Gemalink Port significantly contributes to GMD’s bottom line – Image: Gemalink
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The Q3 financial report reveals that joint ventures and associates contributed VND 297 billion in profit to GMD, a 34% increase year-over-year and nearly reaching the record of VND 313 billion set in Q4/2024. Accumulated over nine months, this figure reached VND 767 billion, the highest ever recorded.
Specifically, the investment in Gemalink (Cai Mep Gemadept – Terminal Link Joint Stock Company) generated an additional VND 526 billion, bringing the total accumulated profit since the investment to over VND 1.17 trillion. With an initial investment of approximately VND 1.47 trillion, Gemalink now accounts for more than half of Gemadept’s joint venture and associate portfolio and contributes nearly two-thirds of the accumulated profit. This marks the most significant return since the port began operations in 2021.
Gemalink’s business performance has shown remarkable growth in recent years. The profit generated in 2024 reached VND 549 billion, significantly higher than the VND 80 billion in 2022 and VND 17 billion in 2023. Previously, Gemadept had to make provisions for this investment over an extended period.
| Investment in Gemalink from 2014 to 2025 |
| Record-high profits from GMD’s joint ventures and associates |
Located downstream of the Cai Mep River, Gemalink enjoys a strategic position with deep water access, facilitating the entry of large vessels. The project’s Phase 1 investment totals approximately USD 330 million, a joint venture between GMD and the CMA-CGM shipping group, with GMD holding 65.13% of the capital. The port can accommodate vessels up to 200,000 DWT, ranking among the world’s largest with a handling capacity of 1.5 million TEU/year in Phase 1 and 3 million TEU/year upon full project completion.
Currently, Gemalink holds over 34% of the market share in the Cai Mep – Thi Vai area and maintains high operational efficiency. According to Bao Viet Securities (BVSC), the port’s throughput in 2025 is projected to reach 1.69 million TEU, thanks to the addition of six new international routes to Europe, Canada, and Brazil, reducing dependence on U.S. trade routes.
Handling fees are also expected to increase by approximately 10% from Q4/2025, following state approval of adjusted floor prices for deep-water ports. As a regional leader, Gemalink is poised to benefit significantly. Additionally, Phase 2A and 2B expansions, scheduled for operation in 2027 and 2029, will increase the port’s capacity to 3 million TEU annually.
Profits from Gemalink and other joint ventures and associates helped GMD achieve a net profit of VND 315 billion in Q3, with a nine-month total of VND 1.16 trillion, nearly 90% of the targeted profit under the ambitious scenario. Analysts predict Gemalink could contribute approximately VND 619 billion in profit to GMD this year, driving consolidated net profit up by 12% to VND 1.64 trillion.
Gemalink is central to GMD’s strategy for developing a logistics ecosystem in Southern Vietnam. CEO Nguyen Thanh Binh has shared that the company is expanding operations from Ba Ria – Vung Tau to other promising areas. However, GMD remains open to partially divesting from Gemalink to find a suitable strategic partner who can enhance and expand the port’s cargo sources while retaining long-term control.
| GMD’s 9-month net profit sustained by joint ventures and associates |
– 07:33 05/11/2025
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