PNJ_BUY_TP 127,400_Like a day without storms_BSC Company Update

Valuation

• The low base level of 2021 with the expectation of expanding market share and scale in the period 2022-2023 thanks to (1) The jewelry retail industry is expected to recover in the shape of a "K" (2) The trend of revenge shopping In the short term, and people's incomes recover, the middle class structure increases in the long term.
• Growth potential comes from within the business, including (1) Strategy to expand market share by increasing the number of stores in tier 2 and 3 city areas; (2) Product restructuring and cost optimization (3) Exploiting potential young customer segments through modern and strategic sales channels marketing. 

• The epidemic continues to affect jewelry purchasing power.
• Disposable income recovered lower than expected.

• Revenue and PAT in 2021 will reach VND 19,613 billion (+12%YoY) and VND 1,034 billion (-3.3% YoY), respectively. PAT declined due to the impact of the pandemic and gross profit margin decreased by 1.4ppt as the contribution of gold bars increased from 22% (2020) to 26% (2021).
• Net revenue and PAT in January 2022 reached VND 3,476 billion (+60.2%YoY) and VND 270 billion (+60.7%YoY) respectively thanks to pent-up demand from 2021, shopping during Tet and the effectiveness of campaigns marketing and promotions from the end of 2021.