Bach Hoa Xanh Tops VND 6,200B Monthly Revenue for First Time

Overview

Bach Hoa Xanh, the grocery and fresh-food chain owned by The Gioi Di Dong (MWG, HOSE), reported record monthly revenue of approximately VND 6,200 billion in August, the first time the chain has exceeded VND 6,000 billion in a single month. Revenue rose 55% year-on-year and 11% month-on-month, while eight-month revenue reached about VND 40,100 billion, up nearly 32%. The result matters for MWG because Bach Hoa Xanh is now the group’s primary growth engine as its legacy ICT/CE retail business matures.

Key Facts

• August revenue: approximately VND 6,200 billion, up 55% year-on-year and 11% versus July.
• Eight-month 2026 revenue: about VND 40,100 billion, up nearly 32% year-on-year.
• Average daily revenue in August: VND 200 billion.
• 234 new stores opened in August, roughly 7.5 per day, nearly double the pace of early 2026.
• 1,053 stores added in the first eight months, exceeding the full-year target of 1,000 ahead of schedule.
• Total store count at end-August: 3,612.
• First-half 2026 profit: about VND 910 billion, already above full-year 2025 profit; cumulative losses narrowed to roughly VND 7,000 billion.
• Management’s 2026 profit target for the chain: VND 1,800 billion.

What Happened

According to MWG’s latest business results report, Bach Hoa Xanh’s growth continued to be driven by two main categories: fresh food and fast-moving consumer goods (FMCG). August marked the highest monthly revenue since the chain began operating, with the average daily run-rate reaching VND 200 billion. The rapid store expansion contributed to the revenue trajectory, and MWG stated that newly opened stores are already generating positive operating profit at the store level after accounting for warehousing and logistics costs.

The chain was launched by MWG in late 2015 and was positioned as a new growth driver as the ICT/CE segment saturated. Following a heavy restructuring in 2022-2023, management said it had found a “winning formula” for Bach Hoa Xanh; the chain turned profitable in the second quarter of 2024 and resumed network expansion. Vu Dang Linh, General Director of MWG, said the first-half results make it likely the chain will complete its VND 1,800 billion profit target for 2026 ahead of schedule, adding that the company remains confident it can fully offset accumulated losses within two to three years to proceed with an IPO and listing of Bach Hoa Xanh.

Market Context

MWG closed at VND 69,800 on 14 September 2026 on HOSE. The retail sector has been a focal point for Vietnamese equity investors as consumption recovers and modern trade takes share from traditional wet markets. SSI Research expects the grocery segment to keep improving on policy support, including tighter tax enforcement on household businesses, the closure of non-compliant informal markets in Ha Noi and Ho Chi Minh City, and stricter food traceability requirements. The article does not disclose MWG’s consolidated profit for the period, nor the specific contribution of Bach Hoa Xanh to group-level earnings.

Strategic Significance

Bach Hoa Xanh’s path to a standalone listing is the core long-term thesis for MWG. The chain’s cumulative losses of roughly VND 7,000 billion must be cleared before an IPO, and the current profit run-rate suggests that milestone is moving closer. Store-level profitability in newly opened locations, after logistics costs, is the key evidence that expansion is not diluting margins. If the VND 1,800 billion 2026 target is met early, MWG could accelerate store openings and strengthen its negotiating position with suppliers, while the policy backdrop of tighter enforcement on informal retail effectively hands modern grocery chains a structural share gain.

What to Watch

• MWG’s Q3 2026 consolidated earnings release, including segment-level profit for Bach Hoa Xanh.
• Monthly store-opening disclosures and whether the August pace of roughly 7.5 stores per day is sustained.
• Progress on clearing the remaining VND 7,000 billion accumulated loss and any formal IPO or listing timetable.
• Updates on tax enforcement against household businesses and informal market closures in Ha Noi and Ho Chi Minh City.
• Same-store sales growth versus new-store contribution in the next monthly report.