Below are detailed information about the 7 largest textile and garment companies in Vietnam by market capitalization, compiled and analyzed by VietnamCredit.
Vietnam Textile and Garment Group (Vinatex) - formerly the Vietnam Textile and Garment Corporation was established on April 29, 1995. Currently, the group has 118 member units operating in many different fields. Despite accounting for only 9% of labor, Vinatex accounts for 97% of cottonseed production, more than 33% of yarn production, nearly 32% of woven fabric output, nearly 13% of garment output and more than 18% of export turnover the whole industry.
The group's consolidated revenue in 2021 is estimated at 16,436 billion VND, equaling 110.7% over the same period in 2020. Its profit reached 1,200 billion VND, more than double that of 2020, exceeding the plan by 80% thanks to the stable production supply chain and workforce.
Thanh Cong Textile Garment Investment Trading Joint Stock Company, formerly known as the Textile Industry Reinstatement Company, was established in 1967. After several changes in operating model and name, in May 2008, the company was officially renamed to its current name.
With a closed production process and a long history of development, Thanh Cong is known by international customers as one of the leading textile companies in Vietnam. The company designs, manufactures and trades in yarns, fabrics and products sewn with fabrics manufactured by the company itself. In recent years, it has effectively managed and used its resources.
In 2020, the company’s revenue was estimated at 146 million USD (equivalent to 3,355 billion VND), equal to 95% of the revenue in 2019. Profit after tax was estimated at 11.2 million USD (equivalent to 257 billion VND), an increase of 12% year-on-year.
Due to the complicated epidemic situation, the company had to implement distance work, resulting in a decrease in gross profit margin and a loss of 603,245 USD (equivalent to more than 13.7 billion VND) in the first 9 months of 2021..
Century Synthetic Fiber Corporation, formerly known as Century Trading - Production Company Limited, was established on June 1, 2000, specializing in the production of draw textured yarn from imported partially oriented yarn. In May 2005, the company was transformed into a joint stock company and renamed as Century Synthetic Fiber Corporation (STK).
STK is currently manufacturing and trading high quality long fiber yarns such as partially oriented yarn, drawn texturized yarn and fully drawn yarn. Its products are the main source of input materials for textile factories to produce fabrics to serve manufacturers of high-end sporting goods. The company has been carrying out these activities for the past 20 years.
In the first half of 2021, the company’s net revenue reached 1,077 billion VND, up 24% compared to the first half of 2020. Profit after tax increased 2.5 times over the same period in 2020, reaching 140.9 billion VND.
It is reported that in the second quarter of 2021, revenue from recycled yarn of the company reached 283 billion VND, up 177% over the same period last year and accounting for 56% of the revenue structure.
The increase in the proportion of recycled yarn (with high profit margin) and the decrease in the proportion of virgin fiber products (with lower profit margin) helped the company's gross profit margin reach 19.4% in the second quarter of 2021, an increase of 11.2 percentage points over the same period last year.
Song Hong Garment Joint Stock Company, formerly known as 1/7 Garment Factory, was established in 1988 and in 1993, the company was renamed to Song Hong Garment Company. After 11 years of continued development, the company changed its ownership form from a state-owned enterprise to a joint-stock company, changing its name to Song Hong Garment Joint Stock Company in 2004. In 2007, Song Hong Garment Company Limited was established with a representative branch located in Hong Kong.
Song Hong Garment is currently considered as one of the leading enterprises in the production and trading of bedding products in the Vietnamese market. Garment products of Song Hong Garment Joint Stock Company include processed goods and exported goods, in which FOB goods are currently accounting for a major proportion in the revenue and profit structure of the company. As of December 31, 2020, the company had 9,935 employees with more than 20 production workshops built and centrally managed within Nam Dinh province and a distribution agent system throughout Vietnam.
Like many other garment manufacturers, Song Hong Garment has just experienced a difficult 2020 due to the impact of the Covid-19 pandemic. Net revenue and profit after tax in 2020 decreased by 13.6% and 48.2% respectively compared to the previous year, reaching 3,813 billion VND and 283 billion VND.
TNG Investment and Trading Joint Stock Company, formerly known as Bac Thai Garment Factory, was established on November 22, 1979. On May 7, 1981, the People's Committee of Bac Thai province merged the Garment Outsourcing Station of a trading company into the Enterprise. In 1997, the enterprise was renamed Thai Nguyen Garment Company with total charter capital of 1,735,1 million VND. On January 2, 2003 the company officially became Thai Nguyen Garment Export Joint Stock Company. On May 17, 2007 the company registered to become a public company with the State Securities Commission. On November 22, 2007 the company was officially listed on HNX with stock code TNG.
TNG has 13 factories with 257 sewing lines, 2 auxiliary factories for embroidery, industrial washing, carton packaging and cotton and quilting factories. The company's products have been present in most of the world's major markets such as the US, Canada, and the EU.
In 2020, the total revenue of the company reached 4,480 billion VND, and profit after tax reached 153 billion VND.
Starting from a state-owned enterprise in 1982, Binh Thanh Import - Export Production & Trade JSC (Gilimex) has achieved outstanding success in revenue growth, affirming the leading position in the garment and home textile industry in Vietnam. In 2002, Gilimex was listed on the Ho Chi Minh Stock Exchange with the stock code GIL.
With 5 subsidiaries and 1 strategic affiliated company, along with a team of more than 4,000 skilled workers, Gilimex has all the facilities and production capacity to fully meet the requirements and commitments of domestic and foreign partners on processing time, product quality, product development and coordination of production and business activities.
As of March 31, 2021, GIL had invested in GMC and recorded as trading securities worth 11.67 billion VND, equivalent to 871,211 shares. Previously, in the first quarter of 2021, GIL recorded revenue of 864.2 billion VND, profit after tax of 71.1 billion VND, up 19.7% and 66.1% respectively over the same period last year. .
Viet Tien Garment Corporation was formerly a private garment factory called Pacific Enterprise. In May 1977, it was recognized as a state-owned enterprise by the Ministry of Industry and renamed Viet Tien Garment Enterprise. On November 13, 1979, the factory caught fire, causing complete damage. On March 24, 1993, the company was granted an enterprise establishment license by the Ministry of Industry. On January 1, 2007, Viet Tien Garment Corporation was established. On March 3, 2016, its shares were approved for trading on UPCoM with stock code VGG.
According to the report of Viet Tien Garment, in 2020, due to the global Covid-19 epidemic, Vietnam’s textile and garment industry saw a sharp drop in export turnover. However, Viet Tien Garment Joint Stock Company has managed to exceed the targets on production and business activities. Specifically, the company’s revenue reached 7,118.6 billion VND, exceeding 13% of the plan. Profit before tax reached 170.7 billion VND, 13.8% higher than the plan.
Alice Hoang Thao - VietnamCredit
