KUN milk brand owner reports loss of hundreds of billions of dong

KUN milk brand owner reports loss of hundreds of billions of dong - Photo 1.

Lof International Milk is the owner of the KUN milk brand - Photo: IDP

Lof International Dairy Joint Stock Company (IDP) has just announced its financial report for the third quarter of 2025 with poor business results after a period of impressive growth.

Specifically, in the last quarter, IDP recorded net revenue of VND 1,618 billion, down 21% compared to the same period last year.

Although the cost of goods sold was reduced by 5.4% to VND1,148 billion, the revenue decline was still stronger, causing the gross profit margin to narrow significantly.

As a result, IDP's gross profit decreased by nearly 47% to VND470 billion, reflecting great pressure on business performance during the period.

In addition, revenue decreased while costs from sales to business management and finance increased, causing IDP to lose more than 133 billion VND after tax.

In the same period in 2024, this enterprise still made a profit of nearly 300 billion VND, which shows a clear reversal in business results.

In the first 9 months of 2025, IDP achieved net revenue of VND 5,562 billion, almost equal to the same period last year. However, after-tax profit changed from a profit of nearly VND 811 billion in the same period last year to a loss of approximately VND 63 billion in the first 9 months of this year.

Meanwhile, according to the plan for 2025, IDP set a target of net revenue of 8,400 - 8,800 billion VND and after-tax profit of 360 - 440 billion VND. Thus, with only one quarter left, the business is still quite far from the expected profit target.

Previously, in the period 2021 - 2024, this enterprise maintained stable business results, regularly recording profits of 800 - 900 billion VND per year.

However, it is also necessary to recognize that the third quarter just passed showed a general difficult picture of the dairy industry, when not only IDP but many other big brands also recorded a sharp decline in profits, reflecting competitive pressure and increased input costs across the market.

IDP shares "evaporate", Vietcap's temporary profit decreases

The report also said that by the end of the third quarter of 2025, IDP's total assets reached VND7,371 billion, an increase of more than 6% compared to the beginning of the year. The enterprise is holding term bank deposits of nearly VND1,323 billion, accounting for about 18% of total assets.

Notably, short-term prepayments to sellers skyrocketed more than six times, from VND99 billion to more than VND631 billion.

On the other hand, total liabilities reached over VND4,320 billion, up 22.7% compared to the beginning of the year. Of which, loans and financial leasing debt accounted for a large proportion - about VND2,671 billion, equivalent to nearly 62% of total debt.

Regarding the board of directors, IDP is headed by Mr. To Hai as chairman of the board of directors.

In addition, Mr. Hai is also a member of the board of directors of Vietcap Securities (VCI) - the unit currently holding more than 8.84 million IDP shares, equivalent to 14.3% of charter capital.

This investment, with an original cost of 441 billion VND, brought Vietcap an estimated profit of more than 1,500 billion VND at the end of the second quarter, but by the end of the third quarter it was only about 1,060 billion VND - a decrease of more than 440 billion VND in just three months.

IDP is reportedly the second largest equity investment in Vietcap's portfolio, classified as a long-term available-for-sale asset.

Although still considered a profitable investment, IDP shares have fallen more than 22% after a year. Currently, this code stops at 192,000 VND/share, at the same time, liquidity has almost frozen for more than a month.

LINH NGUYEN

Source: https://tuoitre.vn/chu-thuong-hieu-sua-kun-bao-lo-ca-tram-ti-dong-20251030175220992.htm