Expected large profits of fisheries firms have also boosted share prices of these companies. (Photo: bizlive.vn)Hanoi (VNS/VNA) - Strong growth of local fisheries production andexports has helped many listed firms increase profits, with some even hittingtheir yearly profit targets in only nine months.
A major seafood exporter, Vinh Hoan Corp announced its nine-month revenue ofnearly 6.6 trillion VND (283.2 million USD) and net profit of 1.04 trillion VND,up 9.6 percent and 153 percent year-on-year, respectively. Particularly, itsnet profit surpassed the goal set for the whole year by 67 percent.
In the third quarter alone, the company’s selling prices recorded the highestlevel since the beginning of the year and increased 37 percent over the sameperiod of last year. It saw strong growth in sales of more than 50 percent inmost products which helped lift the net profit in the third quarter to over 609billion VND, a 3.6 times higher than the same period of 2017.
Ben Tre Aquaproduct Import and Export JSC and Sao Ta Foods JSC, two subsidiaryfirms of PAN Group, have had a good year.
Ben Tre Aquaproduct’s pre-tax profits exceeded its yearly target by 25 percentafter nine months thanks to higher fish prices and lower expenses, due toself-sufficiency in fish material. Its revenues reached 308 billion VND (13.2million USD), up 8.4 percent year-on-year, while cost of capital declined 5.5 percent.
Ending September, its net profit was 55billion VND, 3.5 times higher than the same period of last year.
Sao Ta Foods has almost hit its yearly target with nine-month pre-tax profit of128 billion VND, up 36 percent year-on-year and 91 percent of the goal for thewhole year. It posted revenues of more than 2.8 trillion VND and net profit of 119billion VND, up 17 percent and 27.4 percent on-year, respectively. Based onthese figures, the company is confident that its profit will surpass the yearlytarget by 40-50 percent.
Seafood manufacturing Nam Viet Corp also announced its net profit exceeded2018’s target by 23 percent with 250 billion VND earned in the last ninemonths, up 253 percent over the same period of last year.
The Ministry of Agriculture and Rural Development (MARD) estimated total outputof aquatic products reached nearly 2.6 million tonnes in the last nine months,aquaculture production at more than 2.9 million tonnes and export value at 6.4billion USD, up 5.1 percent, 6.6 percent and 7.2 percent on-year, respectively.
The US, Japan, China and the Republic of Korea remained top importing marketsfor Vietnamese seafood, accounting for combined 54.1 percent of total exportvalue.
Tra fish production and exports have developed well since the beginning of thisyear despite the breeding crisis and barriers in import markets. MARD forecastraw fish supply for export in the last quarter would remain constrained,helping maintain the export price.
A similar situation would happen with shrimp exports together with the recoveryof shrimp prices in global markets.
Many Vietnamese seafood processing companies have signed big export contractsfor important holidays by the end of the year.
Expected big profits of fisheries firms have also boosted share prices of thesecompanies. Shares of Nam Viet Corp (ANV) have doubled in value since thebeginning of the year while shares of Vinh Hoan Corp (VHC) have climbed by 85 percent.Shares of Ben Tre Aquaproduct (ABT), Sao Ta Foods (FMC) and Vinh Hoan Corp(VHC) have risen by 18-74 percent each. – VNS/VNA
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