Management Discussion and Analysis Quarter 1 Ending 31-Mar-2014

Management Discussion and Analysis Company name : JMT NETWORK SERVICES PUBLIC COMPANY LIMITED Year : 2014 Quarter : Quarter 1 Ending : 31-Mar-2014 Note : IR57/007 May 12, 2014 Subject: Interim Management Discussion and Analysis for the interim Financial Statement for the first quarter ending 31 March 2014 To: The Committee and Manager Director The Stock Exchange of Thailand According to the meeting of board of directors, JMT Network Services Public Company Limited No. 2/2014 That held on May 12, 2014 had been approved the financial statements and operating results of the company and its subsidiaries for the first quarter ended March 31, 2014 that had been audited by the auditors of the company. The results can be summarized as follows: The consolidated operating results of the Company and its subsidiaries in the first quarter of 2014 reported the net profit comprehensive of Baht 16.61 million, which decreased by Baht 10.86 million, or by 39.54% from Baht 27.47 million compare to a net profit in the previous year. The details: 1. The Company reported the revenue for the first quarter of 2014 of Baht 88.25 million compared to the same period of the previous year as equal to Baht 93.51 million, representing an decreased of Baht 5.26 million or decreased by 5.63%, mainly due to; - Revenue from distressed debt decreased from Baht 66.66 million to Baht 63.80 million or decreased by Baht 2.86 million, or decreased at a rate of 4.29% due to It was happened from more deduction of debtor s' investment fund which effect to income. - Revenue from debt collection service decreased from Baht 23.98 million to Baht 22.58 million or decreased by Baht 1.40 million, or decreased at a rate of 5.83% due to because the rate of debt follow up service is approximately decreased. - Interest income from leasing contract decreased from Baht 2.88 million to Baht 1.87 million or decreased by Baht 1.01 million, or decreased at a rate of 34.95% due to from stop giving credit. 2. The Company reported cost for the first quarter of 2014 of Baht 47.51 million compared to the same period of the previous year as equal to Baht 45.61 million, representing an increase of Baht 1.90 million or an increase at a rate of 4.17% It was happened from the expense of law prosecution, post fee, telephone fee which are increased as buying more low quality debt. 3. The Company reported gross profit of 2014 of Baht 40.74 million compared to the same period of the previous year as equal to Baht 47.91 million, representing an decreased of Baht 7.16 million or an decreased at a rate of 14.95% Because the income from buying debt with quality is decreased from increasing collect money amount which cut the investment fund in debtors, also the rate of debt follow up service is decreased. 4. The Company's cost of sale and administrative of 2014 Baht 19.90 million compared to the same period of the previous year as equal to Baht 17.16 million, representing an increase of Baht 2.74 million or 15.96% over the last year due to the company had established a higher reserves, the form document, staff expenses and registration fee. Please be informed accordingly. Yours faithfully, (Mr. Suphot Wanna) Company Secretary This announcement was prepared and disseminated by listed company or issuer through the electronic system which is provided for the purpose of dissemination of the information and related documents of listed company or issuer to the Stock Exchange of Thailand only. The Stock Exchange of Thailand has no responsibility for the correctness and completeness of any statements, figures, reports or opinions contained in this announcement, and has no liability for any losses and damages in any cases. In case you have any inquiries or clarification regarding this announcement, please directly contact listed company or issuer who made this announcement.