Daklak September 2Nd Import - Export Company Limited (Vietnam)

The subject is a State-Owned company that was founded in 1993 in Dak Lak Province. The subject is known for more than thirty years of experience in the coffee industry. We contacted the subject via a registered phone number. Through discussion, they confirmed that the subject exports to over 100 countries in the world. In the period 2022-2023, the company was ranked in the top three of the largest export companies by the Vietnam Coffee-Cocoa Association (VICOFA). Based on its development efforts, the subject is currently becoming a bright spot in the economy and coffee industry in Dak Lak. Thanks to that, the subject helps create jobs for thousands of local people each year.For finance, total assets were downward in fiscal year 2022 due to a significant decrease in inventories and trade debts. Inventories dropped because farmer's goods ran out very quickly. Likewise, capital sources tended to decrease, due to the fall of trade creditors and loans, a reduction of 54.21% and 73.43% respectively. It meant that the subject less depended on financial leverage. In contrast, in 2022 the owner's equity expanded and accounted for over 50% of total capital. Liquidity abilities were acceptable. Therefore, the capital structure remained secure. In 2022, net revenue strongly grew up, reaching VND 6,481 billion, an increase of 85.19% compared to the previous year. COGS and other expenses increased accordingly due to high input material prices. However, profit after tax was still positive, achieving nearly VND 100 billion in 2022, a rise of 143.03% over the same period. As a result, profitability was higher than the industry average. Net cash flow in 2022 turned positive due to a large climb in operating and investing activities.According to the latest press, accumulated in the 11 months of 2023, the average export price of Vietnam's coffee is estimated at USD 2,570 ton, an increase of 11.9% over the same period. Meanwhile, VICOFA forecasts that coffee volume reduce at the end of 2023 due to the effects of climate change. Therefore, this can be an opportunity and challenge for the coffee industry in the upcoming period.