Agricultural services and food conglomerate Loc Troi Group Joint Stock Company targets profits of at least VND400 billion (US$17.5 million) in 2022 and 2023.

They were approved at its annual general meeting held in An Giang Province last week.

Shareholders also approved several other proposals, including allocating all after-tax profits that exceed the targets to the company’s risk reserve funds for employees and affiliated farmers, and paying 20 per cent dividends for 2021 and 25 per cent and 30 per cent for 2022 and 2023.

A plan for a private placement at par worth VND100 billion to strategic investors to raising charter capital to more than VND905 billion was also approved.

Despite the difficulties caused by the COVID-19 pandemic, Loc Troi managed to achieve its business targets last year, including record revenues of VND10.22 trillion ($448.6 million), a 36 per cent rise.

Consolidated profit after tax was VND418 billion ($18.35 million), 14 per cent up.

In the first quarter of this year its net revenues and profit after tax were VND2.35 trillion and VND184 billion, the same as a year ago.

Nguyen Duy Thuan, its general director, said in 2022, besides continuing to improve the agricultural eco-system, maintain and promote the company's position in the fields of agricultural materials and services, rice production, processing, distribution and export, it would also experiment with new businesses such as providing farming services, vegetables and fruits distribution and export, and gradually penetrating into the animal feed, organic and microbial product market.

“We will co-ordinate with partners to develop an insurance product to safeguard the incomes of farmers associated with Loc Troi. If successful, this will be the first agricultural insurance in Viet Nam." — VNS