According to the announcement, Colusa-Miliket JSC (UPCoM: CMN) has set May 29 as the record date for its 2023 dividend payment. The company plans to distribute a cash dividend of 26% to its shareholders, amounting to VND 2,600 per share. The payment is expected to be made on June 10.
With 4.8 million shares currently in circulation, Colusa-Miliket is expected to distribute over VND 12 billion in dividends to its shareholders in the coming weeks.
This substantial dividend payout comes on the back of a record-high revenue year for Colusa-Miliket, the owner of the famous “Two Shrimp” brand. In 2023, the company achieved a revenue of VND 719 billion, a 14% increase from 2022. However, after accounting for elevated expenses, the company’s net profit remained unchanged year-on-year at VND 21 billion.
Colusa-Miliket JSC. Source: Colusa-Miliket
For 2024, Colusa-Miliket has set ambitious targets, aiming for a 6% increase in production volume to 19,000 tons. Additionally, the company expects to achieve a revenue of VND 765 billion and a net profit of nearly VND 22 billion, representing year-on-year growth of 4% and 5%, respectively. Notably, Colusa-Miliket intends to maintain its cash dividend policy at a rate of 26%.
In recent years, this instant noodle manufacturer has consistently paid out high cash dividends, typically ranging from 17% to 33%.
Currently, Colusa-Miliket’s largest shareholders include Southern Food Corporation – Vinafood 2 (holding 30.72% of capital), Mesa Service and Trading Company Limited (20.07%), and Vietnam National Tobacco Corporation – Vinataba (20%).
The “Two Shrimp” Instant Noodle Brand Remains Resilient in a Niche Market
Miliket “Two Shrimp” instant noodles bring back childhood memories for many Vietnamese. Source: Illustrative photo
Colusa-Miliket JSC was established in 1972 as the Colusa Foodstuff and Miliket Foodstuff Enterprises. After 1975, the Colusa-Miliket instant noodle brand gained popularity among consumers, featuring a paper package with the iconic image of two shrimps. This distinctive packaging and branding made Colusa-Miliket synonymous with instant noodles in Vietnam.
Over the years, the company underwent several name changes and mergers. In 2004, the Colusa Miliket Food Processing Enterprise was formed, and in 2006, it was equitized with a charter capital of VND 48 billion.
In the early 2000s, Miliket instant noodles lost their dominant market position (holding only 4% market share) due to the emergence of various domestic and foreign instant noodle brands, such as Vina Acecook and Masan. These new products quickly gained market share through superior distribution channels, advertising strategies, and attractive packaging.
To adapt to market demands, Colusa-Miliket not only diversified its traditional instant noodle offerings but also expanded its product portfolio to include vermicelli, rice noodles, pho, and instant congee, along with various seasoning products. However, their paper-packaged instant noodles remain the flagship product, generating the majority of the company’s revenue.
Miliket instant noodles are a familiar sight in affordable hot pot and drinking venues. Source: Illustrative photo
Interestingly, despite intense competition in the instant noodle market, the traditional “Two Shrimp” brand from Colusa-Miliket has maintained its stronghold in a niche market, particularly in affordable hot pot and drinking venues. Patrons of these establishments often encounter the familiar Miliket “Two Shrimp” instant noodles.
To meet demand, Colusa-Miliket has invested in new production lines with Japanese technology, capable of producing 500,000 packets of instant noodles per day. Their products are trusted by domestic and international customers alike, with over 200 distributors across Vietnam and exports to countries like Australia, France, the USA, Germany, Russia, and Poland, among others.
