In the first half of 2024, the export of aquatic products has seen a resurgence, helping many companies in the aquatic industry to record revenue and profit growth, however, these numbers are still low and far from the company's target.
In addition, the cost of goods sold has increased, along with the increase in input costs, which has eroded the profit of companies in this field.
Profit growth but still at a low level
Accordingly, Minh Phú Corporation (MPC) recorded a consolidated revenue of 3,738 billion dong in the second quarter of 2024, up 59% from the same period last year. Due to the increase in the cost of goods sold during the period, Minh Phú's gross profit margin was only 10.5%, resulting in a net profit of 38.4 billion dong, nearly four times that of the same period last year.
According to the company's explanation, the positive growth in business results in this period is due to the effective operation of shrimp breeding and trading companies.
As of the first half of the year, Minh Phú's consolidated revenue reached 6,488 billion dong, up 45% from the same period last year; net profit reached 46 billion dong, while the same period last year recorded a loss of 88 billion dong. This year, Minh Phú set a target of 18,568 billion dong in revenue and 1,265 billion dong in net profit. Thus, after six months, Minh Phú has only completed 35% of its revenue plan and 3.6% of its profit plan for the year.
Similar to Minh Phú, Nam Việt Corporation (Navico, ANV) recorded a consolidated revenue of 1,193 billion dong, up 11% from the same period last year. The company's financial expenses during the period were 27 billion dong, down 41% from the same period last year, mainly due to reduced interest expenses. On the other hand, the company's sales expenses increased by 60% to 68.7 billion dong.
In the second quarter of 2024, Nam Việt recorded a significant increase in other expenses of 18.5 billion dong, while the same period last year was only over 1 billion dong. As a result, the company reported a net profit of 17.5 billion dong, while the same period last year recorded a loss of 51 billion dong.
As of the first half of 2024, Nam Việt's consolidated revenue reached 2,209 billion dong, down slightly from the first half of 2023; net profit reached 34 billion dong, down 17% from the same period last year.
Some companies have also seen significant improvements in their business results, such as: Food and Food Corporation (FMC), Ben Tre Export and Import Corporation (ABT), Sao Mai Group (ASM)… In which, FMC reported a 10% increase in net profit, reaching over 83 billion dong. ABT reported a 19% increase in profit, reaching 33.7 billion dong. ASM recorded a profit of over 105 billion dong, the same as the same period last year.
Many companies are still pessimistic
Contrary to the favorable situation of companies in the aquatic products industry mentioned above, Vĩnh Hoàn Corporation (VHC) recorded a consolidated revenue of 3,196 billion dong in the second quarter of 2024, up 17% from the same period last year. However, due to the high cost of goods sold, the company's gross profit decreased by 20% from the same period last year, to 462 billion dong.
In addition, the company's financial income during the period increased by 18% to 117 billion dong; financial expenses increased by 15% to 57 billion dong; sales and management expenses increased by 23% to 141 billion dong. As a result, Vĩnh Hoàn reported a net profit of 336 billion dong in the second quarter of 2024, down 26% from the same period last year.
Explain the reason for the continued decline in profit in the second quarter of 2024 despite revenue growth, Vĩnh Hoàn stated that the price of group products decreased.
As of the first half of 2024, Vĩnh Hoàn recorded a revenue of 6,051 billion dong, up 22% from the same period last year, net profit of 525 billion dong, but net profit only reached 484 billion dong, down 26% from the same period last year.
Similar to Vĩnh Hoàn, IDI Corporation (IDI) - a large company in the shrimp industry also recorded a revenue of 1,934 billion dong, up 6% from the same period last year.
However, due to the high cost of goods sold, the company's gross profit decreased slightly to 154 billion dong. In addition, due to high transportation costs and high shipping costs, the company's sales expenses increased by 42% to 46 billion dong. As a result, IDI reported a net profit of 18 billion dong, down 31% from the second quarter of 2023.
As of the first half of the year, IDI recorded a consolidated revenue of 3,564 billion dong, down slightly from the same period last year; net profit reached 35 billion dong, down 20% from the same period last year.
Some other shrimp companies in the industry, such as Camimex Group (CMX); Number 4 Aquatic Products Corporation (TS4) also recorded less favorable results. CMX's net profit in the second quarter decreased by 76% to over 6 billion dong. Meanwhile, TS4 continued to record a loss of 1.9 billion dong in the second quarter.
