list the company on the Stock Exchange of Thailand at this time, as the conditions for fundraising are not conducive. Therefore, the plan to list the company on the stock exchange has been postponed from the originally expected year of 2027 to 2029.
However, in the meantime, the company is undergoing a major organizational restructuring, focusing on corporate governance, management systems, work processes, and financial discipline. This is to elevate business standards, strengthen operations, support future expansion, and prepare for future fundraising opportunities and growth in the capital market.
The plan to list the company on the stock exchange to raise funds for business expansion, particularly the construction of a new, larger factory of at least 20 rai (approximately 8 acres), is necessary. Currently, the company's nine factories are located close together on Suk Sawat Road, which is inefficient in terms of management. The company will seek a new location near its current site. The new factory is expected to have increased production capacity, supporting growth for more than 10 years. Currently, April has over 130 products and develops an average of 15 new products per month.
Most recently, this year, the company invested 200 million baht in marketing, branch expansion, and a rebranding for the first time in 15 years. The rebranding aims to support business growth, elevate the corporate image, and lay the foundation for regional competition. This wasn't due to business problems; the previous image failed to clearly reflect the business size, organizational potential, and future growth direction. Therefore, a significant rebranding encompassed the corporate image, logo, and the concept of ‘The Blessing City,’ reflecting the brand's transition from a local brand to a regional brand through increased brand value, improved pricing capabilities, and future expansion.
The company plans to add 20 new branches featuring a new model of freshly baked goods in-store. This model was piloted last year at the Charoen Krung branch. Currently, there are 40 sales points, 20 company-owned and 20 franchised. Following the rebranding, sales are expected to increase from 15,000 baht per branch per day to 50,000 baht per branch per day. The company will also begin offering OEM manufacturing services. The company's international customer base includes South Korea and Taiwan, aiming to study and understand consumer behavior in each market, including tastes, product styles, and market response. This also allows them to explore opportunities for opening retail outlets abroad and progress from exporting products to building a clearly defined Thai brand presence in international markets.
Furthermore, the products are sold in over 16,000 7-Eleven stores, generating 80% of their total revenue.
The company is positioning its brand in the Masstige segment, offering premium quality products at accessible prices. This is achieved by focusing on enhancing product quality, product design, packaging, and brand experience under the concept of "Good Quality, Affordable Price," providing consumers with higher value at the same or similar price. The goal is to become one of the leaders in the Masstige bakery segment in Thailand. This rebranding will create a positive impact on two levels: Consumer Level, making premium experiences more accessible to consumers, and Market Level, setting a new standard for the Masstige bakery market and propelling April Bakery to become a market leader. The company also continues to expand its distribution channels and new retail models to reach consumers at all levels, including modern retail channels, online platforms, and the development of experiential stores (stores with in-house baking), which will be another key mechanism for expanding its customer base in the future. Ready to expand into international consumers and new global markets.
Ms. Kanokkan stated that the company aims for sales of 1.7 billion baht by the end of 2026, a 30% increase from 1.3 billion baht in 2025. First quarter revenue this year already reached 425 million baht. The company targets annual sales growth of 20-25% and profit growth of 15%, along with a goal of 100 branches by 2029 before listing on the Stock Exchange of Thailand.
Ms. Kanokkan acknowledged that the high cost of oil due to the war has significantly impacted production costs, particularly packaging, which has increased by more than 10%. Estimates show a 30% increase in cost per box of snacks. However, the company currently has no plans to raise prices and will maintain current prices for as long as possible.