Mobile World Investment : YTD November 2021 Report

Mobile World Investment Corporation (MWG)

YTD NOVEMBER 2021 PERFORMANCE REPORT

		NET REVENUE	ONLINE REVENUE IN 11M2021
		(VND bn)	CONTRIBUTED 11% TO MWG'S NET REVENUE
			AND INCREASED BY 46% YOY
			Online revenue	Online revenue
		88%	contribution in TGDD & DMX	contribution in BHX
99,304		110,530	14%	3%
	2021 Net revenue
		target of
		VND125,000 billion
		was completed
11M2020	11M2021

NET PROFIT AFTER TAX	YoY online sales growth	YoY online sales growth
	(VND bn)		of TGDD & DMX	of BHX
		93%
3,599	4,395	2021 NPAT
	target of
		VND4,750 billion
		was completed
11M2020	11M2021		11M2020	11M2021	11M2020	11M2021

5,065 stores as of 30 Nov 2021, including: 966 TGDD, 1863 DMX, 2026 BHX, 50 Bluetronics, 4 Topzone & 156 An Khang

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Mobile World Investment Corporation (MWG)

YTD NOVEMBER 2021 PERFORMANCE REPORT

• Cumulative 11M2021, MWG recorded consolidated net revenue of VND110,530 billion (+11% YoY) and net profit after tax (NPAT) of VND4,395 billion (+22% YoY). Online revenue contributed VND12,500 billion (+46% YoY). With this result, MWG fulfilled 88% of revenue and 93% of net profit target of FY2021.
• In November 2021, net revenue reached VND11,523 billion and NPAT was VND489 billion, jumping by 25% YoY and 55% YoY respectively. This month had the 2nd highest revenue YTD thanks to the outstanding effort of TGDD & DMX. The aggregate sales of these two chains in November was approximately VND9,700 billion (+36% YoY).
• In cumulative 11-month, TGDD & DMX contributed VND83,800 billion of revenue (+5% YoY). Online sales reached VND11,660 billion (+40% YoY) and accounted for 14% of the total revenue of TGDD and DMX. To accomplish this impressive performance amid the overall market went flat, the key to success of TGDD/DMX was securing sufficient stocks to serve consumer demand though the supply has been in severe shortage both in Vietnam and globally.
• By category:
• • ICT products (phones, laptops, tablets) grew by double digit YoY. Of which, laptop thrived at the highest pace (+52% YoY) thanks to trend of remote working and studying.
  • Electronics and white goods recovered strongly with double digit growth YoY in 2 consecutive months of October and November. However, their sales value maintained negative growth in cumulative 11M2021 as the annual peak sales season of these categories fell in the outbreak time of the pandemic in 2021.
  • Small appliances and accessories continued the positive YoY growth.
• With 674 stores as of November-end, DMS brought in over VND5,850 billion in cumulative 11M2021.
• 4 Topzone stores contributed more than VND110 billion of revenue in November, equivalent to average sales of VND25 billion/ store/ month and was far beyond the expectation of MWG. The Company plans to operate 10 Topzone stores (including the individual large stand-alone store - APR) by the end of this year and estimates the monthly sales per store in stable operation period of 8-10 billion after the effect of launching new products ends.
• After 6 months of the experiment, the partnership model with mom & pop shops to expand market in localities lacking presence of TGDD/DMX/DMS brought in encouraging result of nearly VND100 billion of sales in November 2021 from almost 4,000 freelancers. The fact that many retailers cannot survive in the fast-changing business environment and must leave the market due to severe impacts of the pandemic has created chances for TGDD/DMX to gain more market share.

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Mobile World Investment Corporation (MWG)

YTD NOVEMBER 2021 PERFORMANCE REPORT

• Regarding BHX, the chain recorded total sales of more than VND26,300 billion in 11M2021, up 38% YoY.
• BHX sales in November reached approx. VND1,800 billion. According to market surveys, purchasing power of consumer goods has been recovered slowly. Moreover, the current wave of covid-19 spreading in many Southern provinces also affects operation of the chain considerably. Average monthly sales per store of BHX is estimated to be around VND1,800-2,000 billion in the early months of 2022.
• In cumulative 11M2021, online grocery via bachhoaxanh.com website recorded 3.8 times the number of orders and 2.8 times the sales value compared to the same period last year. Online sales accounted for 3.2% and 5% of BHX's total revenue in 11M2021 and November respectively. With stable operation after the lockdown period, number of daily orders in BHX online channel retains around 7,000-8,000.
• Relating to the operational efficiency, BHX recorded positive EBITDA in 11M2021 at the company-wide level and is expected to maintain this result for the whole year 2021.

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