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Miliket Shrimp Flavored Noodles
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Colusa – Miliket has announced the final list of shareholders eligible for a 26% cash dividend for 2023 (1 share receives 2,600 VND). With 4.8 million shares in circulation, the company expects to pay out over 12 billion VND in dividends.
The ex-dividend date is set for May 28, and the payment is expected to be made by June 10, 2024.
This is the second consecutive year that the instant noodle company has distributed a dividend of 2,600 VND per share, and the seventh consecutive year of paying cash dividends to shareholders since its listing on the UPCoM exchange in 2017, with a relatively high dividend ratio ranging from 17-33%.
With a history spanning over 45 years, Colusa – Miliket is the owner of the Miliket instant noodle brand, renowned for its distinctive packaging featuring two shrimp on a paper wrapper. In the 1990s, the brand dominated the market, capturing 90% of the instant noodle market share. However, Miliket’s market share has since declined to approximately 4% of the instant noodle market in Vietnam.
Despite intense competition from new noodle brands offering a variety of packaging designs, Miliket has maintained its strong presence in the market by carving out its own unique niche.
In 2023, Miliket achieved remarkable financial results, with a 14% year-on-year increase in net revenue, totaling over 719 billion VND. Gross profit surged by 32% to exceed 181 billion VND, resulting in a gross profit margin of approximately 25%, a 3-percentage point improvement.
The company’s financial performance also witnessed a significant turnaround, with financial income doubling from the previous year to reach over 12 billion VND, while expenses remained minimal at just 139 million VND. However, selling expenses and administrative expenses weighed down the overall results, amounting to over 123 billion VND (a 34% increase) and 36 billion VND (a 44% increase), respectively, along with a loss of nearly 6 billion VND in other expenses.
Ultimately, the company posted an after-tax profit of 21 billion VND, a slight 1% decrease from 2022, but still meeting the target set by the General Meeting of Shareholders.
| Miliket’s Annual After-Tax Profit for 2017-2023 |
For 2024, Miliket aims to increase its production volume by 6% to 19,000 tons, with expected revenue of 765 billion VND and an after-tax profit of nearly 22 billion VND, representing a 4% and 5% increase, respectively, compared to 2023. The company also plans to maintain the dividend payout of 2,600 VND per share for the third consecutive year.
| Share Price Performance of CMN |
In the stock market, the share price of CMN has remained stagnant at 77,400 VND per share over the past four months, similar to the price level in February 2022. The liquidity of this stock is quite low, with only a few hundred to a few thousand units traded per session, and some sessions even witness no trading activity.
This stagnation could be attributed to the concentrated ownership structure of the company. As of the end of 2023, Miliket’s ownership structure comprised nearly 51% of state-owned shareholders, including two legal entities: the Southern Food Corporation (30.72%) and Vietnam National Tobacco Corporation (20%).
The company also has two other major institutional shareholders: Mesa Trading and Service Co., Ltd. (holding 20.08%) and Thien Hai Investment and Trading Co., Ltd. (5.87%). In addition, there is a significant individual shareholder, Mr. Trinh Viet Dung, who owns 9.71% of the company.
In terms of connections, Mesa Company is Miliket’s largest distributor and is related to Ms. Luu Thi Tuyet Mai, Chairwoman of Miliket’s Board of Directors. Mr. Trinh Dang Khanh Toan, a member of Miliket’s Board of Directors, is the authorized representative of Mr. Trinh Viet Dung’s capital contribution.
