Ho Chi Minh City-listed dairy producer Vinamilk estimates it will earn an after-tax profit of 931.07 billion VND (47.7 million USD) in the second quarter of this year, representing an increase of 65 percent over the corresponding period in 2009.

In the first six months, the company earned an after-tax profit of 1.75 trillion VND (92.01 million USD), up 67.1 percent over the same period a year ago and representing more than half of its 2010 target.

The company's turnover is estimated to be 3.98 trillion VND (209.5 million USD) in the second half of this year. In the first six months of 2010, its turnover was 7.24 trillion VND, an increase of 52.6 percent over the same period in 2009.

The company's chairman, Mai Kieu Lien, said that high domestic demand on dairy products contributed to the company's well-performed results in the first half.

"Turnover from dairy products' consumption grew over 60 percent," she said, noting that dairy consumption in the domestic market now is 14kg per person per year, in comparison to 6.5kg in 2000 and 9kg in 2005.

She estimated that consumption would grow much higher than its currently modest level, compared to neighbouring markets such as Thailand, where it is twice that of Vietnam.

Lien said the company would continue focusing on research and development to increase domestic demand, while developing its marketing and distribution systems, Lien said.

The company has targeted a turnover of 14.5 trillion VND (743.6 million USD) and an after-tax profit of 2.7 trillion VND (138.5 million USD) this year, leading to a dividend cash payment of 30 percent.

Vinamilk's shares, (VNM), on July 27 closed unchanged at 92,000 VND a piece./.