VHC to repurchase 15 million treasury shares

Vinh Hoan Joint Stock Company (VHC-HOSE) has announced a plan to repurchase treasury shares. The company will buy back 15 million shares via open-market trading, with the expected trading window running from April 20 to May 19.

Purpose and funding

The repurchase is intended to reduce charter capital and/or increase benefits for existing shareholders. VHC will finance the buyback using internal funds, supported by undistributed profits of more than VND 6,841 billion, based on the reviewed Consolidated Financial Statements for the interim period of 2025.

Buyback terms

Under the plan, the company will purchase at least 3% and at most 10% of the total registered trading volume in each session, in line with the State Securities Commission’s regulations.

Previously, the Board of Directors approved the repurchase of 15 million shares, with a maximum purchase price of VND 63,000 per share, equivalent to a maximum value of VND 945 billion.

On the afternoon of April 9, VHC shares traded at around VND 60,300 per share, approximately 4–5% below the proposed maximum buyback price.

First two months of 2026: revenue growth

Alongside the buyback announcement, VHC also released sales results for the first two months of 2026. Revenue increased 11% year-on-year to VND 1.8 trillion, representing about 12% of the full-year forecast.

The growth was attributed to a rebound in the core frozen pangasius fillet segment, positive momentum from collagen and gelatin, and higher contributions from value-added products.

Segment performance and market drivers

According to Vietcap, February net revenue rose 8% year-on-year despite seasonal declines month-on-month. The US market was the main driver, with net revenue up 21% month-on-month, while other markets declined. Vietcap attributed this to a strategy to push orders to the US ahead of holidays.

For the first two months of 2026, the frozen pangasius fillet segment recovered strongly, up 13% year-on-year, with VHC maintaining an average selling price of around USD 3.1/kg. Other areas also showed growth, including collagen & gelatin (+14% year-on-year), by-products (+26% year-on-year), and value-added products (+47% year-on-year), indicating progress in deeper penetration into higher-margin product segments.

VHC also reported revenue recovery across key markets: the US (+22% year-on-year), other markets (+35% year-on-year), and stable revenue from the EU (+7% year-on-year).

Outlook for 2026

Vietcap said the results point to a positive outlook for VHC in 2026, particularly in the US market, supported by two favorable factors: the removal of the 20% countervailing duty on US imports to improve cost competitiveness for tilapia products, and preliminary results from the POR21 anti-dumping review indicating VHC maintains a 0% duty, while competitors may face potential duties again. This is expected to strengthen VHC’s competitive position in the US.