South Korea’s Lotteria reported the highest revenues last year of VND1.56 trillion ($66.6 million) followed by American chain KFC with VND1.48 trillion ($63.2 million). But both fast food chains experienced slower growth. Lotteria’s revenues grew by just 2 percent last year compared to 17 percent in 2017, and KFC’s by 7.5 percent compared to 18.3 percent in 2017. Market research firm Euromonitor said in a recent report that international players dominate the limited-service restaurant market in Vietnam since local independent chains are mostly small family-based businesses with insufficient resources to take on the big players. But, as a whole, fast food chains are experiencing slower growth. Market observers said one of the factors could be that the eating habits of Vietnamese are changing, with health being prioritized over convenience. KFC, Lotteria, Jollibee, Pizza Hut and The Pizza Company reported combined revenues of VND5 trillion ($213.5 million), up 13 … [Read more...] about Fast food chains in the slow lane amid focus on health
Fast rising yeast pizza dough
Fast food in fight to win over locals
KFC entered the Vietnamese market in 1997, but McDonald’s late entry is showing how tough the competition is Leaving Hanoi’s McDonald’s, Tamas Nguyen did not radiate the satisfied cheer that people have after finishing a delicious meal. “I took my family to this restaurant because it is not far from where we live and my son was curious about the taste of a McDonald’s burger, but we were absolutely disappointed. It is an insult to real hamburgers,” he told VIR. “When I looked into my burger, I found a single teeny-weeny cucumber on the patty, and nothing else.” For Nguyen, Vietnam has a wonderful culture of home cooking, with families taking the time to spend their dinners together. The local taste is also remarkably different in the amount of raw or cooked vegetables used, something very different from McDonald’s and other Western fast food franchises. “If you open a banh mi at any street-side stall, the … [Read more...] about Fast food in fight to win over locals
EVN records 15 percent rise in total revenue for 2018
At the meeting of Vietnam Electricity in Hanoi on January 3 (Photo: VNA) Hanoi (VNA) – The state-owned Vietnam Electricity (EVN) obtained a number of achievements despite many difficulties in 2018, said EVN Deputy Director General Nguyen Tai Anh. At a meeting to review the group’s performance in Hanoi on January 3, Anh said the power volume produced and purchased last year reached 212.9 billion kWh, up 2.4 billion kWh from the target set and 10.36 percent from 2017. These figures have helped Vietnam’s Getting Electricity (GE) indicator jump 37 places to 27th among the 190 economies listed in the World Bank’s Doing Business 2019 report. EVN was rated BB by Fitch Ratings last year, the executive said, adding that this positive credit rating can help the firm attract investment and power projects. Additionally, the EVN was named among the sustainable Vietnamese enterprises in 2018 by the Vietnam Business Council for Sustainable Development, and one of … [Read more...] about EVN records 15 percent rise in total revenue for 2018
Fast food chains see increasing losses
VietNamNet Bridge - Many fast food chains, from fried chicken to pizza, have been incurring losses. While fried chicken is the favorite fast food for youth, pizza is favored by Vietnamese families. More fried chicken and pizza chains have opened in recent years. Many fast food chains, from fried chicken to pizza, have been incurring losses. However, the crowded pizza shops on weekend evenings do not mean big profits. Pizza chains can either make a modest profit or take a loss. After many years of existence, the owners of the chains still have to pump capital to maintain operations. US$1=VND22,000 RELATED NEWS Vietnamese street food favored over foreign fast food chains Fast food market is deflating Chi Nam … [Read more...] about Fast food chains see increasing losses
Foreign fast food giants defy losses in Vietnam
illustration photo In the red In Vietnam, Lotteria and KFC are considered the leading fast food brands. However, the financial statement of Lotteria showed that the fast food chain recorded after-tax losses were VND118 billion ($5.22 million) and VND135 billion ($6 million) in 2015 and 2016 respectively. By the end of 2016, Lotteria’s accumulated losses were more than VND413 billion ($18.27 million), while its charter capital reached only VND433 billion ($19.16 million), as reported by local media. In the meantime, Lotteria’s competitor, KFC also reported losses with a low profit margin at around 15 per cent in 2016. This was even lower in the previous year, at only 10 per cent. As a result, KFC lost VND25 billion ($1.1 million) in 2015 and made a profit of VND15 billion ($664,000) in 2016. The Fast Food in Vietnam report by Euromonitor International reveals that many international fast food brands in Vietnam have declined in 2017, including Burger King, Popeyes, Subway, … [Read more...] about Foreign fast food giants defy losses in Vietnam