The Lộc Trời Group annual general meeting held online on May 23. — Photo courtesy of the company

HCM CITY — Lộc Trời Group Joint Stock Company (UPCoM: LTG) targets revenues and pre-tax profits of VNĐ14.155 trillion (US$614.39 million) and VNĐ507 billion ($22 million) this year, 88.5 per cent and 12 per cent up from last year.

Despite the challenges brought by the COVID-19 pandemic, its profits increased by 10 per cent last year to VNĐ368 billion ($15.95 million).

It is embracing digital transformation in all its business activities and adopting international financial reporting standards with strict requirements to ensure transparency.

Last year Lộc Trời achieved a perfect 100 in the Sustainable Rice Platform (SRP) standard.

It owns a large drone fleet that helps farmers reduce human effort, pesticides and water for irrigation, increases crop efficiency and the safety of agricultural products and enables environmental protection.

Nguyễn Thanh Bình, chairman of the An Giang Province People's Committee, hailed the company’s initiatives to ensure sustainable development, saying that by ensuring rice cultivation following SRP 100 for two years on nearly 100 hectares, Lộc Trời has enabled An Giang to become one of the places anywhere in the world dedicated to sustainable rice production.

Lộc Trời held its annual general meeting online on May 23 where shareholders approved its accounts for 2020, targets for this year, profit distribution plans, and other important proposals, including establishment of two risk reserve funds of VNĐ360 billion ($15.58 million) each for farmers and its employees to be drawn from its profits.

Lộc Trời will become the first agricultural company in the world to set up its own fund to support farmers during the process of implementing a comprehensive agricultural production chain. 

The other fund will ensure all its employees have a steady income even in the worst situation.

The meeting also approved a dividend of 15 per cent in cash for 2020, increasing 5 percentage points a year for the next two to reach 30 per cent in 2023.

Shareholders approved the allocation of shares under an employee stock ownership plan at a par value of VNĐ10,000 to employees who have made outstanding contributions. — VNS