Vietnam: Sabecos 2019 post-tax profits surge 22%
Post-tax profits surged 22 percent year-on-year for Vietnams largest brewer Sabeco, reaching VND5.37 trillion ($231.96 million), its highest annual profit ever, VNExpress International reported on January 22.
The brewers 2019 revenues increased 5 percent year-on-year to VND37.9 trillion ($1.64 billion), with improved business results mainly attributed to heavy investments in sales and marketing, Sabeco management said in the companys latest annual financial report.
Sabeco spent VND1.49 trillion ($64.33 million) on marketing last year, a year-on-year increase of 31 percent, the report said.
Revenues in the final quarter, however, declined 7 percent year-on-year to VND9.73 trillion ($420.11 million), but post-tax profits rose 18 percent to VND1.09 trillion ($47.06 million). This was due to profits from financial investments surging 54 percent, and profits from joint ventures and associate companies rising 41 percent, Sabeco said.
By the end of 2019, Sabecos total assets and liabilities were valued at approximately VND27 trillion ($1.17 billion) and VND6.9 trillion ($297.92 million) respectively.
Sabeco is owned 53.59 percent by Vietnam Beverage, a subsidiary of Thai beverage company ThaiBev. The Vietnamese government, represented by the Ministry of Industry and Trade, retains a 36 percent stake in the company.
According to latest figures by securities firm FPTS Securities, Sabeco held 40.9 percent of Vietnams beer market by the end of 2018, followed by Heineken Vietnam with 23 percent and local brewer Habeco, with 18.4 percent.
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