FRT - NPAT-MI slightly trails expectation; Long Chau’s bottom line ahead of forecast - Earnings Flash
  • 2025-01-24T00:00:00
  • Company Research
  • 2024: Net sales were VND40.1tn (USD1.6bn; +26% YoY) and NPAT-MI was VND318bn (USD13mn; vs a net loss of USD14mn in 2023), equivalent to 104% and 98% of our respective full-year forecasts. Long Chau (LC)’s NPAT-MI completed 108% our forecast while FPT Shop’s trailed our expectations.
  • Q4 2024: Net sales increased 32% YoY and NPAT-MI was VND111bn (USD4mn, vs a net loss of USD4mn in Q4 2023). While FPT Shop remained profitable, its NPAT-MI declined 55% QoQ to VND18bn as the EBIT margin weakened by 70 bps QoQ. LC’s NPAT-MI decreased 8% QoQ to VND93bn as NPM softened 40 bps QoQ to 1.6%.
  • Store opening: LC opened 446 pharmacies and 116 vaccination centers, while FPT Shop closed 121 stores. At YE 2024, FRT had 1,943 pharmacies, 123 vaccination centers, and 634 ICT stores (in which there were 54 stores selling consumer electronics and home appliances).
  • LC: In Q4 2024, its average monthly sales/store remained at VND1.2bn. LC’s sales grew 53% YoY and 13% QoQ, respectively. Meanwhile, its EBIT margin declined 40 bps QoQ to 2.4%. In Q4, LC opened 94 new pharmacies and 11 vaccination centers.
  • FPT Shop: In Q4 2024, FPT Shop’s sales increased 7% YoY and 6% QoQ, while its GPM declined 60 bps QoQ to 13.0% (+1.6 ppts YoY), which we mainly attribute to a higher sales contribution from iPhones.
  • Our view: Overall2024 sales exceeded our forecasts, while NPAT-MI slightly missed our expectation. We see no material changes to our 2025 forecast, pending a fuller review.

FRT’s Q4 and 2024 results

VND bn

Q4 2023

Q4 2024

YoY

2023

2024

YoY

2024F

2024a as % of 2024F

Net revenue

8,690

11,448

32%

31,850

40,104

26%

38,399

104%

  • FPT Shop

3,964

4,222

7%

16,185

15,126

-7%

14,409

105%

  • Pharmacy

4,727

7,225

53%

15,665

24,978

59%

23,990

104%

Online sales 1

1,620

2,124

31%

5,842

7,165

23%

6,134

117%

 

 

 

 

 

 

 

 

 

Gross profit

1,523

2,074

36%

5,162

7,583

47%

7,525

101%

  • FPT Shop

452

548

21%

1,637

2,029

24%

1,974

103%

  • Pharmacy

1,070

1,526

43%

3,524

5,554

58%

5,551

100%

 

 

 

 

 

 

 

 

 

SG&A expenses

-1,585

-1,871

18%

-5,246

-6,893

31%

-6,824

101%

EBIT

-62

204

N.M.

-85

690

N.M.

701

98%

  • FPT Shop

-72

30

N.M.

-396

24

N.M.

25

97%

  • Pharmacy

10

174

1701%

312

666

113%

676

98%

Net financial loss

-31

-43

36%

-212

-147

-31%

-147

100%

  • Financial income

33

36

10%

80

107

33%

133

81%

  • Financial expenses

-64

-79

23%

-292

-254

-13%

-279

91%

NPAT-MI

-101

111

N.M.

-346

318

N.M.

324

98%

  • FPT Shop

-88

18

N.M.

-475

-55

-88%

-22

N.M.

  • Pharmacy

-12

93

N.M.

130

373

188%

346

108%

Gross margin

17.5%

18.1%

 

16.2%

18.9%

 

19.6%

 

  • FPT Shop

11.4%

13.0%

 

10.1%

13.4%

 

13.7%

 

  • Pharmacy

22.6%

21.1%

 

22.5%

22.2%

 

23.1%

 

SG&A/net sales

18.2%

16.3%

 

16.5%

17.2%

 

17.8%

 

EBIT margin

-0.7%

1.8%

 

-0.3%

1.7%

 

1.8%

 

  • FPT Shop

-1.8%

0.7%

 

-2.4%

0.2%

 

0.2%

 

  • Pharmacy

0.2%

2.4%

 

2.0%

2.7%

 

2.8%

 

NPAT-MI margin

-1.2%

1.0%

 

-1.1%

0.8%

 

0.8%

 

Source: FRT, Vietcap (online sales are included in FPT Shop’s sales)

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