At 2025 Annual General Meeting (AGM) held on the morning of April 23rd 2025 BAF Vietnam Agriculture Joint Stock Company (HOSE: BAF, Company) announced an ambitious profit target of VND 638 billion, more than double its second-highest profit in company history, recorded in 2024.
Doubling Profit Target with Nearly 900,000 Pigs Sold
According to the business plan revealed exclusively at the AGM, BAF is aiming for the target revenue of over VND 5.6 trillion, with livestock operations contributing nearly VND 5.46 trillion – a 1.69x increase over the previous year.
The company projects VND 774 billion in pre-tax profit and VND 638 billion in net profit, of which approximately VND 636 billion will come from pig farming activities. The remaining contribution comes from the feed production segment. It’s worth noting that in 2024, BAF achieved an impressive net profit of VND 319 billion, a 10-fold increase year-on-year—marking the second-highest profit in its history after 2021.
Speaking at the AGM, CEO Bui Huong Giang emphasized that despite stable top-line revenue, the sharp increase in profit is driven by a strategic shift: in 2025, 100% of operations will focus on pig farming, compared to 60% in 2024 (the remaining 40% previously came from crop trading). “Our 2025 plan is fully centered on livestock, which marks significant growth. We aim to sell nearly 900,000 pigs this year, so in reality, our livestock revenue is increasing,” she added.
Output and Margin Expectations
In 2025, BAF plans to sell over 831,000 market hogs and more than 41,000 breeding pigs, totaling 872,000 pigs. This is expected to generate approximately VND 5.5 trillion in revenue and nearly VND 1.5 trillion in gross profit, with a gross margin of about 27%.
Navigating Challenges, Leveraging Market Trends
Despite market challenges in 2024 – such as Typhoon Yagi in Northern Vietnam and outbreaks of African Swine Fever (ASF), especially among smallholders – BAF delivered strong results. According to the Ministry of Agriculture and Rural Development, Vietnam’s pork output reached 5 million tons in 2024, up 3.7% YoY, while live hog prices rose from VND 50,000/kg to nearly VND 70,000/kg, a 31–35% increase nationwide. Simultaneously, lower feed costs improved overall profitability.
With the new Livestock Law effective from early 2025, a structural shift from households to industrial-scale farming is accelerating. BAF plans to leverage this transformation by expanding operations and strengthening biosecurity to maintain herd size while executing M&A strategies to acquire new farms.
In 2025, BAF will deploy 13 new farms/farm clusters, along with 2 new a feed mill in Binh Dinh and a meat processing plant in Binh Phuoc, both already under construction.
“BAF currently operates 40 farms, not including contract farms. We’re racing against time to reach our 2030 target of 10 million commercial pigs. We’ve also received approval to invest in multi-story pig farms with a capacity of 64,000 sows, a model capable of supporting millions of commercial pigs” said CEO Giang.
Q1 2025: Exceeding Expectations
In Q1/2025, BAF recorded over VND 1.1 trillion in revenue—slightly down YoY, but with improved livestock contribution. BAF sold 160,000 pigs, and pre-tax profit reach at VND 140 billion, slightly up from the same period last year.
The AGM approved the retention of all 2024 profits, with no dividend distribution until the end of 2026. BAF requires substantial capital to build new farms and scale operations.
Chairman Truong Sy Ba explained:
“To reach our 2030 goal of 10 million commercial pigs, we’ll need VND 54 trillion in total investment. We are committed to reinvesting all profits. International partners like IFC have agreed to this strategy and understand the long-term value. Our vision is to scale significantly by 2027, after which we aim to begin distributing dividends.”
The total herbs are excepted: 900,000 pigs in 2025; 165,000 sows & 1.8 million commercial pigs in 2026; 250,000 sows & 3.5–4 million commercial pigs in 2027
Sustainability is inevitable, almost unaffected by US tariffs
On the topic of U.S. tariff policies under Donald Trump, Chairman Ba reassured shareholders that BAF would not be significantly affected.
“We import corn, soybean meal, and wheat from South America, the U.S., and the Black Sea. If tariffs rise, China – the largest buyer – may retaliate, causing prices to fall, which actually benefits us.”
BAF sees sustainability as a long-term necessity:
“ESG is easy to talk about but costly to execute,” CEO Giang noted. “However, Vietnam is committed to carbon neutrality. If companies want to survive and thrive, sustainability is no longer optional.”
“BAF invests in green and sustainable practices, and we believe consumers will increasingly recognize and support these efforts—even if it means paying a bit more.”
The AGM also approved the registration of privately issued convertible bonds on the HNX, originally sold to IFC (Bond code: BAFH2330001). Issued in March 2023, the 7-year, non-collateralized bonds carry a fixed interest rate of 5.25%/year, with a supplementary rate for early redemption or non-conversion.
In governance updates, shareholders approved the resignation of Supervisory Board members Ms. Hoang Thi Thu Hien and Mr. Nguyen Quoc Van, and elected Ms. Duong Thi Hong Tan and Ms. Tran Thi Thanh Tra, both nominated by major shareholder Siba Holdings.
All proposals presented at the 2025 AGM were passed.