Masan products on display at its annual general meeting in HCM City on April 25. - Photo courtesy of Masan

HCM CITY – Masan is striving towards having more of its products in every Vietnamese household and at least one product in every household globally, its annual general meeting heard in HCM City on Thursday.

Danny Le, the company’s CEO, said Masan has built a strong portfolio of “power brands” like Chin-su, Omachi, Kokomi, WakeUp 247, Heo Cao Bồi, and Chante.

They have delivered exceptional growth and could expand their domestic market by two to 20 times, he said.

Masan’s brands would represent Việt Nam’s culinary culture globally with the vision of “All Masan’s products in each and every Việt Nam Household; At least one Masan product in each and every household globally”.

The addressable global markets for seasonings and convenience foods are expected to be worth US$380 billion, which represent great potential for Masan, he said.

Trương Công Thắng, CEO of Masan Consumer Holdings (MCH), said the company has successfully built five “big brands” with annual revenues of US$150 - 250 million each: Kokomi, Omachi, Chin-su, Nam Ngư, and Wakeup 247, which contribute around 80 per cent of its revenue growth.

Masan Consumer grew at 2.2 times the overall market pace between 2017 and 2023, he said.

“98 per cent of Vietnamese households have at least one Masan Consumer product.”

Masan Consumer’s strategic goals for the next 10 years include building six billion-dollar “big brands” by focusing on “premiumising” consumer products, and expanding the scope of each big brand to meet more consumer needs.

It seeks to further expand its market by entering the out-of-home market, providing premium products for home-meal-replacement and restaurant-meal-replacement such as its new Omachi self-heating hot pot, a premium product which has become a viral sensation.

The strategic goals also include making Vietnamese food “Go Global”, generating 10-20 per cent of revenues from the global market, and become among the leading companies in Southeast Asia in terms of revenues and profits, Thắng said.

Nguyễn Thị Phương, CEO of WinCommerce (WCM), said her company successfully completed its restructuring in 2023, leading to significant improvements in financial performance, with revenues increasing by 9 per cent year-on-year in the first quarter to VNĐ7.9 trillion (US$311.3 million).

WCM achieved positive grocery earnings before interest and taxes (EBIT) for three consecutive quarters, and had 2,205 stores with positive EBIT.

WCM has the pieces in place to win Việt Nam and targets to achieve positive net profit after tax by 2025, she said.

Masan also continues to digitise by implementing its enterprise resource planning system, automating the entire business value chain and applying AI and machine learning.

Early results at pilot WinCommerce stores include improvements in inventory availability, higher forecast accuracy and reduction in logistics costs.

Growth targets for 2024

In 2024 Masan expects consolidated net revenues to reach VNĐ84-90 trillion, 7-15 per cent up from the previous year, with its core consumer businesses expected to be the key drivers of growth.

Projected core NPAT pre-MI is expected to be VNĐ2.25-4.02 trillion as against VNĐ1.95 trillion in 2023.

The Crown X (TCX), Masan’s integrated consumer-retail platform that consolidates WCM and MCH, expects to deliver net revenues of VNĐ63-68 trillion in the 2024 financial year, up 9-18 per cent.

WCM expects net revenues of VNĐ32.5-34 trillion (up 8-13 per cent). This is expected to be mainly driven by accelerating like-for-like growth and new stores.

The company aims to have over 4,000 stores by the end of 2024.

MCH expects net revenues of VNĐ32.5-36 trillion, propelled by convenience foods, beverages and home personal care products.

It is also developing an innovative pipeline to perfect its fast moving consumer good portfolio.

Phuc Long Heritage expects net revenues of VNĐ1.79-2.17 trillion, up 17-41 per cent.

It plans to open 30 to 60 new stores outside of WinCommerce, focusing on HCM City and Hà Nội.

Masan MEATLife targets net revenues of VNĐ7.1-7.8 trillion (up 2-12 per cent), driven by a strong focus on expanding the processed meat business. - VNS