F&N Q1 profit down 8.9% at S$47.4 million; company ups stake in Vinamilk

[SINGAPORE] Beverage maker F&N reported a net profit of S$47.4 million for the first quarter ended Dec 31, 2025, down 8.9 per cent from S$52 million in the same period a year ago.The group’s earning per shares stood at S$0.033, down 8.3 per cent from S$0.036 in the year-ago period. Revenue went down by 4.1 per cent to S$592.9 million from S$618 million, the company said in a business update on Tuesday (Feb 10). Revenue for the food and beverage segment – which comprises beverages and dairies – declined 5 per cent. The decline comes as the beverages sector was affected by the timing of Chinese New Year and lower beer volume, despite favourable foreign exchange translation said the company. Meanwhile, the dairies unit experienced softer demand in the Indochina markets, partially offset by Malaysia School Milk Programme and favourable forex translation, it added. On the other hand, revenue from F&N’s publishing and printing segment rose 4 per cent, supported by the Singapore education market. The group’s profit before interest and taxes came in at S$98.8 million, an 8 per cent increase from S$91.9 million in the year-ago period. This was led by earnings from the beverages segment, where beer earnings “more than doubled” amid improvements in margins for its beer brand Tapper. The stronger bottom line for the beer sector cushioned weaker soft drinks performance. Earnings from the dairies segment declined 13 per cent due to lower sales, higher advertising and promotion, and unfavourable mix, partially offset by a higher share of profit from Vinamilk. For the publishing and printing segment, losses narrowed, supported by stronger education performance and a higher-margin sales mix, a leaner cost structure in print, as well as improved profitability from the growing sustainable packaging business. Separately, F&N announced that it plans to acquire up to 4.6 per cent additional shares in Vinamilk. This will bring F&N’s effective interest in Vinamilk from 20.39 per cent to 24.99 per cent. F&N will purchase about 96.1 million shares, representing around 4.6 per cent of Vinamilk’s issued shares, from Platinum Victory – a subsidiary of Jardine Cycle & Carriage. Long-term partnershipThe deal is is expected to be earnings-accretive and will be funded through a combination of internal resources and borrowings. F&N said it has currently no intention to purchase or acquire additional shares in Vinamilk in a manner that would require a public tender offer under the laws of Vietnam.“The investment reflects F&N’s long-term partnership with Vinamilk and its confidence in the company’s growth trajectory, market leadership, and operational strengths,” said the company. It added that the deal also advances its regional dairy strategy by deepening exposure to Vietnam’s dynamic dairy market and creating opportunities to leverage complementary capabilities across dairy farming, manufacturing, innovation and distribution.Shares of F&N ended Tuesday 0.7 per cent or S$0.01 higher at S$1.51, before the release of the results.