MCH named among top 10 firms with greatest market capitalization in Vietnam
MCH named among top 10 firms with greatest market capitalization in Vietnam
The MCH stock of Masan Consumer ended the session on Wednesday at VND222,000 (US$8.7) per share, more than double the VND89,200 ($3.5) price recorded on January 2, lifting its market capitalization to upwards of VND161 trillion ($6.3 billion).
Masan Consumer's products |
The hike made MCH one of the 10 companies with the highest market capitalization in Vietnam.
| Code | Business Sector |
Market Capitalization (Billion Vietnamese Dong) |
| VCB | Banking | 519,785.49 |
| VGI | Mobile and Telecommunications | 282,006.06 |
| ACV | Transport | 266,680.78 |
| BID | Banking | 262,505.07 |
| FPT | Software and Computer Services | 213,305.03 |
| CTG | Banking | 192,782.70 |
| HPG | Metal | 172,698.76 |
| VHM | Property | 167,993.15 |
| TCB | Banking | 166,614.76 |
| MCH | Food Manufacturing | 163,368.14 |
| GAS | Water and Gas | 160,941.63 |
| VIC | Property | 154,475.93 |
Listed among 10 largest-cap stocks
MCH has stolen the limelight on the Unlisted Public Company Market (UPCoM) for its trading volume and value as it closed the session on Wednesday at VND222,000, up 240 percent so far this year.
The firm’s market capitalization stands at over VND161 trillion following the significant increase of the stock price. In spite of being traded on UPCoM, with its market capitalization, MCH has become one of the largest-cap stocks on the bourse.
MCH’s market capitalization is higher than that of some big-cap stocks on the Ho Chi Minh City Stock Exchange (HoSE) such as Vinamilk (VNM), Sabeco (SAB), Military Commercial Joint Stock Bank (MBB), Mobile World Investment Corporation (MWG), and Vincom Retail (VRE).
Masan Consumer owns several ‘power brands’
The surge in the value of MCH was supported by some positive news, including its business results, its ability to mobilize more capital, and its plan to launch the initial public offering (IPO) on HoSE announced at the 2024 general shareholder meeting.
Masan Consumer owns five ‘power brands’ of consumer goods. With widespread popularity, each brand annually generates some $150-250 million in revenue. They are CHIN-SU, Nam Ngu, Omachi, KOKOMI, and Wake-up, accounting for 80 percent of MCH’s total revenue in the local market over the past seven years.
With its impressive growth rate, which was 2.2-fold higher than the rate seen in the local market from 2017 to 2023, over 98 percent of Vietnamese households are consuming at least one Masan Consumer product.
According to international market research firm Kantar, CHIN-SU and Nam Ngu are the top choices among consumers in urban areas, while Nam Ngu, CHIN-SU, KOKOMI, and Tam Thai Tu are the most popular food brands in rural Vietnam.
Masan Consumer enjoys a loyal customer base across both urban and rural markets, with consumers eager to try the company’s new products, helping drive sales across various categories.
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| A billboard of CHIN-SU chili sauce in Dotonbori, Osaka |
Apart from investing in marketing programs, MCH also focuses on research and development (R&D) activities to constantly offer new products to the market.
The Consumer Innovation Center gathers feedback, ideas, and demands from loyal customers, dubbed 'Consumers in Love,' who enjoy using the company's products. This helps the firm develop products that meet their needs.
Between January and September this year, as many as 125 new products generated VND1,518 billion ($60 million) in earnings, contributing seven percent to the firm’s total revenue and soaring 47 percent year on year.
According to its recent financial report, MCH reported VND7,987 billion ($314.2 million) in revenue in the third quarter of 2024, a year-on-year increase of 10.4 percent. The remarkable growth was fueled by the premiumization strategy in the convenience food and seasonings segments, which recorded year-on-year rises of 11 percent and 6.7 percent, respectively.
Moreover, thanks to innovative efforts, the beverages and home & personal care segments achieved growth of 18.8 percent and 12.4 percent, respectively.
IPO slated for 2025
On October 2, Masan Consumer announced a resolution to transfer its MCH shares from UPCoM to HoSE. The company also sought shareholder approval to advance a 2024 dividend payment using retained profits. This would allow shareholders to receive up to VND10,000 ($0.4) per share in advance.
The approval for a plan of its IPO on HoSE reflected the company’s right path to a strategic road map. Besides, a successful IPO will help elevate the value of the Masan family’s stocks such as MCH and MSN, the stock of Masan Group Corporation.
The IPO road map is becoming more clearly visible with multiple positive moves by the firm and the local market.
In the fourth quarter of 2024, Masan Consumer is accelerating revenue growth by advancing its premiumization strategy in the convenience food and seasonings segments.
The company is also implementing reforms in the beverages, home and personal care, and instant coffee categories, while streamlining its product portfolio to maximize profitability.
