NAVICO: Profit is expected to skyrocket thanks to market expansion to the US market

News 15:14 19/04/2022
(seafood.vasep.com.vn) NAVICO will enter the real estate segment and start exporting pangasius products to the US market, which is expected to bring in great revenue and profit for the company.

A product of NAVICO

NAVICO (HOSE: ANV) has just released its 2021 annual report and shared its business plan for 2022.

The pangasius producer and exporter aims to continue applying high technologies to be self-sufficient in high-quality pangasius, investing in Collagen and Gelatin production with a capacity of 780 tons/year (expected to be completed and put into use in July 2022).

In addition, the Company also plans to invest in the construction of a 20-storey NAVICO Tower building as a new headquarter and office for lease (The total investment is 450 billion VND) and establish Nam Viet Seafood Processing One Member Limited Liability Company.

NAVICO plans to invest in the production of organic fertilizer from fish manure, with a capacity of 70,000 tons/year and invest in solar power of 650 Mw according to the Power Development Planning VIII.

Moreover, starting from August 2022, the Company will export pangasius products to the US market. According to NAVICO, the exporter will also start implementing real estate projects in 2022.

Therefore, NAVICO sets a target of the total revenue of 4,900 billion VND, up 40% and a pre-tax profit of 720 billion VND, 4.8 times higher than in 2021.

Recently, NAVICO’S Board of Directors has approved a resolution on the capital contribution to Nam Viet Seafood Processing One Member Limited Liability Company.

Specifically, NAVICO will contribute 200 billion VND, accounting for 100% of the charter capital of Nam Viet Seafood Processing. The new company's head office is located at Lot A4, Thot Not Industrial Park, Thoi Thuan Ward, Thot Not District, Can Tho City. This company is expected to operate at a capacity of more than 1,000 tons of feed/day.

Previously, in March 2022, NAVICO also made a move to enter the real estate segment by contributing capital to the newly established Nam Viet Real Estate One Member Company Limited.

Regarding business results in 2021, the business recorded an unsatisfactory business year due to the cost of shipping and transportation "eroding" the profit of the whole year.

In the whole year of 2021, the company's net revenue recorded a slight increase of 0.77% to 3,504 billion VND, but profit after tax decreased by 37% to 127.8 billion VND.

NAVICO’s positive point in the past year is that the company recorded a positive cash flow from business activities of more than 344 billion VND.

In the market, after setting a record peak at 44,400 VND/share on March 28, ANV's stock price currently closed at 41,000 VND on April 14, down 8% from the peak.

Compiled by Phuong Linh

navico us market

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