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Công ty CP Bán Lẻ Kỹ Thuật Số FPT / Posts tagged "FPT Long Chau"
9 Aug

Revenue of Long Chau Pharmacy chain increases by 3 times to VND 1,336 billion

In the first 6 months of 2021, the revenue of Long Chau Pharmacy chain reaches VND 1,336 billion, approximately 3 times higher than that of the same period in 2020, which significantly contributes to FPT Retail’s revenue growth of 24%.

In the first 6 months of 2021, FPT Retail has completed 63% of the profit plan for the whole year.

FPT Digital Retail Joint Stock Company (FRT) has just announced its business results for the first 6 months of 2021 with the accumulated revenue of VND 9,024 billion, up 24% over the same period in 2020, completing 55% of the target plan in 2021. In which, the revenue of Long Chau Pharmacy chain achieves VND 1,336 billion, nearly 3 times higher than that of the same period in 2020.

Consolidated profit before tax of the Company is at VND 76 billion, increasing by 189% over the same period, fulfilling 63% of the profit plan set out in 2021.

Regarding the online segment, revenue in the first 6 months of 2021 reaches VND 2,829 billion, up 10% compared to the first 6 months of 2020 and accounts for 31% of FPT Retail’s total consolidated revenue. Besides that, with the advantage of being the leading laptop retailer in Vietnam, in the context of high demand for laptops during pandemic period, the Company’s laptop revenue achieves VND 1,329 billion, up 31% compared to the same period of 2020.

In the first half of 2021, FPT Shop is the store chain with the fastest growth rate, being at the top of the laptop retail market with 31% market share, according to GfK data. Therefore, for every 10 laptops sold, more than 3 are purchased at FPT Shop.

It can be seen that in the first half of 2021, operating results of FRT are relatively positive. This will be a stepping stone to support the performance of the second half of the year when the second half of the year is forecasted to be very difficult due to the complicated and unpredictable developments of the Covid-19 epidemic across the country.

Regarding the store network, by the end of the first half of 2021, the FPT Shop chain has had 625 stores in total, in which 30 stores have been newly opened compared to the beginning of 2021.

Meanwhile, Long Chau Pharmacy chain has signed 150 rental contracts, with 68 newly-opened stores, which brings the number of Long Chau stores to 268.

At the General Meeting of Shareholders in 2021, the Company set a target for 2021 of VND 16,400 billion in revenue and VND 120 billion of profits before tax, corresponding to a revenue growth of 12% and profit before tax of 320%.

In order to achieve the above goal, FPT Retail will deploy many action programs simultaneously around 3 strategic directions: one is to improve the efficiency of FPT Shop retail chain, second is to focus on the pharmaceutical retail segment of Long Chau Pharmacy chain and three is to invest in technology.

According to The Hoang, Bao Dau tu

Published July 27th, 2021

9 Aug

In the first 6 months, profits of FPT Retail (FRT) increases by 189% to VND 76 billion

FPT Digital Retail Joint Stock Company (FPT Retail, stock code FRT – HOSE) has just announced its estimated business results for the first 6 months of 2021.

Accordingly, in the first 6 months of 2021, FPT Retail records its estimated revenue of VND 9,024 billion and profit before tax of VND 76 billion, up 24% and 189% respectively over the same period in 2020.

In which, revenue of Long Chau chain reaches VND 1,336 billion, which is nearly 3 times higher than that of the same period in 2020 and accounts for 15% of the total revenue; FPT Shop chain records the revenue of VND 7,688 billion, up 13% compared to the same period, accounting for 85% of the total revenue.

Revenue structure by chains of FPT Retail in the first 6 months of 2021 (Unit: Billion VND)

For the online segment, in the first 6 months of 2021, FPT Retail achieves a revenue of VND 2,829 billion, up 10% over the same period last year, accounting for 31% of FRT’s total revenue.

Regarding the laptop retail, in the first 6 months of the year, its revenue is at VND 1,329 billion, up 31% compared to the same period. The Company reveals that with the advantage of being the number 1 retailer in the market, together with the high demand for laptops during the epidemic time, such elements have supported the positive growth results in the first 6 months of the year.

In 2021, FPT Retail has set a target with the revenue of VND 16,400 billion, profit before tax of VND 120 billion. As a result, after the first 6 months of 2021, FPT Retail has completed 55% and 63% of the revenue and profit plan of the year, respectively.

By the end of June 30, 2021, FPT Shop chain reaches 625 stores, with 30 newly-opened stores compared to the beginning of 2021. Long Chau chain has opened 68 new stores, which brings the number of Long Chau stores to 268.

Closing the trading session on July 26, 2021, FRT shares hit the ceiling price of VND 2,350 to VND 36,150 per share.

According to Vu Duy Bac, Dau tu Chung Khoan

Published July 26th, 2021

9 Aug

With 31% of market share in laptop retail, FPT Retail incurs profits of VND 76 billion after 6 months, up 189%

FPT Retail’s laptop revenue reaches VND 1,329 billion, up 31% over the same period.

FPT Digital Retail Joint Stock Company (FPT Retail) has just announced its business results for the first 6 months of 2021 with accumulated revenue of VND 9,024 billion, up 24% compared to the same period in 2020, completing 55% of the target plan in 2021.

In which, the revenue of Long Chau Pharmacy chain is recorded at VND 1,336 billion, which is nearly 3 times higher than the same period in 2020. Consolidated profit before tax reaches VND 76 billion, up 189% over the same period, fulfilling 63% of the profit plan set out in 2021.

Regarding the online segment, revenue in the first 6 months of 2021 is at VND 2,829 billion, up 10% compared to the first 6 months of 2020 and accounts for 31% of FPT Retail’s total consolidated revenue. Besides that, with the advantage of being the leading laptop retailer in Vietnam, in the context of high demand for laptops during pandemic period, the Company’s laptop revenue reaches VND 1,329 billion, up 31% compared to the same period of 2020.

It is known that in the first 5 months of 2021, FPT Shop is holding 31% of the market share of laptop retail, according to GfK data. GfK data also indicates that gaming laptops achieves a record growth: an increase of 217% (which means nearly 3 times higher than that in the same period in 2020), accounting for 20% of laptop revenue, and FPT Shop represents 35% of retail market share of this product group.

Regarding the store network, by the end of the first half of 2021, the FPT Shop chain has reached 625 stores with 30 newly-opened stores compared to the beginning of 2021. Along with that, Long Chau chain has signed 150 rental contracts in total, 68 new stores have been opened, which brings the number of Long Chau stores to 268.

According to Ha My, Cafebiz

Published July 29th, 2026

9 Aug

FPT Retail (FRT): Profits before tax of VND 76 billion in the first half of the year, up 189% compared to the same period

Especially, with the advantage of being the number 1 laptop retailer in the market, in the context of high demand for laptops during the pandemic period, FRT’s laptop revenue in 6 months reaches VND 1,329 billion, up 31% over the same period last year of 2020. Currently, the Company has 68 laptop centers.

By the end of the first 6 months of the year, FPT Retail (FRT) records the accumulated revenue of VND 9,024 billion, up 24% over the same period in 2020, fulfilling 55% of the target of 2021.

In which, the revenue of Long Chau chain achieves at VND 1,336 billion, which is nearly 3 times higher than that of the same period in 2020.

Especially, with the advantage of being the number 1 laptop retailer in the market, in the context of high demand for laptops during the pandemic period, FRT’s laptop revenue in 6 months reaches VND 1,329 billion, up 31% over the same period last year of 2020. Currently, the Company has 68 laptop centers.

After deducting expenses, FPT earns VND 76 billion in the consolidated profit before tax, an increase of 189% over the same period, completing 63% of the profit plan set out in 2021.

Regarding the online segment, revenue in the period increases by 10% and reaches VND 2,829 billion, accounting for 31% of FRT’s total consolidated revenue.

Regarding the store network, by the end of the first half of 2021, the FPT Shop chain has 625 stores in total with 30 newly-opened stores compared to the beginning of 2021. Along with that, Long Chau chain has signed 150 rental contracts in total, 68 new stores have been opened, which brings the number of Long Chau stores to 268.

According to Tri Tuc, CafeF

Published July 26th, 2021

11 May

Long Chau’s turnover in the first quarter increased by 2.5 times compared to the same period in 2019, FRT plans to open 40 new stores in the second quarter

(VNF) – FPT Digital Retail Joint Stock Company (FPT Retail, HoSE: FRT) has announced the production and business results of the first quarter of 2020.

Long Chau’s revenue in the first quarter increased by 2.5 times compared to the same period in 2019, FRT plans to open 40 new stores in the second quarter. (Photo)

Accordingly, in the period, the Company brought in VND 4,093 billion of turnover, which is decreased by 3% compared to the fourth quarter of 2019. The profit before tax of the Company during the period reached VND 47 billion.

In FPT Retail’s system, Long Chau chain has gained VND 239 billion of turnover, up 20% compared to the fourth quarter in 2014, 2.5 times as much as that in the same period of 2019.

During the period, the Company has been focusing on promoting online sales, especially during Covid-19 epidemic period. Accordingly, the online turnover in the first quarter of 2020 reached VND 1,107 billion, up 20% compared to the fourth quarter of 2019, accounting for 27% of FRT’s total turnover.

Regarding the store network, at the end of the first quarter of 2020, FRT had 603 FPT-shop stores in total. At the same time, there were 83 Long Chau stores spreading across 19 provinces and cities, which is 13 new stores compared to the end of 2019.

Currently, Long Chau has decided on 40 locations to open new stores in the second quarter of 2020.

Besides, FPT Retail has decided on the date of organizing the annual General Meeting of Shareholders in 2020, which is 28 May 2020, under offline and online meeting.

Before that, the Company planned to hold the General Meeting of Shareholders on 20 March 2020; however, the meeting was postponed due to the complicated situation of Covid-19 epidemic.

According to Ha Thu, Vietnam Finance

Published May 6, 2020

11 May

Long Chau chain has decided on 40 locations to open new stores in the second quarter of 2020

Up to now, Vietnam is easing social distancing campaign gradually, FRT – the owner of Long Chau chain – accordingly will launch many practical incentives for the customers.

As one of the units that have been affected heavily by Covid-19 epidemic when the factories in China were locked down from operation, FPT Retail (FPT) has witnessed an increase in profits to VND 35,6 billion in the first quarter.

Promotions will be increased to bolster up the consumers’ demand after social distancing

Sharing with us, the Company’s representative said that the Covid-19 epidemic had a quite serious and multi-dimensional impact on all economic and social fields of our country. Especially for retail companies such as FRT, the difficulties brought by the epidemic are even more pronounced. The previous period of social distancing has somehow affected the business results of our Company. Accordingly, the turnover of March 2020 was decreased by 20% compared to February 2020.

“However, there are even opportunities in challenges, in the epidemic, the trend has been shifted to online shopping, the demand for personal devices to work from home has escalated, FRT has taken advantage of that to sell products, which has improved the risk management. This is also a big hit for FRT to be more creative in order to overcome the difficulties and discover new values”, FRT’s side said.

According to the statistics, FPT Shop’s laptops’ turnover in January 2020 was up by 79% compared to that of January and its turnover in March was up by 172% compared to January, “FRT will continue investing in this segment in the long term”.

At the moment, Vietnam is easing social distancing step by step, FRT accordingly will launch many practical incentives for the customers. To be specific, in this May, FPT Shop will offer big discounts for mobile phones, laptops and the customers can buy pay for many products in instalments with 0% interest and with a prepayment of from only VND 399,000. Concurrently, FPT Shop will also offer free anti-bacteria hand sanitizers and offer home delivery within 60 minutes.

The retail industry is expected to reach USD 180 billion in 2020: FRT will maintain the ICT in order to have new business expansion strategies

According the report of Vietnam Report, in the past few years, the retail industry in Vietnam has experienced rapid growth. The compound annual growth rate (CAGR) in the period 2013 – 2018 was 10,97%. The total retail revenue is expected to reach USD 180 billion in 2020, equivalent to an increase of 26,6% from 2018. However, the dramatic rise of digital and e-commercial retail channels is also worth high attention in the near future.

According to the forecast of World Bank, household expenditure will increase by 10,5% per year on average with the strong growth of middle class. Currently, about 70% of the Vietnam’s populations is financially secured, of which 13% is the middle class according to the world’s standard. Income of those people in this class are rapidly growing, which is very likely to reach 26% in 2016. From 2014, approximately 1,5 million of Vietnamese have joined the middle class per year on average, which indicates that households are reaching higher steps in the economic ladder after escaping the poverty. Economy growth, living-standard improvement and the increase of middle class are solid foundations to bolster up the extension of retail industry in the coming time.

Accordingly, in 2020, FPT Retail will continue to maintain the ICT chain so as to keep the growth rate the same as that in 2019. This is also a fulcrum for FRT to invest and extend new business paths. FRT plans to increase the revenue of the store chain by starting to sell sun glasses and watches in the form of shop-in-shop.

In 2020, there will be 200 new Long Chau pharmacies

In the pharmaceutical industry, there are 83 Long Chau pharmacies spreading across 19 provinces and cities, up 13 stores compared to the end of 2019. Up to now, Long Chau has decided on 40 locations to open new stores in the second quarter of 2020. It is foreseen that Long Chau may reach 200 stores at the end of 2020.

“FPT Retail’s current strategy is to expand the coverage nationwide, accounting for 30% of the pharmaceutical retail marker share through pharmacies in 2 to 3 years”, said the chain’s representative.

In the annual report of 2019, FRT assessed that the pharmaceutical industry in Vietnam is considered attractive for investors. According to BMI, the revenue in this segment will increase from USD 7.7 billion in 2021 to USD 16.1 billion in 2026. The compound annual growth rate will reach 11% in Vietnam Dong.

On the other hand, the pharmaceutical retail industry in our country is very fragmented. Because the average income and health awareness is becoming higher, people tend to choose modern, branding and GPP-standard pharmacies (with good pharmacy practices) instead of small and unqualified pharmacies. This shift is being accelerated party thanks to the Government’s policies that control the pharmaceutical retail industry via pharmacies (Circular 02/2018/TT-BYT regulating on good pharmacy practices)

For FRT, after discovering the secret to success for Long Chau chain, in 2020, FRT plans to expand the chain to 220 stores and increase the coverage nationwide. In the long-term plan, FRT sets goals to develop the pharmaceutical segment in a methodically planned and controlled manner the same as the operation of digital retail segment.

According to Tri Tuc, CafeF

Published May 7, 2020

5 Jun

FPT Retail’s Shareholders General Meeting: The profit will increase by 20%, Long Chau chain still incurs losses

FPT Digital Retail Joint Stock Company’s Shareholders General Meeting (FPT Retail, code: FRT) has passed the business plan for 2019 with the target revenue of VND17,700 billion, up 16%, and the profit after tax of VND418 billion, up 20% compared to 2018.

In that, the revenue is contributed mainly by media which is ITC, with the expected amount of VND17,200 billion; regarding the new industry, which is Long Chau pharmaceutical chain, such sector may contribute only VND500 billion in the revenue without generating profits, the expected loss is VND20 billion.

The promotion of installment purchase and accessories distribution contributes to the growth of 2019

In 2018, FRT implemented the F.Friend program (a companion program with enterprises) at about 250 factories for the employees. This year, FRT will gradually shift its focus to officers.

At the same time, the Company still continues to cooperate with Vinaphone so as to boost the sales. Such channel has brought FRT about VND1,000 billion in the revenue of 2018. It is expected that this program will make the revenue increase by VND300 billion, contributing VND1,300 billion to the total revenue this year.

With the campaign to improve products’ life, the main purposes are to stimulate the customers to buy more products, purchase old machines to exchange new machines, exploit the form of installment payment – accounting for 32% of total revenue. In 2019, FRT plans to increase the contribution from such business to 45%, equivalent to VND1,700 billion, which will be included in the target revenue of VND2,500 billion in order to ensure the growth of 16%.

According to statistics, for former retail chains, the revenue from installment purchase accounts for 50% of the total revenue, so according to Mrs. Diep, FRT still has chances to promote this activity.

In addition, the Company also boosted its accessories segment, with the goal of bringing the revenue of VND1,000 billion, up 67% compared to 2018. At the moment, FRT has worked with the suppliers to buy products from its origin in order to have a 20% more competitive price than the market price while the profit margin still increases by 10% compared to previously.

Concerning online channel, 4 years ago, this sector only contributed 7-8% in FRT’s total revenue, but in 2018, it contributed up to 15%. For the plan in 2019, such business is expected to contribute VND1,000 billion, besides the products of Samsung, Oppo, etc., FRT will include more exclusive products of some specialized labels for online items. At the same time, FRT will deploy new products and new industries. FRT also continues to combine e-commerce exchanges to take advantage of their promotion policies and increase the rate of access.

It is until 2020 that the pharmacies will general profits

Ms. Diep said that for the period from 2019 to 2022, the pharmacies chain will be the main and potential segment that contributes to the growth of FRT.

In 2019, the Company expects to open 50 new pharmacies in order to have 70 stores in total. For the succeeding years, FRT will open about 100 new stores each year. By 2020, Long Chau is expected to have 700 stores.

The pharmaceutical market’s size is of about USD4,5 billion per year, (excluding the consumption goods in the market without invoiced, smuggled goods), which is the same as the size of mobile phone industry. People’s living standards are increasing, there are more willingness to spent on health. In addition, there are more than 30,000 pharmacies nationwide, such number is three times higher than the number of mobile phone stores in the past and such industry is the leading one at the moment.

Therefore, Ms. Diep said that, after the development of distribution system, there is no reason for not considering importing medicines for trading, or even producing medicines ourselves.

FRT will focus on the logistics sector and develop pharmaceutical personnel. Its ambition is to account for 30% of the pharmaceutical market share through pharmacies in the next 3 to 4 years, this industry will contribute about 40% to the total revenue of FRT (about VND10,000 billion).

Ms. Diep shared that, each Long Chau pharmacy is estimated to bring about VND3 billion per month with more than 6,000 SKU, while in other chains, it is about 2,000 SKU, with the revenue of VND600-700 million per month.

Being questioned about the break even time of the stores, Ms. Diep said that she couldn’t state a definite number because in 2018, they were experimenting many different models, hence the break even time depended on the experimented shop’s style. Since 2019, this model has been applied widely in Bien Hoa, My Tho, Long An, the situation in Ho Chi Minh City is quite stable.

At the moment, there are 3 types of pharmacies: A, B and C depending on the location and the area, therefore the investment cost will be different, however, it is about 70-80% of the FPT Shop’s expenses. The inventories is about 1,5 times of the total expenses for construction and repairs. Concerning liabilities, FRT negotiated with the counterparties to pay within 15 to 30 days.

For the plan in 2019, the chain of pharmacies is expected to contribute VND500 billion in the revenue while it still incurs losses of VND20 billion. . The target for 2020 is to reach the revenue of VND2,000 billion and to stop incurring losses; by 2021, revenue of VND4,300 billion and profit of VND62 billion and by 2022, the revenue of VND6,500 billion and profit of VND193 billion.

The Shareholders General Meeting also approved ESOp stock issuance statement in 2018 and policies for 2019; statement of dividend payment, in which 10% by cash and 15% by shares (paid in the second or third quarter of 2019). The Board of Management and the Board of Supervision will also not receive remuneration by cash in 2018 and 2019.

In addition, there is a statement to ask for the shareholders’ opinions on transactions with related parties. Specifically, in 2018, FRT has recovered all the loans of nearly VND71 billion from Ms. Diep. According to Ms. Diep, that was when the Company appointed her to buy Long Chau chain as an individual for the experiment to see whether it is safe and suitable for the development, FRT will later apply such model.

Besides that, FRT also borrowed VND20 billion from FPT Corporation (FPT) last year.

 

According Phan Hang, Tin nhanh Chung khoan

3 Jun

What can FPT Retail do to increase the profit by 20% in 2019?

In 2019, FPT Retail has planned to reach the net revenue of VND17,700 billion, profit after tax of VND418 billion, equivalent to the growth of 16% and 20%, respectively.

The accessories bring high profits

In order to achieve the growth target set out, FPT Digital Retail Joint Stock Company (HoSE: FRT) will open new stores, boost online sales, increase the industry of accessories and sim cards.

Specifically, regarding IT industry, FRT will open 100 new stores in order to have 633 stores in total. Accessories such as memory cards, cases, backup chargers, etc. are expected to bring about VND1,000 billion in revenue for FPT Retail this year. The reason why FRT focuses on developing accessories is because such sector brings high profits.

According to Ms. Nguyen Bach Diep, the Chairwoman cum General Director of FPT Retail: “FPT Retail will change the suppliers and buy accessories from its origin in order to have higher profits”, it is increased by 10% compared to previously.

Besides, FRT will focus on sim cards, scratch cards, increase the number of customers coming to the stores with the target to increase the revenue by VND100 billion. Also in this year, FRT will also promote the online sales channels, bringing the stores to residential areas of other districts and communes.

FPT Retail will improve the proficiency the procedures for F.Friends project. Accordingly, F.Friends is the model that FRT will come to the customers and sign contracts. Their staff can buy any products under instalment with 0% interest, the monthly debt will be deducted from the salary. Instalment model F.Friends is more professional than the normal one.

Ms. Diep shared that: “The growth plan of this year is not very easy for FRT, because FRT is a later retailer facing some difficulties, and when it started with such model, the market had already been saturated”, especially at the time when Long Chau pharmacies still incur losses.

Long Chau will generate profits in 2021

Concerning Long Chau pharmacies, FPT Retail expects to open 50 new pharmacies, which means the number of stores is 72 in total. From 2020 to 2022, FRT will open from 100 to 200 new stores each year. By 2020, Long Chau is expected to have 700 stores.

FPT Retail estimates that Long Chau chain is recording the revenue of VND1,6 billion each day. This year’s target is to reach the revenue of VND500 billion, gross losses of VND20 billion. The target for 2020 is to reach the revenue of VND1,910 billion and to stop incurring losses. By 2021, Long Chau will start to generate profits with the expected revenue of VND4,370 billion and profit of VND63 billion and by 2022, the revenue of VND6,500 billion and profit of VND193 billion.

In order for Long Chau to have good result of operation, in the coming time, FRT will focus on logistics segment and develop the pharmaceutical personnel. The Company expects to account for 30% of the pharmaceutical market share through pharmacies in the next 3 to 4 years. It is predicted that the pharmaceutical industry will contribute about 40% to FRT’s revenue (about VND10,000 billion) in the future.

In 2018, Long Chau chain reached the revenue of more than VND380 billion. Medicines and functional foods accounted for about 58% and 30%, respectively, of the revenue classified by product. The remaining revenue came from medical equipment and cosmetics.

 

According: Minh Anh, Nhip Cau Dau Tu

 

29 May

Pharmaceuticals retail to become FPT Retail’s key section in future

FPT Retail aims to gain a 30% share for the pharmacy store market while hiding nothing about its intention to engage into pharmaceutical manufacturing and importing industries.

Pharmaceuticals retail will be the key and potential business section of the Company in coming years, informed Ms. Nguyen Bach Diep, CEO of FPT Digital Joint Stock Company (FPT Retail). At FPT Retail’s 2019 AGM of Shareholders, Ms. Diep reported that the Company’s pharmaceuticals retail chain would expectedly score a turnover of 6,500bn VND and gain a share of about 30% of the pharmaceutical retail market via pharmacy stores.

Ms. Nguyen Bach Diep (holding the microphone) reporting at the FPT Retail’s 2019 AGM of Shareholders – Photo: Hai Dang

FPT Retail’s Long Chau pharmacy store chain currently has 20 stores, with 50 more to be opened this year, i.e. 70 stores in total in 2019 gaining an expected turnover of 500bn VND. The expansion speed will be faster, which will expectedly result in 700 stores in 2022.FPT Retail’s current largest turnover source comes from the FPT Shop technology retail chain. According to the forecast by GfK, the mobile phone retail section grows by only 1% in this year and steps into saturation. In order to maintain the growth of turnover, technology retail chains start seeking expansion into new retail sections. Mobile World, the competitor of FPT Shop, selects to build up a convenience store chain to be their key section in the years to come. Meanwhile, FPT Retail opts to develop in the pharmaceuticals retail section as Ms. Diep has stated.

“The present size of the pharmaceuticals retail market is about 4.5bn USD, equivalent to that of the mobile phone retail section. Therefore this new section has vast potentials and will become the key section of FPT Retail in the coming years,” reported Ms. Diep.

According to her, the whole nation has about 30 thousand small pharmacy stores, 3 times as many as the number of mobile phone shops in the past. However, there has been no chain big enough to become the dominator. Moreover, living standards of Vietnamese people have been going up. Therefore, the needs for functional food also increase as a consequence. If profound research into pharmaceuticals can be made, FPT Retail can engage in manufacturing and importing medicines in the future apart from the pharmaceutical retail chain business.

The Long Chau store chain currently bears a loss of 20bn VND and will expectedly break even in 2020. The expected turnover of 6,500bn VND in 2020 has not covered the plans for manufacturing, importing or distributing medicines if such engagement is implemented, explained Ms. Diep.

FPT Retail is experimenting on opening new Long Chau stores or utilizing the location and customer base of some FPT shops for such new stores. Apart from the market of Ho Chi Minh City, Long Chau stores will also be opened in provinces including Binh Duong and Long An, etc.

Long Chau pharmacy store located beside a FPT Shop – Photo: Long Chau

Beside the pharmacy store chain, the 2019 business plan of FPT Retail will also focus on core business sections of the Company, while sections including SIM cards, online trading, selling on credit to enterprises and opening new stores will be boosted.

In the year 2019, FPT Retail aims to achieve 17,700bn VND in turnover and 428bn VND in expected profit after tax, which means a growth rate of 16% and 20% respectively compared to 2018.

FPT Retail sets the 2019 turnover target for accessories at 1,000bn VND, up by 350bn VND, while turnover from collection SIM card is targeted to increase by 100bn VND. These will be strategic sections contributing into turnover and high profit for FPT Retail in 2019.

Ms. Diep informed that in this year the Company will import accessories directly from production locations to get lower prices. Therefore accessories prices in 2019 will be lower, but the profit can be 10% higher compared to the previous period.

As for the online trading section, the Company will cooperate more closely with partners specializing in online trading to get reasonable prices. Products of equivalent quality and guarantee policy when being sold on the website will have lower prices compared to when being sold at shops.

Ms. Diep said the Company would open 100 more stores in 2019, increasing the total number of stores to 633. Beside expansion into urban centers, new stores will reach further towards residential areas of presently uncovered districts and communes.

Income statement for 2018

In 2018, FPT Retail recorded total turnover at 15,298bn VND, which is a up by 16% compared to 2017. Turnover from online trading reached 2,432bn, which recorded a rise by 21%. Profit before tax reached 435bn and profit after tax reached 348bn, up by 20% compared to 2017.

By the end of December 2018, the total number of FPT Shops is 533 with an increase of 60 shops compared to the end of December 2017. Average sales of each shop scored 2.4bn/month, with a slight increase compared to 2017.

Moreover, the number of F-Studio by FPT shops (including APR and AAR side-by-side shops) reached 14 in 2018. Sales of this shop chain contributed 423bn in FPT Retail’s total turnover, up by 61% compared to the same period in 2017.

In 2018, FPT Shops’ online trading section continued to grow. Accordingly, the website FPTShop.com.vn had 360,325,253 visits with a 41.6% increase compared to 2017. This aids in a soar in online trading sales of the Company in 2018, up by 21% compared to 2017.

 

According to Hai Dang, ICTNews

 

21 May

FPT Retail’s pharmacy stores chain sets turnover target at 500bn VND

FPT Retail plans to open 48 new stores of the Long Chau pharmacy store chain in this year. 

At the annual general meeting of shareholders in the morning of March 27, most questions of investors for the leadership of FPT Digital Joint Stock Company revolve around the venture into pharmaceutical retail section. This is the new section deployed by the Company since the end of 2017 after its acquisition of Long Chau pharmacy stores chain.

Ms. Nguyen Bach Diep, the Company’s Chairwoman of Board of Directors and CEO admits it was very daring of her to obtain over 70bn from the Company to personally venture into this section although she had no relevant experience. She decided she had to acquire a pharmacy store chain of small scale to limit risks and evaluate performance.

“When learning of our intention to join the pharmaceutical retail section, many chains offered to sell their stores and brand names to us. However, we chose Long Chau as the chain possessed 4 stores, each of which gained a whopping average turnover of 3bn VND per month. We were intrigued to know how they could attract customers and how their turnover vastly outdo other chains,” said the FPT Retail’s leader.

After 2 years of taking-over, Ms. Diep experimented various models for the pharmacy store chain including putting them in the same location of FPT Shops to cut location cost, utilizing the readily available customer base or opening pharmacy stores adjacent to competitors’ stores in the same area and around hospitals.

By the end of last year, Long Chau pharmacy store chain expanded to 22 stores in Ho Chi Minh City, Dong Nai with new stores to be opened in Tien Giang and An Giang.

A pharmacy store of FPT Retail in Cu Chi District, Ho Chi Minh City. Photo: Long Chau Fanpage.

Pharmaceutical retail brought in over 380bn of turnover in 2018. Medicines and functional foods account for 58% and 30% respectively in the structure of turnover by product. The rest come from medical equipment and cosmeceuticals.

FPT Retail estimates the pharmacy store chain is recording a turnover of 1.6bn per day. This year turnover is expected to be 500bn, while net loss is expected to be about 20bn.

The Company’s leadership thinks bearing the small amount of loss for the first 2 years for chain building is normal. Such bearing is even more satisfactory in comparison with when the Company began developing its mobile phone retail section as vast amounts of resources were poured into building logistics, increasing the number of pharmacy stores and building a staff with suitable management and professional capabilities.

“There are 30,000 pharmacy stores of various sizes nationwide, but there is no truly dominating player. Opportunities are still abundant out there. Our key task is to expand to 70 stores within this year and to 700 by the end of 2022,” said Ms. Diep. She also stated she would evaluate the possibility of distributing or investing into pharmaceutical factories should there be favorable conditions.

In her previous interview with VnExpress Ms. Diep gave the opinion that the pharmaceutical retail section had high profit potentials backed by various indicators. For instance, the market size is about 4.5bn USD (equivalent to the size of mobile phone section and higher than that of household appliances and laptop retail sections) with guaranteed 2-digit annual growth rate thanks to its independence from economic situations and the estimated annual spending of 30 USD on pharmaceuticals of each Vietnamese person, etc.

 

According to Phuong Dong, Vnexpress