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Consumer Non-Durables

Vietnam Dairy Products Corp.

Company Background

Vietnam Dairy Products (Vinamilk) is Vietnam's largest food processor and deals in a wide variety of dairy products, including milk and yogurt. It is said to account for about 50% of Vietnam's dairy market.

 

The company was founded in 1976 and went public on the Hochiminh Stock Exchange in 2006. It is 45% owned by the government. Its high potential is recognized outside the country as well and foreign investors own 49% of the company. Its market capitalization is the second largest in Vietnam at around $5.5 billion.

 

According to a study by a private research agency, dairy consumption has surged more than 20-fold in Vietnam over the last 20 years, with Vinamilk contributing much to this trend.

 

CEO Mai Kieu Lien, who was born in France in 1953, studied milk processing in the former Soviet Union and then returned to Vietnam. She has been listed by Forbes as one of Asia's 50 Power Businesswomen.

 

Vinamilk went into dairy farming in 2006 in Vietnam, where there were very few dairy farmers. The company now runs five dairy farms. In view of the aging of society, it has marketed to seniors dairy products rich in calcium and vitamins.

Business Summary

Vietnam Dairy Products Corp. engages in the production and distribution of dairy products. Its products include fresh milk, yoghurt, drinking yoghurt, fermented yoghurt, ice-cream, cheese, and milk powder for elders, mothers, and kids, soy bean milk, fruit juice, smoothie, atiso tea, and aloe vera through Vinamilk, Dielac, Ridielac, and V-Fresh brand names. It distributes its products in Australia, Cambodia, Philippines, and the United States. The company was founded in 1976 and is headquartered in Ho Chi Minh City, Vietnam.

Financial Highlights

Dec 2019 VNDUSD
Revenue56,318.12B2,424.60M
Gross Profit26,380.08B1,135.71M
Operating income12,201.94B525.31M
Income before tax12,795.70B550.87M
Net income9,538.48B410.64M
EBITDA14,138.99B608.70M
Diluted EPS5,477.510.23
Dividends Per Share----
Total Assets44,741.97B1,930.82M
Total liabilities15,010.72B647.78M
Total equity27,504.05B1,186.92M
Operating cash flow12,080.19B520.07M
Currency in VNDCurrency in USD

Historical Data

 Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019
Revenue 40,080.38B 46,794.33B 51,041.07B 52,561.94B 56,318.12B
Gross Profit 16,145.90B 22,190.58B 24,108.36B 24,479.49B 26,380.08B
Operating income 8,780.87B 10,534.05B 11,441.02B 11,224.01B 12,201.94B
Income before tax 9,367.14B 11,237.62B 12,228.94B 12,051.69B 12,795.70B
Net income 7,005.67B 8,425.58B 9,224.00B 9,220.58B 9,538.48B
EBITDA 9,877.94B 11,743.25B 12,765.51B 12,945.64B 14,138.99B
Diluted EPS 4,053.46 4,859.16 4,413.51 5,294.69 5,477.51
Dividends Per Share 3,703.69 4,444.44 4,166.66 -- --
Total Assets 27,478.17B 29,378.65B 34,732.61B 37,407.76B 44,741.97B
Total liabilities 6,554.26B 6,972.70B 10,859.55B 11,136.39B 15,010.72B
Total equity 20,692.56B 22,168.56B 23,375.26B 25,781.13B 27,504.05B
Operating cash flow 7,995.89B 8,980.49B 10,356.55B 8,922.87B 12,080.19B
 Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019
Revenue 1,828.02M 2,092.28M 2,246.84M 2,282.72M 2,424.60M
Gross Profit 736.39M 992.19M 1,061.25M 1,063.12M 1,135.71M
Operating income 400.48M 471.00M 503.63M 487.45M 525.31M
Income before tax 427.22M 502.46M 538.32M 523.39M 550.87M
Net income 319.52M 376.72M 406.04M 400.44M 410.64M
EBITDA 450.52M 525.06M 561.94M 562.21M 608.70M
Diluted EPS 0.18 0.21 0.19 0.22 0.23
Dividends Per Share 0.16 0.19 0.18 -- --
Total Assets 1,222.06M 1,290.17M 1,529.46M 1,612.75M 1,930.82M
Total liabilities 291.49M 306.20M 478.20M 480.12M 647.78M
Total equity 920.28M 973.54M 1,029.33M 1,111.49M 1,186.92M
Operating cash flow 364.68M 401.53M 455.89M 387.51M 520.07M

Valuation Measures

Dec 2019
PER21.26
ROA23.22%
ROE35.80%
Operating margin21.66%
Profit margin16.93%

Key executives

  • Chief Executive Officer & Director: Lien Kieu Mai
  • Chief Research & Development Officer: Khanh Quoc Nguyen
  • Chief HR & Administration Officer: Huong Thi Bui
  • Co-Secretary & Director-Foreign Branch: Thanh Truc Quang Le
  • Chief Dairy Farm Officer: Dung Quoc Trinh

Shareholders

  • State Capital Investment Corp. (Investment Company) (36.0%)
  • Fraser & Neave Ltd. (20.3%)
  • Jardine Cycle & Carriage Ltd. (10.6%)
  • Matthews International Capital Management LLC (2.6%)
  • Genesis Investment Management LLP (2.3%)
  • Arisaig Partners (Asia) Pte Ltd. (1.6%)
  • Dragon Capital Management Co. Ltd. (0.8%)
  • GIC Pte Ltd. (Investment Management) (0.8%)
  • First State Investments (Hong Kong) Ltd. (0.6%)
  • Vontobel Asset Management, Inc. (0.6%)

Contact Details

  • Website:http://www.vinamilk.com.vn
  • Address: 10 Tan Trao Street, Tan Phu Ward, Ho Chi Minh City, 700000, Vietnam
  • Phone: +84.8.54.155.555

Related Companies

  • Vinamilk Europe Spostka Z Ograniczona Odpowiedzialnoscia
  • Angkor Dairy Products Co. Ltd.
  • Thong Nhat Thanh Hoa Dairy Cow Ltd. Co.
  • GTNFOODS Joint Stock Company
  • International Real Estate One Member Investment Co. Ltd.
  • Vietnam Dairy Cow One-Member Co. Ltd.
  • Lam Son One Member Co. Ltd.
  • Driftwood Dairy Holding Corporation

Competitors

  • Del Monte Pacific Limited
Last Updated on 1 Jul, 2020

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