A production line of Vinamilk (Photo: baodautu.vn)
 
Hanoi (VNA) - The Vietnam Dairy Products Joint Stock Company (Vinamilk) has reported its combined revenue rose 3.3 percent year-on-year in the third quarter of 2018 to 13.73 trillion VND (around 586.8 million USD).

However, Vinamilk’s pre-tax profit was down 5.9 percent to more than 3 trillion VND (128.16 million USD) as costs increased by 14 percent year-on-year to 3.4 trillion VND (145.25 million USD).

In the first nine months, Vinamilk recorded more than 39.55 trillion VND (1.69 billion USD) in revenue, up 2 percent compared to the same period last year.

The main revenue source for the company was the domestic market, where sales reached 33.9 trillion VND. Sale revenue from overseas markets was 5.7 trillion VND, about the same as last year’s figure.

However, revenue growth could not offset rising production costs, so combined profit fell slightly to 18.44 trillion VND (788.16 million USD) in the first nine months of 2018 from last year’s 18.63 trillion VND (795.9 million USD).

Costs in the first three quarters rose 6.8 percent to 8.9 trillion VND (380.3 million USD), resulting in nine-month pre-tax profit of 9.37 trillion VND (400.3 million USD), down by 800 billion VND from last year.

Poor quarterly earnings have pulled the share price of Vinamilk, listed on the Ho Chi Minh Stock Exchange as VNM, down since early this month.

Shares have lost 15.2 percent in value since October 4 to end October 31 at 116,100 VND (5.16 USD).-VNA