Mr. Nguyen Duc Tai, Chairman of the Board of Directors of Mobile World Investment Joint Stock Company (MWG), stated that the orientation for 2024 is to operate the company effectively in the context that purchasing power has not recovered.
On the afternoon of April 13, Mobile World Investment Joint Stock Company (MWG) held the 2024 Annual General Meeting of Shareholders at the company headquarters in Thu Duc City, Ho Chi Minh City.
According to the report, the 2023 revenue of the two chains thegioididong and Dien May Xanh will reach VND 28,000 billion and VND 55,000 billion, respectively.
Bach Hoa Xanh chain has a revenue of 31,600 billion VND in 2023, an increase of 17% compared to 2022. Despite the growth, Bach Hoa Xanh still has a loss of 1,215 billion VND.
Mr. Nguyen Duc Tai, Chairman of the Board of Directors of Mobile World, said that over the past year, the company has carried out a strong restructuring process. He believes that this organization is agile and lean enough to operate in a model that is not much affected by major changes in purchasing power.
Mr. Tai stated that the orientation for 2024 is to operate the company effectively in the context of unimproved purchasing power, followed by creating a “water pouring into the valley” effect to help bring efficiency and revenue.
Thegioididong chain, Dien May Xanh
Meanwhile, Mr. Doan Van Hieu Em, member of the Board of Directors of Mobile World, said that the An Khang pharmacy chain currently has 527 pharmacies, each pharmacy’s revenue is 450 million VND/month. This level is still not break-even, so efforts must be made to increase revenue to reach about 550 million VND (break-even level).
In the Indonesian market, the group has 55 stores, each store has a revenue of 2.5-4.5 billion VND. With this revenue also reaching break-even level, this year’s plan is not to exceed 100 stores in this market. By 2027 there will be 500 stores.
Shareholders questioned the recent private share sale transaction of 5% of Bach Hoa Xanh shares and wondered whether the group had a plan to raise capital to 20%.
Mr. Tai explained this problem as the company does not have any plans to get more capital because there is no need. Bach Hoa Xanh has passed the stage of no longer having to compensate for losses and will soon strive to develop to a scale large enough to list on the stock exchange.
According to Mr. Hieu Em, in the next 2-3 years, thegioididong and Dien May Xanh have no plans to open more stores. Stores that are still ineffective will have to make further adjustments to operate most effectively.