VIETNAM DAIRY PRODUCTS JSC

VIETNAM DAIRY PRODUCTS JSC

I N V E S T O R P R E S E N T A T I O N

J U L Y 2 0 2 1

Important Notice

Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information.Such forward-looking statements and financial information involve known and unknown risks, uncertainties and other factors whichmay cause the actual results, performance or achievements of Vietnam Dairy Products JSC (“VNM”), or industry results, to bematerially different from any future results, performance or achievements expressed or implied by such forward-looking statementsand financial information. Such forward-looking statements and financial information are based on numerous assumptionsregarding VNM’s present and future business strategies and the environment in which VNM will operate in the future. Becausethese statements and financial information reflect VNM’s current views concerning future events, these statements and financialinformation necessarily involve risks, uncertainties and assumptions. Actual future performance could differ materially from theseforward-looking statements and financial information.

VNM expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-lookingstatement or financial information contained in this Presentation to reflect any change in VNM’s expectations with regard thereto orany change in events, conditions or circumstances on which any such statement or information is based, subject to compliance withall applicable laws and regulations and/or the rules of the Ho Chi Minh City Stock Exchange and/or any other regulatory orsupervisory body or agency.

This Presentation includes market and industry data and forecast that have been obtained from internal survey, reports and studies,where appropriate, as well as market research, publicly available information and industry publications. Industry publications,surveys and forecasts generally state that the information they contain has been obtained from sources believed to be reliable, butthere can be no assurance as to the accuracy or completeness of such included information. While VNM has taken reasonable stepsto ensure that the information is extracted accurately and in its proper context, VNM has not independently verified any of the datafrom third party sources or ascertained the underlying economic assumptions relied upon therein.

All content © Vietnam Dairy Products JSC 2

Key Highlights


Favorable Macro Situation in Vietnam

Diversified Portfolio Leadership

Unique End-to-end Value Chain

Strong Financial Position

Agile Leadership

• Established as Southern Coffee Dairy

Company with 3 dairy factories.

• IPO and renamed to Vietnam Dairy

Products Joint Stock Company in 2003.

• Listed on Ho Chi Minh Stock Exchange

(HOSE) in 2006.

1976

100% State owned enterprise

2003-2006

Go Capitalized

• Largest listed F&B on HOSE ($9B market cap)

• Most valuable brand by Forbes Vietnam ($2.4B)

• No.1 dairy production facilities (15 dairy

factories)

• No.1 dairy cow network (150,000 heads

including Mocchau Milk)

• Nationwide distribution network plus 4

overseas subsidiaries

• Top 40 global dairy producers by revenue

2021+

VINAMILK Today

4

Ha Noi

North

1 Factory

1 Dairy Farm

Central

4 Factories

7 Dairy Farms

South

8 Factories

4 Dairy Farms

Headquarter

Healthcare Clinic

Cambodia

1 Factories

USA

1 Factories

Ho Chi Minh City

All content © Vietnam Dairy Products JSC

How We Get Here

Corporate Structure


VINAMILK

Production & Logistics

13 factories in the North, Central, and South

03 sales offices in Ha Noi, Da Nang, and Can Tho

02 logistics enterprises in Ha Noi & Ho Chi Minh City

Cu Chi Raw Milk Center

An Khang clinic

Domestic Subsidiaries & Associates

Vietnam Dairy Cow One Member Co., Ltd. (100%)*

Thong Nhat Thanh Hoa Dairy Cow One Member Co., Ltd. (100%)

GTNFoods JSC (75%)

Vietnam Sugar Joint Stock Company (65%)

Vibev F&B JV Co. Ltd. (51%)

APIS Joint Stock Company (20%)

Asia Coconut Processing Joint Stock Company (25%)

Overseas Subsidiaries & Associates

Driftwood Dairy Holdings Corporation (USA, 100%)

Angkor Dairy Products Co., Ltd. (Cambodia, 100%)

Miraka Limited (New Zealand, 23%)

Lao Jagro Development Xiengkhouang Co., Ltd (Laos, 85%)

* Percentage of Vinamilk’s ownership

Ownership• No foreign ownership limit (FOL) since July 2016

• Largest free float ($3B) for foreign investors

• 3 major shareholders: The State Capital Investment Corporation (SCIC), F&N Group (ThaiBev)Jardine C&C (Victory Platinum)


SCIC, 36.00%

F&N Group,

20.01%Jardine (Victory

Platinum), 10.62%

Others (free

float), 33.37%


New “Green Farm” in Quang NgaiThis dairy farm of over 100 hectares has the capacity of 4,000 heads, with the initial investment capital of up to VND 700 billion. It is a part of the eco-friendly farms network “Green Farm” that Vinamilk has been investing in and developing since the beginning of 2021.All content © Vietnam Dairy Products JSC

Investment highlights


Domestic Champion with

Diversified Portfolio

End-to-End Value Chain

Proven Record of Financial Results

Solid Leadership

Favorable Macro Situation

Favorable Macro Trend in Vietnam


86%

75%72%

67% 66%

46%

Philippines Vietnam Malaysia Indonesia Thailand Singapore

• The second highest Final consumption

expenditure per GDP in Southeast Asian in 2019.

Source: World Bank

• Vietnam is forecasted to be one of the fastest

growing economies in the world.

7.0

2.9

6.7 7.0

2019 2020 2021F 2022F

Indonesia Malaysia Philippines

Singapore Thailand Viet Nam

Source: Asia Development Bank

Vietnam dairy consumption per capita (CPC) in 2019 was 21.8kg – a 18% lower than regional average – implying sizable room for future growth.


Source: Euromonitor data

25.721.8

33.5

9.0

42.9

22.326.7

Malaysia Vietnam Thailand Indonesia South Korea China

Kg

per

cap

ital

CPC of each comparable Avg. CPC of comparables

Strong Dairy Demand In Vietnam


Investment highlights





Solid Leadership



Liquid Milk Yoghurt Condensed Milk Formula Milk

Baby Cereal Plant-based CheeseFruit Juice & Milk Smoothie Ice Cream Power Drink

Since 1976Well-perceived and

Trusted Brands

250 SKUs

All Segments From Pre-natal To The Elderly

Consistently Deliver High Quality And Value

U N R I VAL L E D L E AD E R I N T H E D AI RY C AT E G O RY I N V I E T N AM

Leverage the 44-Year Brand Heritage

Balance Heritage with Innovation


Refresh the portfolio annually with 10-15 new products

Pioneer The National School Milk Program


• Rollout year: 2016 under Degree 1340/QĐ-TTg by Vietnam’s Deputy Prime Minister• Purpose: Improve the nutritional intakes and physique of Vietnamese children; Increase dairy

penetration among young generations• Reference stories: Korea (1953), Japan (1959), Thailand (1985)• Full scale: 300 million milk bottles (180ml) per month• Achievement: >30 cities and provinces already signed contracts with Vinamilk via competitive

bidding





Solid Leadership


Investment Highlights


Domestic operation

International Operation

~200Distributors

240.000Points of Sales

Conventional channels

465“Giac Mo Sua Viet” Stores

2.400Points of Sales – Convenience Stores

5.400Points of Sales – Supermarkets

08E-Commerce Partners

Vinamilk E-shop giacmosuaviet.com

Online Shopping app – “Giac Mo Sua Viet”

Export to 5 Continents

55Countries and Territories

TRADING 03Sales

Branches

02Logistics

Enterprises

DISTRIBUTION

13Factories

01Moc Chau

Factory

01DriftWood Factory -

USA

01AnkorMilk -

Cambodia

MANUFACTURING AND

PROCESSIG

BEVERAGES AND

DAIRY PRODUCTS

01Polyclinic

01Nutrition

Center

13Farms

01Raw Milk Centre – Cu Chi

83Raw Milk Collection Stations

01Raw Material Production and

Supply Factory (Sugar)

01Vinamilk Lao-

Jagro Dairy

Farm Complex

FARMING AND MILK PROCESSING

HEALTH CARE,

NUTRITION

VINAMILK’s End-to-End Value Chain

From The Long-Term Relationship With Suppliers


14Vinamilk’sown farms

6K+Contracted farmers

34K+Cows

110K+cows

LOCAL RAW MILK

IMPORTED MILK POWDER

Whole Milk Powder

Skim Milk Powder

Anhydrous Milk Fat

FRESH-MILK PRODUCTS

RECONSTITUTED & POWDER PRODUCTS

Xiengkhouang Dairy Farm (Laos)


In May-19, Vinamilk inaugurated anew organic dairy farm complex inLaos:

• 5,000 hectare land bank offeringsignificant potential for futureexpansion

• Highland area, suitable soil &weather for organic farm

• Approved projects for Phase 1: 24,000cows

• Estimated time of milking: 1H2022

COW WELFAREDigitalize disease history and cow

milk yield dataImproving the method of breeding

cows to not affect cows’ psychology

WASTEBiogas system applied at all

Vinamilk’s farms to reuse and reduce waste and greenhouse gas emissions,

while using organic fertilizers as renewable energy for water heating

system

WATEREnvironmental management system according to ISO 140015.15% of water used in production was circulated and reused

SOIL & BIODIVERSITYCrop Rotation Use of organic fertilizers for soil in replacement of chemicals and inorganic fertilizers, minimizing waste to the environment

FARMERSPolicy on reasonable purchase priceAdvice on improvement of farming techniquesImprovement of cohesion and service quality

Continued Progress Towards ESG


Strengthen The Chain through M&A


MCM’s Positive Sales Growth

MCM’s Improved NPAT MCM’s Corporate Governance and Business

Operation

• Listed on UpCom in 12/2020.

• Integrated ERP in operation business.

• The size of Moc Chau Milk’s herdreached an average growth rate of14% per year and the averageyield was 25 liters/head/day.

VND 2,562 bn

VND 2,823bn

2019 2020

VND 167 bn

VND 281 bn

2019 2020

68% 59.3%

8.9%

VILICO-SOJITZ Beef Project


51% 49%

USD 2 mn

JOINT VENTURE

Available Resources in Vietnam:

• Long track record in Vietnam market.

• A massive industrial infrastructure with270-ha area.

• The compound feed production andsales business overseas.

• A food value chain: MINISTOPConvenience Stores, Japan Best Food.

• Modern cold chain logistics services.

MCM’S New Resort Farm Project


USD 2 mn

270 hectare

4,000 cow heads

To The State-of-The-Art Technologies


• Raw milk delivered by chill tankers at 2-6ºC

• Production lines using German, Italian, and Swiss technologies

• Spray drying technology by Niro that retains high content of nutrients and mineral

• Packaging technologies by Tetrapak, Bencopack, and SIG Combibloc

• Inventory and spoilage lossare controlled by Oracle ERP

• Automated shipment from smart warehouse by LGV robots

• Sales & accounting system are fully integrated

• Automation (feeding, scratching, cooling, milking etc.) using Israeli technologies

• Implanted sensors on each cow to monitor yield and animal wealthfare

All content © Vietnam Dairy Products JSC 24Completely Automated Factory in Binh Duong Province.

Our Largest Factory (Binh Duong, Vietnam)


100% AUTOMATED PRODUCTIONCapacity: 800 million liter p.a

One of the Largest TETRA PAK

Factories Globally

Production of UHT Milk, Soya

Milk and Beverages


Vinamilk Cow “Resort” Tay NinhThe first facility to be fully governed by 4.0automated technology, augurated from 2019. Thecomplex expanding over 685 hectares houses nearly8,000 cows, with initial investment reaching VND1,200 billion.All content © Vietnam Dairy Products JSC

Improved Milking Production over years


51,790

73,334

102,384124,255

148,831

194,874 185,979 187,800 193,690 187,410

2016 2017 2018 2019 2020

Amount of milk purchased from local dairy farmers (tons)

Total amount of raw milk production (tons)

12.25 12.48 13.17 13.63 13.43

24.425.61 26.22

27.23 27.45

2016 2017 2018 2019 2020

Average milk yield of dairy farmers (kg/head/day)

Vinamilk's Average milk yield (kg/head/day)

Be the Leading Distributor in Vietnam and Expanding Across the Boundaries


VINAMILK

200+ Exclusive Distributors

240K+ Retailers

Supermarkets & CVS

Key Accounts (Horeca,

schools, etc.)

500+ VNM Stores

50+ Export Markets

CONSUMERS/END-USERS

• Extensive coverage on the back of nationwide POS network

• Dominant across traditional and modern channels

Note: Data updated as at Dec-2019







Solid Leadership


Experienced Leadership Team with Deep Industry Expertise


Mdm. Mai Kieu LienCEO & Board Member• Bachelor/Engineer in Meat and Milk Processing• Certificate of Leningrad Economic Management• Certificate of Government Management

Mr. Mai Hoai AnhExecutive Director – International and Domestic Sales• BA in Economics• MBA

24

Mr. Nguyen Quoc KhanhExecutive Director – R&D• BA in Chemical Technique and

Foods• BA in Business Administration• BA in English32

Mr. Tran Minh VanExecutive Director - Production• BA in Engineering• BA in Business Administration• BA in commercial laws• MBA39

44

Mr. Trinh Quoc DungExecutive Director - Dairy Development• Engineer of Energy and

Automation

Ms. Nguyen Thi ThanhHoaExecutive Director – Supply Chain• BA in Milk Processing

Technology37

15

Ms. Bui Thi HuongExecutive Director - Human Resources Administration & PR• BA in Russian language• BA in Economics

15

Mr. Le Thanh LiemBoard Member, CFO anh Chief Accountant• BA in Economics, major in

Enterprise Financial Accounting• MBA of International Commerce

and Finance

26

Mr. Nguyen Quang TriExecutive Director – Marketing• Dr, DBA• MBA

1

Years of Experience with Vinamilk







Solid Leadership


22.1

27.1

31.6

35.2

40.2

47.0

51.152.6

56.4

59.7

4.25.8 6.5 6.1

7.89.4 10.3 10.2 10.6 11.2

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

VN

D t

rilli

on

Double digit CAGR in the last 10 years

Total revenue Profit after tax

Robust Growth & Strong Balance Sheet


24% 24%31% 30%

33% 31%

27.5 29.4

34.7 37.4

44.7 48.4

2015 2016 2017 2018 2019 2020

VN

D t

rilli

on

on top of a healthy Balance Sheet

Total debt/Total assets Total assets

2020 Consolidated Financial Highlights


Net sales(VND bn)

Gross profit margin(%)

59,636 46.4%5.9% YoY 79 basic points YoY

Net profit after tax(VND bn)

Earnings per share (VND)

11,236 4,7706.5% YoY 4.5% YoY

10,690

59,600

11,236

59,723

NPAT

Total revenue

Completed 100% sales guidance and 105% NPAT guidance

Accumulated figures Annual guidance


IR contactTrung Dong (Mr.)Investor Relations ManagerE [email protected] +84 028 54 155 555 / Ext 108247

THANK YOU

Documents

VIETNAM DAIRY PRODUCTS JSC