The Coffee House owner reports loss of $12 mln
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Seedcom Joint Stock Company, owner of The Coffee House and delivery company AhaMove, reported a loss of VND287 billion (US$11.96 million) for the first half, a 11% rise year-on-year.
Seedcom CEO Nguyen Hoanh Tien said that the losses stemmed from two reasons, the first being the intensified investment and expansion into the B2B segment with omni-channel sales management solution Haravan, specialized F&B sales solution iPOS and a new unit to distribute consumer goods, CPG.
Depreciation in the retail segment, the result of store development in recent years, was the other reason, he said.
“By the second half of this year the financial results will certainly be better when business results are more positive.”
The company’s chairman, Dinh Anh Huan, said Seedcom seeks to grow by 500% in 2022-25 and begin generating profits next year.
Established in 2014, Seedcom also owns Giao Hang Nhanh (delivery), Juno, Hnoss (fashion), and Kingfoodmart (supermarket).
Questions & Answers
Q.What are the primary reasons Seedcom attributes to its reported financial loss?
What are the primary reasons Seedcom attributes to its reported financial loss?
The company states losses are due to intensified investment and expansion into the B2B segment with solutions like Haravan, iPOS, and a new CPG unit. Also, depreciation from recent retail store development contributed to the loss.
Q.What is Seedcom's financial outlook for the latter half of the current year and the upcoming year?
What is Seedcom's financial outlook for the latter half of the current year and the upcoming year?
The CEO expects financial results to improve in the second half of this year as business results become more positive. The chairman aims for the company to start generating profits next year.
Q.Beyond The Coffee House and AhaMove, which other brands does Seedcom own?
Beyond The Coffee House and AhaMove, which other brands does Seedcom own?
Seedcom's portfolio also includes the delivery service Giao Hang Nhanh, fashion brands Juno and Hnoss, and the supermarket chain Kingfoodmart, established since the company's founding in 2014.
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