The Coffee House operator sees revenues surge of 50%
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Seedcom, the operator of The Coffee House beverage chain and June fashion outlets, gained revenues of over VND1.5 trillion ($60.5 million) in the first 9 months, a 50% year-on-year surge, despite losses.
The company posted losses in the period, Seedcom CEO Nguyen Hoanh Tien said, not revealing the exact amount of loss.
It is expected to profit next year. “With big investments, firms under Seedcom are expected to see much improved financial results in the last months of this year,” he said.
Seedcom, established in 2014, also owns delivery companies AhaMove, Giao Hang Nhanh, and retail chain Kingfoodmart.
Of Seedcom’s total revenues in the first nine months, over 37% came from The Coffee House, more than 25% from the fashion group, and some 20% from Kingfoodmart.
Last year, Seedcom branched into finance by partnering with Thai bank Kvision to provide payment and loan services to small and medium companies, focusing on cashless finance.
It also sold the farming unit Cau Dat Farm, which grows and processes coffee, to Nova Consumer under NovaGroup to focus more on retail.
Questions & Answers
Q.Which of Seedcom's businesses generated the most revenue during the first nine months of the year?
Which of Seedcom's businesses generated the most revenue during the first nine months of the year?
The Coffee House beverage chain contributed over 37% of Seedcom's total revenues in that period. The fashion group accounted for more than 25%, while Kingfoodmart made up about 20%.
Q.What strategic changes did Seedcom make last year to its business focus?
What strategic changes did Seedcom make last year to its business focus?
Seedcom sold its farming unit, Cau Dat Farm, to Nova Consumer. This move was intended to allow the company to concentrate more on its retail operations across its other brands.
Q.Did Seedcom generate a profit alongside its significant revenue growth in the first nine months?
Did Seedcom generate a profit alongside its significant revenue growth in the first nine months?
No, despite a 50% year-on-year revenue surge, Seedcom reported losses during the first nine months. The CEO expects the company to return to profitability next year.
Q.Beyond retail, what new sector has Seedcom ventured into recently?
Beyond retail, what new sector has Seedcom ventured into recently?
Seedcom branched into finance last year by collaborating with Thai bank Kvision. They aim to provide payment and loan services, with a particular focus on cashless finance for small and medium companies.
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