Management Discussion and Analysis of Business Operation for the 2nd quarter of 2017 Bangchak Corporation Plc. 1 | Bangchak Corporation Public Company Limited Management Discussion and Analysis of

accounts 56.85 - 56.85 Earnings before interest and tax (29.90) 91.79 Finance costs - Main businesses 15.25 19.63 (4.37) -22% Finance costs - Solar energy 26.77 26.33 0.44 2% Profit before income tax (71.91

% Share of profit (loss) from investment in associates and joint venture 72 59 13 22.23% EBIT 259 209 50 23.86% Finance Income 0 5 -5 -109.93% Finance cost 82 97 -15 -15.27% Tax (expenses) -34 39 -73

from continuing operations before finance costs and tax expense 7,598 12.0% 3,590 6.7% 4,008 111.6% Finance costs 292 0.5% 249 0.5% 43 17.3% Profit from continuing operations before tax expense 7,306

finance costs due to the adoption of TFRS16 • Total assets as of 31 March 2020 stood at THB 66,192mn, increasing by 23.7% or THB 12,661mn from 31 December 2019. Assets increased primarily from impact of the

for all products. These measures would be effective in the first quarter of 2019. The growth of credit card business and personal loan business in Thailand was still growing strongly despite the

addition, a rise in fuel price can be observed. Meanwhile, Ministry of finance revealed that the inflation rate of 2017 is expected at 0.7 percent, increasing 0.2 percent from last year. Considering global

results  In Q2/2017, the Company and its subsidiary recorded total sales of Baht 1,370 million, a decrease of 21% YoY due to the slowdown in domestic sales and CMG business. However, Branded export sales

13.2% 433.4 358.5 20.9% Other Income4 58.6 22.2 163.7% 141.7 96.5 46.8% Administrative Expenses (37.5) (28.8) 30.2% (82.4) (84.8) -2.9% Finance Costs (84.2) (104.3) -19.3% (282.7) (361.8) -21.9% Share of

finance lease agreement as a result of financial lease accounting (TFRIC 4) adjustment. Gross profit of IPP business in Q2/2020 increased by THB 52 million or 4% from Q1/2020 primarily due to the following