Every 2 days, a new product is launched on the market. Export revenue grows by double digits, the highest in 5 years. The brand repositioning project is almost completed... - some outstanding results from Vinamilk's 2024 business results report.
Revenue from foreign markets in 2024 will grow by double digits
According to Vinamilk, the company's total consolidated revenue in the fourth quarter of 2024 reached VND15,485 billion, approximately the same as the same period last year. Net revenue from the domestic market reached VND12,843 billion. Meanwhile, the foreign market marked the 6th consecutive quarter of positive growth, up 4% over the same period last year.
In 2024, foreign net revenue will reach VND10,983 billion, up 12.6%. Growth momentum will come not only from traditional markets but also from high-end markets such as Taiwan (China), Korea, Japan, Canada, and the US. Some markets will record double- to triple-digit revenue growth over the same period.
The company representative said that they are developing many new business forms to maximize the export market with good growth potential and take full advantage of Vinamilk's strengths in production and supply capacity.
In addition to exports, in the last 3 months of 2024 alone, the growth momentum of the foreign market came from 2 subsidiaries, Angkor Milk (Cambodia) and Driftwood (USA). Angkor Milk achieved growth of more than 20% thanks to promoting marketing activities and introducing new products. Meanwhile, Driftwood in the US recorded revenue growth of more than 10% thanks to efforts to develop distribution channels. Accumulated for the whole year of 2024, net revenue of foreign branches reached VND 5,319 billion, up 12.9% over the same period, significantly accelerating compared to the 6.5% increase of the previous year.
Launching many breakthrough products, domestic revenue recovers
In 2024, Vinamilk's total consolidated revenue reached VND 61,824 billion, up 2.2% over the same period. In terms of revenue structure, the domestic market still contributed the most with VND 50,799 billion, up slightly by 0.4% over the same period, showing positive signs of recovery in the "thorny" period of the market in general and the F&B industry in particular last year. In 2024, Vinamilk's after-tax profit recorded VND 9,453 billion, reaching the set target, thanks to effective control of operating costs.
For the domestic market, products that have contributed positively to Vinamilk's growth include condensed milk, yogurt, powdered milk for adults, nut milk, etc. Some prominent product lines include: Vinamilk's nut milk has "grown" strongly despite only being launched for more than 2 years and continuously launching a series of new breakthrough products such as High Protein Nut Milk, a pioneering product line, contributing to the industry's growth nearly doubling over the same period. Condensed milk - a product line that seemed difficult to find growth opportunities because it was already too large, still recorded record growth thanks to suggestions for use in cooking, making drinks, etc. with many creative recipes.
Infant formula has had a year of comeback after having strategies to reposition its brand and products. Leading the high-end segment, Green Farm is still Vinamilk's "warrior" with a brilliant year with many highlight communication campaigns, products invested in technology never before seen on the market.
Product improvements are invested in both image, packaging design and quality, combined with promoting product trial programs, helping to score points with consumers. 2024 is a boom year for Vinamilk when more than 125 new products were launched in the market in almost all product categories. With this result, it can be said that Vinamilk has completed the identity change for all products, unified according to the new brand identity, expressing a new spirit.
Not only innovating packaging and design, Vinamilk also upgraded quality with technologies that have never appeared on the market such as Green Farm fresh milk vacuum technology, Green Farm high protein - low fat - lactose free thanks to super microfiltration technology, Optimum baby formula milk with improved formula containing up to 6 HMOs...
In 2024, Vinamilk will continue to be the most chosen milk brand in Vietnam according to Kantar Worldpanel for the 12th consecutive year and be honored as a National Brand for 16 consecutive years. The brand still maintains its position in the Top 10 most valuable milk brands globally according to Brand Finance.
According to a recent survey by Ipsos (the world's third largest market research company, headquartered in France) in Vietnam, 73% of consumers rate the unit as an innovative brand (up 26% compared to 2022), while 58% perceive the brand as premium (up 10% compared to 2022). Both of these indicators increased significantly after repositioning, showing that the strategic directions of the business are on the right track and effective. In addition, the comprehensive and drastic transformation strategies over the past year are also creating an important foundation for businesses to create a new growth trajectory in the following years.
Tu Uyen
Source: https://vietnamnet.vn/vinamilk-ve-dich-2024-doanh-thu-nuoc-ngoai-tang-truong-cao-nhat-5-nam-2366666.html
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