Vinamilk - CEO’S MESSAGE

CEO’S MESSAGE

Dear Shareholders, Customers and Colleagues,

2021 marked an important milestone in Vinamilk’s 45-year “Stand tall Vietnam - Reach out to the world” journey to bring Vietnamese Dairy Products to the global markets. We would like to extend our gratitude to all Shareholders, Customers, Employees, Partners and other stakeholders who have accompanied and supported Vinamilk in BUILDING TRUST - SHARING PROSPERITY.

The year 2021 also experienced a difficult period as the world encountered unprecedented challenges due to the Covid-19 pandemic. The shock caused by Covid-19 has plunged the world into one of the worst recessions in human history with significant impacts on all aspects from economy, politics, social security, ect. The prolonged and widespread social disruption, blockade and isolation not only changed the global value chain, but also restrained production, supply and consumption. Facing this situation, the Vietnamese economy and the global dairy industry are not exceptions.

Overcoming difficulties, Vinamilk promptly implemented response plans and quickly adapted to the “new normal” situation, aiming at the dual goal of maintaining the growth while stabilizing production and business activities in compliance with regulations on epidemic prevention.

Thanks to the efforts of the Board of Management and all employees of the Company in overcoming difficulties, by the end of 2021, Vinamilk has achieved the highest revenue ever - more than VND 61,000 billion, gross profit after tax reached VND 10,633 billion. Even though our profit expectation has not been totally achieved, this was a heartening achievement in the context of the serious impact of the epidemics on the global economy.

In a tumultuous year of the supply chain, thanks to a good risk control foundation, especially the autonomy in maintaining the domestic raw milk material areas, combined with an extensive and flexible material supplier network, Vinamilk has maintained stable production activities, meeting domestic and export demand.

Technology application in management has been Vinamilk’s orientation for many years. In the context of prolonged social distancing and trade restrictions due to the global pandemic, the digital transformation process has been deployed more quickly and comprehensively. Online browser system (eOffice), electronic document library management system (eDocs), digital signature system (eSign), internal news and interaction websites, remote data access solutions, etc. have become essential, convenient and effective tools in daily activities of both internal employees and partners of the Company; contributing to maintaining continuous operation, productivity and strict control not only during the period of isolation, but also during the process of scaling up the business.

In order to ensure the safety of employees during the epidemics, Vinamilk has drastically taken a number of epidemic prevention measures at the workplace, while ensuring stable working and employment conditions. Facing the crisis period during and after the pandemic, one of Vinamilk’s pride is maintaining stable and effective operations of all member units and securing jobs, incomes and benefits for nearly 8,000 employees.

Being driven by the mindset that sustainable development of an enterprise only exists in a healthy community, Vinamilk has been actively involved in social responsibility programs, especially during the difficult period due to the Covid-19 pandemic. Over the past two years, Vinamilk and its member units, subsidiaries and employees have contributed more than VND 100 billion to the Government’s Covid-19 prevention and control activities, supporting frontline forces in the epidemic fight and supporting the community, especially children affected by the pandemic as well as people affected by natural disasters, storms and floods.

The pandemic will pass but the SUSTAINABLE VALUES will stay. The Board of Management and all employees of Vinamilk will persistently endeavor to create more sustainable values and firmly move forward on the path of BUILDING TRUST, SHARING PROSPERITY. With positive forecasts about the recovery of the global economy, we believe Vinamilk will firmly step into 2022 with high determination to break through limits for sustainable development and reaching new heights.

Wish you health and prosperity.

Ho Chi Minh City, April 15, 2022

Chief Executive Officer

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HIGHLIGHTS IN 2021

VND 61012
BILLION

Total consolidated revenue
VND 10633
BILLION

Consolidated profit after tax
180572
BILLION

Market capitalization at December 31st, 2021
VND 5322
BILLION

contribute to the State budget
57 countries and
territories

Accumulated export
MORE THAN

160000
TOTAL HERD
OF COWS

14 FARMS

01 EMBRYO
TRANSFER
CENTER

GLOBALG.A.P
STANDARD IN VIETNAM
03

FARMS SATISFYING EU ORGANIC STANDARD
02

FARMS SATISFYING CHINA ORGANIC STANDARD

2.4

USD BILLION

VINAMILK'S
BRAND VALUE

(According to Brand Finance)

IN TOP 40 THE WORLD’S TOP DAIRY PRODUCERS IN TERMS OF REVENUE

(According to Plimsoll – UK)

IN TOP 10 MOST VALUABLE
GLOBAL DAIRY BRANDS

(According to Brand Finance’s brand value report)

JOIN WITH THE COMMUNITY OVERCOME THE PANDEMIC OF THE CENTURY

VND100 BILLION

In
2021
VND 60
BILLION

AIDING THE FRONTLINE FORCES

60
HOSPITALS
10000
DOCTORS AND NURSES
1.1MILLION
PRODUCTS

GIFTS OF HEALTH FOR THE COMMUNITY

Sharing the burden in the pandemic period with subsidy product program with an estimated budget of up to

VND 170 BILLION

45000
GIFTS

for people in difficult circumstances in 03 provinces:
HCM City, Dong Nai, Binh Duong

ENCOURAGE HEALTHY LIFESTYLE, JOIN HANDS FOR THE
SAKE OF CHILDREN DURING THE PANDEMIC

45000boxes of milk

for isolated children during the Lunar New Year

24000Products

equivalent to 3,000 gifts for children on Children’s Day
VND10 BILLION

contributed to buy vaccines for children for children from 12 to 18 years old, support in taking care of children affected by the pandemic

01
MILLION CUPS OF MILK
For children in difficult circumstances