This company is famous for its popular products aloe vera and coconut jelly. Accordingly, the newly announced consolidated financial report for the first quarter of 2024 of G.C Food Joint Stock Company (GC Food) shows that this company’s net revenue reached nearly 119 billion VND and profit before tax reached 10.5 billion VND (equivalent to 3.5 billion VND/month), increasing by 9.4% and 20.8%, respectively, compared to the same period in 2023. This is also the highest profit level in the first quarter to date, since the company announced its financial report.
According to GC Food’s Board of Directors, the reason for the company’s revenue growth in the first 3 months of 2024 was due to increased output. Besides, GC Food’s profit before tax also increased sharply compared to the same period last year because of revenue growth and an increase in gross profit margin of aloe vera and coconut jelly. On the other hand, the company’s financial expenses decreased thanks to the adjusted interest rate.
| Revenue | Profit after tax | |
|---|---|---|
| 2019 | 179.49 | 14.54 |
| 2020 | 210.11 | 15.42 |
| 2021 | 334.27 | 41.37 |
| 2022 | 430.6 | 26.6 |
| 2023 | 474.68 | 26.3 |
| 2024 | 572.66 | 52.3 |
GC Food’s business plan from 2019 – 2024. Chart: MH
Previously, at the 2024 Annual General Meeting of Shareholders (AGM) held on April 12, Mr. Nguyen Van Thu, Chairman of GC Food’s Board of Directors, said that the company has many changes, especially when promoting sustainable development and owning a large raw material zone.
Specifically, GC Food has researched tissue culture of aloe vera plants in the laboratory and cultivated F1 tissue culture seedlings. From there, the company provides millions of aloe vera tissue culture plants each year to farmers, contributing to reducing the cost of raw materials. Furthermore, GC Food’s two aloe vera and coconut jelly processing factories are also being expanded and doubled in capacity.
Besides the main markets in recent years such as Korea, Japan, GC Food’s goal in 2024 is to penetrate into markets with large populations, of which young people account for over 40% such as China, India, Malaysia, and Indonesia.
With the current economic situation, GC Food wants to focus on the short term first, instead of the long-term strategy. Accordingly, the orientation from now until 2028, the company aims to become a high-tech agricultural company and control the entire supply chain, with a compound annual growth rate of 30%. At the same time, the company aims to complete the aloe vera raw material area with an area of up to 500 hectares.
Short-term focus, profit acceleration
GC Food is a famous aloe vera and coconut jelly manufacturing company in Vietnam. Photo: NN
At the 2024 Annual General Meeting of Shareholders, GC Food approved the 2024 business plan, with revenue of nearly 573 billion VND and profit after tax of over 52 billion VND, which is an increase of 21% in revenue and 99% in profit compared to the results achieved in 2023.
Aiming for a profit target double that of last year, Mr. Nguyen Van Thu – Chairman of GC Food’s Board of Directors, said that the company has invested continuously over the years to have sufficient raw materials to meet demand for production, with better raw material prices. Therefore, the company has boldly set a high growth plan.
At the 2nd session of the Vietnam Economic Forum in 2024 with the theme “Removing difficulties in capital and market for export enterprises” organized by the newspaper Nguoi Lao Dong on the morning of April 25, Mr. Nguyen Van Thu – Chairman of GC Food’s Board of Directors, shared with the impact of the conflict in the Middle East, the company’s customers here are suspending due to difficulties in transportation and payment, and consumption is decreasing.
In addition, GC Food’s main markets are Korea, Japan, China, and ASEAN, which are facing difficulties because their local currencies are low compared to the USD. However, there is unexpected information that the company’s coconut jelly and aloe vera products are growing well in these ASEAN markets, of which Malaysia and Indonesia are the most.
GC Food’s aloe vera processing factory in Ninh Thuan. Photo: GC Food
GC Food is a company specializing in manufacturing and processing products from vegetables and fruits, of which aloe vera and coconut jelly are the most. Established since 2011, to date, GC Food is considered the largest aloe vera and coconut jelly manufacturing enterprise in Vietnam, specializing in supplying the domestic and international markets. The company’s products are not only gradually becoming familiar to domestic consumers but also reaching more than 20 countries worldwide and meeting Global Gap, USDA, and other standards…
In particular, GC Food has a VietFarm aloe vera processing factory (Ninh Thuan), with a scale of 2 hectares, with a capacity of 35,000 fresh tons of leaves per year and producing 15,000 tons of finished products; the Vinacoco coconut jelly factory (Dong Nai) with an area of 11,000 square meters, with a capacity of about 12,000 tons of finished products/year.
