Packaging / Advertising & Office

Due to the stable economic situation in Vietnam, some paper and packaging companies are optimistic about the outlook for 2021.

The goal of An Phát Bioplastics JSC (AAA) is to achieve a consolidated income of 9.5 trillion VND, and the after-tax profit is expected to be 550 billion VND. The goal of Đông Hải Joint Stock Company of Bentre (DHC) is to achieve 3.5 trillion VND in revenue and 399 billion VND in after-tax profit. In addition, ThuậnĐức JSC (TDP), a company that produces environmentally friendly polypropylene (PP plastic) packaging products, aims to achieve 1.97 trillion VND in revenue and 88 billion VND in after-tax profit.

AAA announced that its revenue for the first quarter was VND 2.28 trillion, an increase of 45.04% over the same period in 2020, and its after-tax profit reached VND 89 billion, an increase of 41.27% over the same period. DHC announced that its net income in the first quarter was VND 1 trillion, an increase of 51.7% over the same period in 2020, and its after-tax profit was close to VND 173 billion, an increase of 138% over the same period. This is the first time that DHC's quarterly revenue has reached VND 1 trillion. TDP achieved net income of VND 467 billion in the first quarter, an increase of 52% compared to the same period in 2020.

SSI Securities Company (SSI) believes that due to the continued urbanization process, it is expected that Vietnam's paper packaging consumption will increase by 12% from 2021 to 2025. And due to the rapid growth of e-commerce in Vietnam, the paper packaging sector will also benefit from it.

Analysts predict that the growth of the plastic packaging sector in Vietnam in 2021 will depend on spending on food and non-alcoholic beverages. In the Asian market, in terms of exports, the demand for packaging products will continue to grow and will become the main growth driver in the packaging sector in Vietnam.