Seafood firms toast to first-quarter upbeat performance

Vietnam aims to reach up to $5.5 billion in seafood exports in the first half of 2022

Right in the first quarter of the year, Vietnam raked in more than $2.5 billion in total seafood exports, showing a 46 per cent jump on-year, in which nearly $955 million came from shrimp, accounting for 38 per cent, and basa ($654 million), making up 26 per cent.

The sweet results have reflected the upbeat performance of many listed firms. International Development and Investment Corporation (IDI) posted a nearly 10-fold hike in net profits to nearly $8.65 million which is also its quarterly profit record since going on the bourse.

Cuu Long An Giang Fish JSC (ACL) reported $2.74 million in Q1 net profit compared to just $478,260 the company posted in the first quarter last year, up a 4.7-fold increase.

At the company’s 2022 annual general shareholders’ meeting (AGM) in mid-April, chairwoman Tran Thi Van Loan said that the company’s $8.7 million profit plan for this year is entirely within reach, or event goes beyond expectations if current favourable market conditions linger and that the company has signed big export orders until the end of this year.

Meanwhile, Vinh Hoan Corporation, dubbed as ‘Queen of Basa’, eyed a quadruple profit surge on-year to nearly $23.8 million during the period while its profit margin rose from 15 per cent to 24 per cent.

“We are very optimistic about market growth prospects due to scarce supply. As consumption rebounds in Europe and the US, our company has revised our full-year profit target from $65.2 million to $69.5 million,” said a company representative at its 2022 AGM this mid-March.

Among shrimp firms, Camimex Group (CMX) eyed doubled revenue and profit figures in Q1, reaching $20.4 million and $826,000, respectively.

CMX leadership said that the company will continue putting investment into completing processing plants and raise its capacity to 25,000 tonnes in 2023 from 15,000 tonnes currently.

With such upbeat results, the tickers of seafood firms have witnessed impressive growth in the year to date.

For instance, by May 25, the ticker of ACL rose 42 per cent from $0.78 to $1.12, that of IDI rose 48 per cent from $0.69 to $1.03, and that of VHC jumped 60 per cent from $2.73 to $4.3.

According to the Vietnam Association of Seafood Exporters and Producers, surpassing challenging times, local seafood firms have effectively availed themselves of opportunities when the demand for seafood has resumed in foreign markets.