A SABECO production line. The company's gross profit margin rose to 38.66 per cent from 35.98 per cent in the same period last year. — Photo courtesy of SABECO

HÀ NỘI — Lower raw material costs helped improve gross margins at Saigon Beer-Alcohol-Beverage Corporation (SABECO) in the second quarter of 2026, although higher selling and administrative expenses weighed on the brewer's bottom line.

According to its second quarter financial statements released recently, SABECO (ticker: SAB) posted net revenue of VNĐ6.89 trillion (US$262 million), up 1.2 per cent year-on-year.

Cost of goods sold increased at a slower pace than revenue, lifting gross profit by 8.8 per cent to VNĐ2.66 trillion. As a result, the company's gross profit margin rose to 38.66 per cent from 35.98 per cent in the same period last year.

Financial income edged up 2.7 per cent year-on-year to VNĐ262 billion, while finance costs fell 33 per cent to VNĐ10 billion.

However, selling expenses jumped 26 per cent to VNĐ1.15 trillion, while administrative expenses increased 9.4 per cent to VNĐ256 billion.

Net profit after tax consequently slipped 0.6 per cent year-on-year to VNĐ1.24 trillion.

SABECO attributed the increase in quarterly revenue to price adjustments implemented in April and May this year.

The company also said favourable malt and rice prices - key brewing inputs - helped strengthen gross profit. However, higher selling and administrative costs offset those gains, leading to the slight decline in net profit.

For the first six months of 2026, SABECO reported net revenue of VNĐ13.35 trillion, up 5.8 per cent from a year earlier, while net profit surged 21.4 per cent to VNĐ2.49 trillion.

The stronger earnings were mainly driven by an improvement in gross profit margin, which rose to 37.98 per cent from 34.24 per cent in the first half of 2025.

The brewer has set a full-year target of VNĐ28.96 trillion in revenue, up 12 per cent from 2025, and net profit of VNĐ4.94 trillion, up 8 per cent.

After six months, it had completed 46 per cent of its annual revenue target and just over half of its profit goal.

SABECO maintained a strong balance sheet, with total assets standing at VNĐ31.72 trillion as of the end of June, down nearly VNĐ900 billion from the beginning of the year.

Cash and cash equivalents, together with bank deposits, accounted for nearly VNĐ21 trillion, representing more than half of total assets. Interest income from these deposits reached VNĐ526 billion in the first half, providing significant support to the company's earnings.

Other major assets included fixed assets worth more than VNĐ4.5 trillion, inventories of VNĐ1.9 trillion and investments in associates and joint ventures totalling VNĐ2.23 trillion.

Total liabilities increased by nearly VNĐ700 billion from the start of the year to VNĐ10.27 trillion. The largest items were dividend and profit payables of more than VNĐ3.9 trillion, followed by taxes and other obligations to the State budget of nearly VNĐ1.6 trillion.

Financial borrowings remained low at VNĐ367 billion. During the first six months, SABECO paid more than VNĐ14 billion in interest expenses, a fraction of the interest income generated from its cash deposits.

The company will finalise its shareholder list on July 29 for the payment of the remaining 2025 cash dividend at a rate of 30 per cent, or VNĐ3,000 per share. With more than 1.28 billion shares outstanding, SABECO is expected to distribute approximately VNĐ3.85 trillion, with payment scheduled for August 28.

Earlier this year, the brewer paid an interim dividend of VNĐ2,000 per share, bringing the total dividend for 2025 to VNĐ5,000 per share, unchanged from the previous year and as approved at its annual general meeting in April.

SABECO shares closed at VNĐ47,000 on July 23, little changed in recent weeks but more than 10 per cent above their mid-March low. — VNS