On January 22, 2025, The PAN Group JSC (HSX: PAN) released its unaudited consolidated financial report for Q4 and the full year of 2024. The results showed continued growth in Q4 compared to the same period last year, contributing to the exceptional growth rate for the entire year. Notably, 2024 marks the first time the Group's consolidated revenue surpassed VND 16 trillion, with consolidated net profit exceeding VND 1 trillion.
Consolidated Business Results for Q4:
VND billion | Q4/2024 | Q4/2023 | +/- % |
Net Revenue | 4,267 | 4,196 | 1.7% |
Profit Before Tax (PBT) | 506 | 422 | 19.8% |
Net Profit After Tax (NPAT) | 427 | 361 | 18.4% |
Net Profit After Tax Attributable to Parent Company Shareholders | 231 | 205 | 12.9% |
Consolidated net revenue for Q4 reached VND 4,267 billion, a slight increase of 2% compared to Q4/2023. The net profit attributable to the parent company's shareholders stood at VND 231 billion, up 13% year-over-year - a significant growth given the high revenue and profit base in Q4/2023.
Key contributors to Q4's profit before tax growth included: Exported Shrimp: +114%; Exported Pangasius (Tra Fish): +41% and Nuts and Dried Fruits: +21%. Meanwhile, the agrochemicals and fumigation business maintained profits comparable to Q4/2023, which had set an all-time high. On the other hand, segments such as crop seeds, packaged rice, and confectionery experienced a slight decline of 8-10% due to seasonal business shifts.
The aquaculture sector, including exported shrimp and pangasius, delivered outstanding profits in Q4, driven by a surge in high-value-added orders and the use of cheaper raw materials stocked earlier in the year, leading to a gross margin of 30-40%.
Net profit attributable to parent company shareholders reached VND 231 billion - the highest quarterly profit in the company's history.
Business Results by Sector for Q4:
Net revenue | Profit before tax | |||||
Q4/2024 | Q4/2023 | +/-% | Q4/2024 | Q4/2023 | +/-% | |
Agriculture | 1,795 | 1,950 | -8.0% | 260 | 297 | -12.4% |
Aquaculture | 1,506 | 1,393 | 8.1% | 210 | 103 | 104.1% |
Packaged Foods | 964 | 854 | 12.8% | 101 | 103 | -2.1% |
The aquaculture segment achieved a gross profit margin of 30-40% thanks to high-value-added orders and low-cost raw materials.
The aquaculture segment delivered the strongest performance in Q4, with revenue increasing by 8% and profit before tax doubling year-over-year. Meanwhile, the packaged food segment achieved a 13% revenue growth but saw a slight 2% decrease in profit before tax compared to the same period last year.
Consolidated Business Results for 2024:
VND billion | 2024 | 2023 | +/- % | 2024 Plan | % completed |
Net Revenue | 16,184 | 13,205 | 22.6% | 14,780 | 109% |
Profit Before Tax (PBT) | 1,328 | 956 | 38.9% | 1,057 | 126% |
Net Profit After Tax (NPAT) | 1,148 | 817 | 40.5% | 882 | 130% |
Net Profit After Tax Attributable to Parent Company Shareholders | 594 | 406 | 46.3% | 447 | 133% |
- Full-year revenue for 2024 reached nearly VND 16,200 billion, representing a 23% growth compared to 2023 and exceeding the annual plan by 9%.
- NPAT attributable to parent company shareholders was VND 594 billion, up 46% year-over-year and surpassing the plan by 33%.
- Excluding financial profits from the subsidiary consolidation at Vietnam Fumigation JSC (HSX: VFG), the core operating NPAT attributable to parent company shareholders still reached VND 560 billion, a 38% increase yoy.
- This strong performance was achieved despite challenging business conditions in 2024.
The 2024 growth was driven by positive performance across most subsidiary companies in core business areas:
- Vietnam Fumigation JSC (VFC): Revenue +7%; PBT +52%
- Sao Ta Foods JSC (Fimex VN): Revenue +36%; PBT +39%
- Bentre Aquaproduct Import And Export JSC (Aquatex Bentre): Revenue +8%; PBT +30%
- Bibica JSC (Bibica): Revenue +20%; PBT +24%
- Long An Food Processing Export (Lafooco): Revenue +8%; PBT +57%
- 584 Nha Trang Seafood JSC: Revenue +16%; PBT +26%
- Vietnam National Seed Group (Vinaseed): Revenue +20%; PBT +2%, with profit growth constrained by high rice prices throughout the year and the impact of Typhoon Yagi.
The common factors that driving profit growth of the Group in 2024 included: (i) profit growth outpaced revenue growth as input costs (transportation, raw materials, and animal feed) eased compared to 2023. (ii) subsidiaries capitalized on opportunities to stockpile low-cost raw materials, significantly improving profit margins and (iii) many subsidiaries expanded into new markets and introduced new products, laying a foundation for long-term growth.
Lafooco's profit before tax surged by an impressive 57%, despite only a modest 8% increase in revenue.
2024 Business Results by Sector:
Net Revenue | Profit Before tax | |||||
2024 | 2023 | +/-% | 2024 | 2023 | +/-% | |
Agriculture | 6,040 | 5,340 | 13% | 900 | 741 | 21% |
Aquaculture | 7,487 | 5,620 | 33% | 513 | 375 | 37% |
Packaged Foods | 2,665 | 2,252 | 18% | 235 | 173 | 36% |
- Aquaculture exhibited the highest growth: 33% in revenue and 37% in PBT.
- Agriculture grew by 13% in revenue and 21% in PBT.
- Packaged Foods achieved an 18% revenue growth and a remarkable 36% increase in PBT.
2025 Outlook:
Agriculture: The sector is expected to experience strong growth momentum as market disruptions from late 2024 subside (e.g., agrochemicals). The official commercialization of new rice seed varieties, coupled with the weakening of competitors, will further drive performance.
Aquaculture: The recovery in shrimp prices and the increasing proportion of high-value shrimp products will enhance profit margins. Potential risks from tax policies under newly elected U.S. President Donald Trump are anticipated to become clearer after Q1 2025. However, PAN has prepared for these scenarios by shifting export markets and developing strategies to address potential tariffs.
Packaged Foods: This sector is forecasted to sustain strong growth driven by:
- Export Expansion: Favorable conditions at subsidiaries such as Bibica, Lafooco, and SHIN Cà Phê.
- New Distribution Channels: Exploring untapped domestic markets.
- Domestic Consumption Recovery: Expected to rebound significantly following the challenges of 2024.