Bach Hoa Xanh is thriving but the captain is still refusing to accept his salary
The salary of CEO Bach Hoa Xanh – Mr. Pham Van Trong is one of the topics that people are interested in regarding Mobile World Investment Corporation (MWG). It was mentioned at the shareholders’ meeting last year that CEO Bach Hoa Xanh – Mr. Pham Van Trong stated that he would not accept his salary until Bach Hoa Xanh is thriving.
Recently, when asked about the business situation of Bach Hoa Xanh and whether Mr. Trong has received his salary, Chairman Nguyen Duc Tai said:
“Trong can receive his salary now, but he still refuses. Actually, for high-level leaders, salary is not the goal. They fight for success and of course, in a reputable company like Mobile World, when it succeeds and becomes visible, the company will have policies to share with those who create it – Reap what you sow”.
Tai also added: The leadership team of this group knows and believes in that, so no one has come to me and asked for a salary increase. For many years, I haven’t heard that. Because when you have faith in achieving results, those results will be shared.
Bach Hoa Xanh CEO – Mr. Pham Van Trong
In fact, Bach Hoa Xanh has undergone many positive changes and improvements in both revenue and profit since Mr. Pham Van Trong took over.
By the end of 2023, the total number of Bach Hoa Xanh stores was 1,698. Bach Hoa Xanh contributed 31,610 billion VND last year, accounting for nearly 15% of Mobile World’s total revenue.
In Q4, Bach Hoa Xanh’s revenue growth compared to the same period last year was 31%, revenue growth compared to existing stores was 34%, and gross profit margin reached 24%.
One impressive thing is that Bach Hoa Xanh’s operating EBITDA in Q4 last year doubled compared to Q3. Excluding on-off costs, by December, Bach Hoa Xanh achieved the target of capital break-even after all corresponding expenses based on current business operation.
The growth of Bach Hoa Xanh in the past time has been greatly contributed by an increase in the proportion of fresh items in its revenue, aiming to become a destination for housewives.
Source: Mobile World
In the future, Bach Hoa Xanh still has many opportunities to improve its profit and is identified as the growth engine of Mobile World. The goal of Bach Hoa Xanh this year is to focus on absolute revenue and profit growth.
Bach Hoa Xanh store
Sharing more about the development direction of Bach Hoa Xanh chain in the future, Mr. Nguyen Duc Tai said that the chain has no plans to expand to the North even though its competitors, typical example is WinMart+, are increasing their presence in the Central and Southern regions.
Chairman of Mobile World evaluated that so far Bach Hoa Xanh still does not occupy too much market share, even in the areas where this chain has been present or in the areas that have not been expanded to like the North, so there are still many opportunities for expansion.
In addition, the leadership of Mobile World also assessed that the Northern market has its own characteristics in terms of region, while the company is focusing on preparing resources to expand at a speed that still ensures efficiency.
In the near future, Bach Hoa Xanh chain is expected to focus only on expanding in Ho Chi Minh City where the consumer demand is still “very large”, while many locations still do not have the presence of Bach Hoa Xanh.
“District 7 and District 4 have a very high population density but limited number of stores. Therefore, we have decided to expand the Bach Hoa Xanh chain in Ho Chi Minh City”, said Mr. Pham Van Trong – CEO of Bach Hoa Xanh.
According to the plan, the Bach Hoa Xanh chain is expected to open 100 new stores in Ho Chi Minh City in the near future, focusing on places with high population density and high spending power.
Trong Nghia
