Dabaco (DBC) Q1 2026 Net Profit Hits 374B VND, Completes 1/3 of Full-Year Target

Overview

Dabaco Group (DBC) reported consolidated Q1 2026 net profit of 374 billion VND, achieving one-third of its full-year target of 1,117 billion VND. Revenue grew 14.8% year-on-year to 4,307 billion VND, supported by higher feed sales volume and the commissioning of the second phase of its vegetable oil plant. However, lower hog prices and rising raw material costs weighed on margins in the feed and hog segments.

Key Facts

• Q1 2026 net profit: 374 billion VND, completing 33.5% of the full-year target of 1,117 billion VND.
• Q1 2026 revenue: 4,307 billion VND, up 14.8% year-on-year.
• Full-year 2026 revenue target: 29,311 billion VND (including internal sales).
• Total assets as of March 31, 2026: nearly 15,700 billion VND, down ~2% from year-end 2025.
• Cash and equivalents: ~2,300 billion VND, representing ~15% of total assets.
• Capital work in progress fell by more than half to 852 billion VND after the oil plant phase 2 was completed.
• Dabaco is investing in high-tech livestock projects in Dong Trieu (Quang Ninh), Kim Son (Lao Cai), and a R&D vaccine center in Lac Ve (8 ha).

What Happened

Dabaco Group (DBC) released its Q1 2026 consolidated financial statements, reporting net profit of 374 billion VND, a significant portion of its full-year plan. Revenue increased 14.8% year-on-year to 4,307 billion VND. The company attributed the revenue growth to higher feed sales volume, though a shift in product mix and rising raw material and foreign exchange costs reduced feed segment profitability.

In the livestock segment, lower hog prices compared to the same period last year reduced profits from pig farming, while chicken farming revenue and profit increased. The completion and commissioning of the vegetable oil plant phase 2 contributed additional revenue and profit. Dabaco noted that the new plant helps mitigate raw material price volatility and optimize input supply for its feed and livestock chain.

Market Context

DBC shares closed at 23,000 VND on April 10, 2026, up 0.87% with volume of 2.14 million shares on HOSE. The stock has been under pressure from weak hog prices and rising input costs, but the strong Q1 earnings beat may improve sentiment. The agriculture sector faces headwinds from global grain price volatility, but Dabaco’s integrated model and new oil plant provide some buffer.

Strategic Significance

Dabaco’s Q1 performance demonstrates the resilience of its 3F+ (Feed-Farm-Food-Future) strategy, with the new oil plant phase 2 reducing input cost risk and improving chain margins. The company’s expansion into high-tech livestock, logistics, and real estate (e.g., Lac Ve industrial cluster, Tan Chi dry port, Dabaco Ly Thai To commercial building) diversifies revenue streams. The strong start to 2026 suggests the full-year target is achievable, but execution on new projects and hog price recovery will be key.

What to Watch

• Q2 2026 earnings release for trend confirmation, especially hog price recovery and feed margin improvement.
• Progress of high-tech livestock projects in Dong Trieu and Kim Son, and the R&D vaccine center.
• Global grain prices and foreign exchange rates affecting feed costs.
• Updates on real estate and logistics projects: Lac Ve industrial cluster, Tan Chi dry port, and Dabaco Van An urban area.
• Any changes to the full-year guidance or dividend policy.