Case study: NAFOODS GROUP

Supply chain financing

The information is for internal reference only, courtesy of NAF. Please do not use the information presented for any other purposes
 TABLE OF CONTENTS

OVERVIEW OF NAFOODS'S ACTIVITIES SOLUTIONS FOR CAPITAL

NAFOODS AND NEEDS OF CAPITAL ABOUT ELOAN NEEDS FROM ELOAN
Page Page Page
Page
3-4 5-15 16-19 20-23
ELoan trading platform
Overview Nafoods Group's value chain
model
Seedling products The financing process of
Nafoods Story - Key Solutions for SME capital Eloan for Nafoods
Milestones Agricultural product purchase needs
Technology management Needs of Nafoods in the
Main Products Appraisal process
process supply chain
Nafoods Group's Factory system Nafoods growth data
ecosystem
Raw Material Area
Financial data of
Distribution channel Nafoods_Benefits from
eLoan
Export market
Nafoods needs
OVERVIEW
1995 24,7 USDm 48,1 USDm
ESTABLISHED CHARTER CAPITAL TOTAL ASSETS

600+ HOSE NAF

EMPLOYEES EXCHANGE TICKER

AT THE PRESENT NEXT 5 YEARS

Nafoods Group is among the most In the upcoming 5 years, Nafoods goal is
innovative fruit and vegetable growers, of expanding raw material area consisting
processors and exporters in Vietnam, of 30% of the proprietary farm, 50%
specializing in Fruit Juice/NFC, Puree, coming from its subsidiaries and branches,
Concentrate, IQF and Fresh Fruits. The and the rest from cooperative farmers. The Source: Company
Company sources more than 13,300 company has called for help from the local
tonnes of fresh and processed fruits governments in important material areas in Subsidiaries and associates as at 30 June 2019
annually from various regions in Vietnam Vietnam, widening to Southeast Asia and
including the Central Highlands, investing heavily in R&D for seedlings to
Northwest, and North Central Coast. expand material areas.

The Company's products are distributed all In addition, the Group gives their
over the world, especially in Europe, the commitment on improving product quality
United States, Oceania, the Middle East, to meet the high standards of demanding
Japan and South Korea. markets including the EU. IFC advised
Nafoods to deploy a food safety
Nafoods Group is one of the front-runners management system for its cold chain
in Asia in the field of integrated agricultural system in line with the globally-recognized
processing. Nafoods has taken full control Food Safety System Certification 22000.
over their own value chain including: raw Subsidiaries Associates
International certifications consisting of
material areas (seedling, cultivating), Good Agricultural Practices – GLOBAL
harvesting (fresh fruits), processing & G.A.P, Rainforest Alliance, and Fair Trade  Charter capital: 60 VNDbn  Charter capital: 40 VNDbn
Que Phong
manufacturing, exporting & distribution in will help Nafoods Group farmers grow Nafoods Passion  Ownership of Nafoods: 99.8%  Ownership of Nafoods: 30%
Pharmaceutical
order to bring the highest added value to high-quality and sustainable fruits, Fruit JSC  Main business: seedlings planting and Material JSC  Main business: : Growing spices,
customers, employees, shareholders and production medicinal plants
increasing access to new export markets
the market.
 Charter capital: 170 VNDbn
 Charter capital: 40 VNDbn
Nafoods Southern  Ownership of Nafoods: 99.8% La Giang
 Ownership of Nafoods: 30%
JSC  Main business: Juice concentrate and Agriculture JSC
 Main business: Mixed agriculture
IQF products

 Charter capital: 60 VNDbn  Charter capital: 30 VNDbn

Nafoods
 Ownership of Nafoods: 100% Nafoods Northwest  Ownership of Nafoods: 35%
International Co.,
 Main business: concentrated juice JSC  Main business: growing and trading
Primary industry Head Office Website Ltd export, IQF products, seedlings fruit, manufacturing juice concentrate

Agriculture Nghe An, Vietnam https://nafoods.com  Charter capital: 60 VNDbn

Nafoods Highlands  Ownership of Nafoods: 99.8%
JSC  Main business: seedlings planting and
trading
NAFOODS STORY - THE KEY MILESTONES
Fundamental phase
A decade of orienting and seeking long-term direction

Charter Charter
capital: 1995 capital: 2014
Nafoods Group was established The seedling institute completed a closed value chain
On August 26, 1995, Thanh Vinh Co., Ltd - a former member of Nafoods
VND 40 VND 200 A high-tech nursery passion fruit seedlings invested by the Company
Group - was established, specializing in the production and distribution of
Billions Billions officially put into operation to supply seedlings served for Raw Materials
beverages. for the Company and linked regions, marking the completion of the closed
Festi brand is widely known and distributed in the market. However, since value chain.
1998, the company has encountered difficulties when the domestic
consumer goods market has been dominated by major brands including
Coca Cola and Pepsi. 2015
Listed on Vietnam's stock exchange
2000
Converting to fruit juice products VND 300 In 2015, Nafoods Group had a great opportunity to expand their business
Nghe An Food Joint Stock Company was established to produce, process Billions in domestic and export markets. Stocks (exchange code: NAF) was listed
and export agricultural products. and successfully traded on the stock exchange.

2003 2016
Launching the first fruit and vegetable processing plant Expanding seedling activities
Inauguration of fruit and vegetable processing plant in Quynh Chau When the project on expanding the seedling nursery area to 6 ha was
Commune, Quynh Luu District, Nghe An Province. The production line met completed, Nafoods Group increased its capacity to 3.5-4 million seedlings
European standards with a total capacity of 5,000 tons per year. per year.

2009
Increase of competition in export markets and development of fruit 2017
juice concentrate Exporting passion fruit to Europe
After more than 4 years of operating the factory, loyalty to the production Nafoods Group exported passion fresh fruits to Europe.
and export of key product - pineapple juice concentrate, the company was This was the second year the company was honored as one of the TOP
in a difficult situation with fierce competition in the export market. 100 Vietnamese sustainable enterprises.
In 2009, Nafoods Group drastically changed and looked for opportunities
to surpass the difficult period, to seek and develop new products: Passion 2018
fruit Launching the second fruit and vegetable processing factory
Inaugurating the "Export fruit production and processing complex" with a
VND 363 total investment of VND 410 billion, including 2 modern technological
2010
Billions systems of European technology with a capacity of 7000 tons of
Increase in revenue from passion fruit products
concentrated juice per year and 2 tons of IQF per hour.
The year marked a dramatic jump in revenue from export of the Nafoods
Group, gradually helping the company overcome difficulties, with passion 2019
fruit being the key product. Investment cooperation with IFC
At the end of June 2019, Nafoods signed a cooperation agreement with
2013 VND 568 the International Finance Corporation (IFC), a member of the World Bank
IQF product development Billions Group. Nafoods will receive $8 million quasi equity investment in the form
Nafoods Group invested in an IQF production line for diversifying products of redeemable preference shares from IFC, which can be converted into
and expanding export markets. ordinary shares, to increase the production and scale of operations.
DIVERSIFIED PRODUCTS
With the Vietnam's strength in tropical fruits and agricultural products, Nafoods Group develops their
business portfolio.

Materials Juice concentrate Juice / NFC / Puree

30%
35%

15% 20%

Passion fruit Dragon fruit

Mango Group B

* Figures are based on total revenue

Fruit input is classified into two

separate groups: Group A and
Fresh fruits Seedling

Group B. Passion fruit

Group A is the main group
consisting of Passion Fruit, Dragon
fruit and Mango, being the core
products when contributing to the
majority of the company's
revenue (~ 55%). IQF products Other products
Group B includes other  IQF Aloe Vera  IQF Jackfruit  IQF Pineapple  Cashew Kernels  Salted-Roasted Cashews
agricultural raw materials  IQF Avocado  IQF Lime  IQF Pumpkin  Dried fruits and vegetables  Soft dried dragon fruit
including fruits, nuts and  IQF Bamboo  IQF Lychee  IQF Red chili  Dried jackfruit  Soft dried mango
coconuts. Shoot  IQF Mango  IQF Red  Macadamia  Soft dried strawberry
 IQF Banana  IQF Papaya Dragon Fruit  Roasted peanut with
slice  IQF Passion  IQF coconut juice
 IQF Carrot Fruit Watermelon
 IQF Coconut Dice
 NAFOODS Group's ECOSYSTEM

Farmer Domestic market

Nafoods Highlands JSC Nafoods NorthWest JSC

Input Growing and selling finished Growing and selling finished Input
product products

Seedling Nursery Institute

(Taiwan) and Import from Ecuador

Nafoods International
Trade and export

Supplier : Export

fertilizers, other materials Main commercial activities

Controlling business activities of Subsidiaries
Cooperation and development with Associates Souvegco
Growing and exporting dragon
fruit

Nafoods Passion Fruit JSC

Propagation - Technical support

Output
Nafoods Southern JSC Nghe An Foods JSC
Farmer Nasoco Factory Naprod Factory
Processing and packing Processing and packing

Domestic market Farmer Group's Companies

Input
VALUE CHAIN OF NAFOODS GROUP

Raw Material Manufacturing Packaging and

Seedling Harvesting Distribution
Area process storage
 Cooperating with Source of Modern 16 packing Domestic and
the seedling Laos
nursery institute in Nafoods is from production factories in Tay foreign
Taiwan to Vietnam Nafoods farm, factories: Nguyen, Long 6 continents
produce 6 million and about 70% An, Binh Thuan, 69 countries
Cambodia Juice
seedlings per year
of raw material Freezing Ben Tre, Laos, 1,000+ qualified
Associate comes from
5%  Controlling 50% Drying and Cambodia, customers, with
s
of raw material farmers. 4 processing consuming over 70% of sales from
30% 70%
market in factories in Nghe 300,000 tons of direct selling
Vietnam for 6 key
An, Long An, Gia raw materialsper
fruits (passion
fruit, banana, Lai and Son La, year
Cooperativ
70% dragon fruit,
e Farmers consuming over 40%
mango, 60%
200,000 tons of Total
pineapple, Total revenue
coconut) raw materials. revenue
 Over 300 ha of Capacity :
Domestic farms Import / Wholesale
companies More than 25,000 13,000 tons of customers
10% Wholesale
/ farmers
ha of juice concentrate
cooperative per year
cultivation areas Seedling retail
8,000 tons of IQF customers
in Vietnam, Laos F&B
products per year
and Cambodia Companie
5% Export s
Online

Nafoods formed a closed product value chain from direct farming, processing and shipping to customers.
Quality management and control complys international standards.
 SEEDLING PRODUCTS

In collaboration with
Taiwan's Chung Hsing
University, the institute
Chung Hsing Nafoods Seedling 6 million seedlings
of seedling research and University Nursery Institute per year
5%
propagation was
established with the Associates Properietary Fresh passion
capacity of 6 million material areas fruit

seedlings per year. NAFOODS SEEDLING NURSERY INSTITUTE

Seedling products
Nafoods Nursery
Seedling Institute 70%
fullfills domestic and At the oresent Goals to 2022

exported to Laos and Cooperative Contracted Fresh passion

China. This is also one of Purple passion fruit Purple passion fruit Farmers material area fruit
the largest production

Collaborative procurement purchase

centers of purple
passion fruit seedlings.
Avocado 10%
Currently, Nafoods
Companies /
Group has called for
farmers
help from local Lemon
authorities for growing
1,500 ha of passion fruit
in Nghe An, 3,000 ha in Grapefruit
5%
Gia Lai and 5,000 ha in
Son La.

Export China Laos

 AGRICULTURAL PRODUCT PURCHASE

Nafoods material sources come from both properietary farms and contracted manufacturers,
with about 70% of the raw material from small-scale or ethnic minority farmers.

30% of raw Contract of cooperation includes

materials
clear commitments
Raw Material Quality Harvesting
Associates
Area management passion fruit Nafoods Group purchases all the
annually fruits that the
cooperative farmers grow:

Ensuring benefits for farmers in

terms of stable quantities and
competitive prices.

Providing high quality

70% of raw seedlingsfor farmers.
Cooperative Raw Material Quality Harvesting passion
fruit and other fruits
materials
Farmers Area management
Helping farmers have better
cultivation options.

Supporting farmers in inance

* Maximum pesticide residue level meets EU requirements and agricultural technology.
EFFECTIVE MANAGEMENT PROCESS WITH ADVANCED TECHNOLOGY

In order to minimize production costs, including transporting, reduce and handle post-harvest damage to fresh products, Nafoods Group has constructed
their processing plants located close to the raw material sources. The two processing plants in Nghe An and Long An has a convenient location from all
directions of Vietnam, Cambodia and Laos. Therefore, the raw fruit materials are processed within a short period of time after being harvested,

IQF products

Packagin
Slicing, seed
Material Freezing g and
saving
storage
Harvest and Swedish technology
Transport

Fruit puree

Censorship Preparation Milling, Pasteurizat Packaging

Filtering Deodorizing Sterilizing
gate 1.Washing grinding ion and storage
2.Sorting
3.Washing
4.Peeling/sheelin
g Juice
5.Cutting Concentrat
e
6.Color Brightening
treatment (if squeezin (water Packaging
Loading Cutting
necessary) g splitting ) and storage
German and Italian technology
The initial
process

T = +4
ºC
Dried fruit

Receivin Slicing, seed Post- Packaging

Storage Handling Drying drying
g saving and storage
treatment
Pretreatment helps keep Refrigeration is a
light fruits from becoming process used to
dark during drying and balance the
preserving the skin. moisture in foods.
Method: Sulfite Dip, ascoricic Freezing
acid, a mixture of ascoricic important because it
acid, fruit juice, steam juice reduces the risk of
mold growth
FACTORY SYSTEM OF NAFOODS

Nghe An Son La

Nghe An Naprod factory Northwest packaging factory

Including 1 juice concentrate production line and 1 Preliminary processing, packaging and preserving of
IQF production line (quick freezing) export fruits; grading, freezing and storage system

Area: 5 ha Area: 2 ha (will be expanded to 4 ha by 2020)

Location: Quynh Luu district Location: Moc Chau

Capacity: 5,000 tons of juice concentrate per year Consumption: 50,000 tons of fruit material per year
and 2,900 tons of IQF products per year

Que Phong seedling factory

Cooperating with experts of Chung Hsing National Gia Lai
University - Taiwan

Area area of greenhouse: 6 ha Highlands high-tech agriculture complex

Location: Que Phong district Area: 13 ha Location: Gia Lai
province
Capacity: 6 million seedlings per year
Including : - High-tech plant breeding research center

- Manufacturing plants for sorting, separating,

packaging and preserving exported fruits

- High-tech agriculture zone

Long An

Nasoco Long An factory

Including 1 juice concentrate production line and 2 Binh Thuan
IQF production lines

Area: 6.5 ha Fruit Packaging Complex of Nafoods Binh

Location: Duc Hoa district Thuan
Capacity: 7,000 tons of juice concentrate per year Including packaging plant and freezing storage system
and 5,000 tons of IQF products per year
Area: 2 ha
Consumption: 100,000 tons of fruit material per year
Location: Binh Thuan Industrial Park

Consumption: 60,000 tons of fruit material per year

 MATERIAL AREA IN SOUTHEAST ASIA

Main material area At the present Goal to 2022

Total material areas 30,000+ ha 70,000+ ha

SON LA The total fruit capacity 200,000 tons / year 325,000 tons / year
Moc Chau
MOC CHAU 5,000 ha of passion
fruit

Nafoods Group makes use of Southeast Asia's competitive advantage in

Que Phong
QUE PHONG 300 ha of passion fruit growing specialty fruits including passion fruit, banana, dragon fruit, coconut
and citrus fruits to develop Nafoods' material areas in:

350 ha Banana (2019) Vietnam: The Mekong Delta accounts for nearly 40% of the country's total
5,000 ha of Bananas (2020)
fruit production area; and the Northern mountainous region makes up
about 23% of the total production area. Thanks to favorable tropical

Paksong climate, Vietnam together with Thailand, Indonesia accounts for ~ 33% of
400 ha Passion Fruit (2019)
2,000 ha Passion Fruit (2020)
global tropical fruit production.
PAKSONG

Gia Lai
Gia Lai Laos: Vietnam has a long border with Laos in the southwest and some
Steung Treng 3,000 ha of passion fruit
650 ha Banana (2019) border gates are open for trade and transportation between the two
5,000 ha of Bananas (2022) STEUNG TRENG

countries.

Tay Ninh
10,000 ha Banana Binh Thuan Cambodia: Vietnam borders Cambodia in the southwest and some border
& Citrus Fruit (2022) 1,500 ha Dragon fruit (2019)
BINH THUAN
10,000 ha Dragon fruit (2022) gates are open for trade and transportation between the two countries. In
Cambodia, fruits and vegetables are the second most important crop after
Ben tre 10,000 ha Dragon fruit & Passion fruit rice, and are the main source of income for most households in the
BEN TRE
(2022)
450 ha Coconut (2019)
10,000 ha Coconut (2022) country.
DISTRIBUTION CHANNEL
End consumer
60% Exporter/Mercha
Total revenue F&B company Supermarket
nt

Food packaging
Catering
Export company

Import / Nafoods Group distributes products to

Wholesaler Wholesale
domestic and international markets
Small-scale through both direct and indirect
F&B company
retailer
channels.

Thanks to the favorable locations of the

Wholesaler Seedling store Farmer warehouses, factories which are near
local ports, more than 5,000 tons of fruits
Agricultural
of the company (~ 85% of total exports)
company
are shipped to many countries in the
world every year.
Supermarket
In particular, air transport is only applied
Seedling retailer
for orders of fresh fruit from fastidious
Domestic market Fruit buyer Catering
markets such as the US, Australia, France,
Import / South Korea, Japan and Shanghai (China)
F&B company Wholesale due to high cost.
40%
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retailer
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Online of fresh fruit and other

products
EXPORT MARKET OF NAFOODS
International presence (% of total revenue, 2018) Main export markets
 Nearly 60% of Nafoods Group's total revenue comes from foreign customers in more than 60 countries
across 6 continents, especially Europe.
 The main markets for processed products include Europe, the US and Japan
 The main markets for fresh fruits include Russia, the Middle East, China, Japan and Europe

Key international customers

Domestic market Europe Asia
FLAGFOOD JOY WING MAU GROUP GOODFARMER SHANGHAI NONGFJ FRUIT SHARBATLY FRUIT
44% 22% 14%

Specializing in the China's largest fruit A leading enterprise of Chinese big fruit import One of the largest food
wholesale of fresh distribution group with fresh food industry in company and Disney’s distributors in Saudi
vegetables more than 5,000 retail China with the largest exclusive representative Arabia and the largest
Main products: Juice stores and more than market share in the of fresh and dried fruit in banana distributor in
concentrate, puree, IQF 10,000 fruit shops across banana segment China market. the region
products China Main product: Banana Main products: Fresh Main products: fresh
Imports from Nafoods:
Main products: Fresh fruits Imports from Nafoods: fruits bananas
passion fruit juice
Imports from Nafoods: Fresh bananas Imports from Nafoods: Imports from Nafoods:
concentrate, pureed red
dragon juice / pureed Dragon fruit and banana Dragon fruit and banana Banana
radish, bananas

TIAN SHENG FRESH PRODUCE CHAUCER FOODS PITAYA PLUS COMINTRADE SUN FOOD TRADING

TSFP has worked with A world leader in Distributor of red The company specializes Food supplier for
many overseas suppliers dried and frozen dragon fruit products to in the wholesale major restaurants and
as sole distributors of foods major markets distribution of spices, dried hotels in Thailand
their products in including the US and herbs and vegetables,
Singapore and the Main products: Sweet nuts and dried fruits for Main products: Food
Australia
region. /salty dried products, food. ingredients for
frozen products, Main products: IQF red cooking
Main products: Fruits and pickled fruits dragon fruit/ puree/ Main products: Coffee
vegetables productsfor industrial use Imports from
flour
Imports from Nafoods: Cashews
Imports from Nafoods: Nafoods: red dragon Imports from Nafoods: Imports from Nafoods:
Passion fruit and banana fruit (end customer is IQF red dragon fruit/ Cashews
Starbucks) puree /flour

International standard certification

Americas Oceania Others Fruit juice quality KOSHER HALAL BRC ISO 22000:2005/ GLOBALG.A.P
11% 7% 2% control/Quality HACCP: Food safety Good Agricultural
Assurance management systems Practice
International
ELOAN’S SOLUTIONS

15
 WORKING CAPITAL BATTLES IN
SUPPLY CHAIN

Traditional Battle

Goods / Service Goods / Service

$ XX Days $ XX Days

Working Capital Battle #2 Working Capital Battle #1

Buyer Anchor Seller

zero sum game

Longer payment terms for anchor = Longer receipt for trading partner = Higher working capital costs for trading partner
 WORKING CAPITAL BATTLES
EVERYONE WINS!

eLoan.vn Break the Battle

Goods / Service Goods / service Goods / Service Goods / Service

Longer Payment Cash on day 1 Longer Payment Cash on Day 1

term term

Buyer Anchor Seller

 ELOAN BUSINESS MODEL
Eloan is responsible for providing connectivity between investors and fundraisers. Similar to the role of a shopping mall, our job is to offer an exclusive space
served as network connecting the sellers (companies that need capital) and the buyers (investors). Not only that, we also select, analyze and approve the
applications of the Borrowers in order to open up attractive investments opportunities to investors.

INVESTOR FUNDRAISER

Loan agreement

Loan repayment Giải ngân

Individual
Individual - Household

Loan repayment Disbursement SME companies

Organizaton
Bank
NAF NEEDS IN SUPPLY CHAIN

5.1
DELIVERY

7 DAYS
15 DAYS
6 - 9 MONTHS
7 DAYS 4.1
FRESH FRUIT SALES

1. VARIETY &
2. FARMING 3. PURCHASING PAYMENT
MATERIAL

4.2
3 MONTHS FACTORY

7 DAYS

60 DAYS
Working capital needs
5.2
STORAGE

6 MONTHS
6.2
DELIVERY
SOLUTIONS FOR SME CAPITAL NEEDS

Limitations of financial institutions: eLoan’s solutions:

 Complete or change product policies  Change policies and products
which take time and do not keep up according to the needs of the market
with the actual market situation and customers
 Inflexible loan  Flexible loan
 Many business areas share the  Centralize resources for only one
same resources. customer
 Loan application and appraisal takes  Simplify loan procedures, hasten
time appraisal
 Collateral decides whether a loan is  Collateral does not decide whether a
granted. loan is granted

Customer's problems when eLoan’s solutions:

borrowing capital:  Customers can disburse within 72
 Capital needs to be met promptly hours
 They do not have collaterals or their  Good business plan is the deciding
collaterals are unqualified. factor
 Loan and payment term is flexible and
 Payment term is not suitable with suitable for the capital needs.
cash flow plan and business cycle
ELOAN’s APPRAISAL PROCESS

Investor 1 Investor 2 Investor..n

Investment model

CAPITAL CONTRIBUTION
Capital accounts are managed by an
independent bank
ELOAN’s PLATFORM Customer
management

Fundraiser Payment made

Loan application Credit Rating Application evaluation Approval
according to schedule

Application evaluation
Application verification
 Cash flow
Debt collection Guarantee of recovery
 Bank statements and credit history Debt settlement time for investors
 Origin and business
 Business survey 3rd party
 Short-term financial sources debt collection
 Collaterals according to capital demand
 Credit ratings
RISK MANAGEMENT TEAM
Guaranteed method
HAVING BANKING EXPERIENCE
 Participate in cash and account management
 Advance payment authorization/Personal guarantee
 Companystocks andotherassets
 Investment insurance
THE FINANCING PROCESS OF ELOAN FOR NAFOODS

Investor

Tiếp cận Application Capital

Analysis Term sheet Listing
nhu cầu collection release

eLoan and Naf NAF presents the Analysis team eLoan provides the After NAF agrees Within 5 days
meet to discuss business model  Legal records sheet “Conditions with Term Sheet, since the approval
the requirements Provide contracts,  Business situation for fundraising” eLoan system will of Term Sheet,
and conditions for payment receipts  Evaluate business which states: automatically list NAF successfully
receiving with partners in the area  Capital needed the Term sheet raises capital
investment supply chain  Evaluate the ability  Credit rating for Investors to NAF signs
to pay the invested  Interest rate select Investment capital
capital through  eLoan fee contribution
analyzing invoices,  Thời gian dự trù contract with eLoan
payment contracts giải ngân (representing for
in the supply chain  Guaranteed Investors)
method for eLoan disburse
investors investment for
NAF and notify
stakeholders via
email
ELOAN FINANCES NAFOODS IN THE SUPPLY CHAIN
5.1
DELIVERY

7 DAYS
15 DAYS
6 - 9 MONTHS
7 DAYS 4.1
FRESH FRUIT SALES

1. VARIETY &
2. FARMING 3. PURCHASING PAYMENTS
MATERIAL

4.2
3 MONTHS FACTORY

7 DAYS

60 DAYS
Working capital Working capital
5.2
STORAGE

6 MONTHS
 July 2018 6.2
eLoan started financing Nafoods DELIVERY

 3 months
Average loan term
 POWERFUL REVENUE GROWTH

 Nafoods achieved impressive growth in 3 years and recorded Compounded Annual Net revenue growth (VND million)
Growth rate of 14.2% in the period of 2016-2018.
 Nafoods is the only company that successfully cultivates passion fruit on a 2,760,000
commercial scale in Vietnam, with a capacity of 6 million seedlings per year.
 The Long An factory was put into operation in April 2018 and equipped advanced
technology, assisting Nafoods in diversifying its product portfolio and saving costs. 2,001,000
The Long An factory is expected to increase the capacity of IQF fruit and juice
concentrate to 12,500 tons/year (+ 150% YoY) and 7,900 tons/year (+ 172% YoY).
 In addition to domestic and European markets, Nafoods manages to make the 1,278,000
footprint on various potential and giant markets such as China, the Middle East,
etc.
519,358 600,224
460,507

2016A 2017A 2018A 2019F 2020F 2021F

Revenue by products, 2018 Revenue by region, 2018

Passion fruit variety, 24%

19%
Juice concentration, 18% 7% 2% Domestic market
24%
IQF fruit, 16% 11% Europe
4%
44% Asia
Puree, 12%
7%
14%
Dried fruit, 7% Americas
18%
12%
Exported fresh fruit, 4% Oceania
16% 22%
Khác, 19% Others
FINANCIAL DATA OF NAFOODS-
BENEFITS FROM ELOAN As of Quarter 3 in 2019:
- Total assets increased by more than two times
Net revenue (VND billion) Total assets(VND billion) compared to 2016
- Revenue reached 801 billion, nearly twice
607 801 1300
460 519 871 1055 compared to 2016
621 - Equity increased by 1.5 times
- Roe decreased although revenue increased, this
stems from the continued investment of the
2016 2017 2018 3Q2019 2016 2017 2018 3Q2019 Company in expanding production capacity in
the period 2018-2019 which increased cost.
- The figures show that Nafoods is continuing to
Net profit (VND billion) Equity (VND billion) expand the market in order to establish the
65 673 right competitive price, serving the purpose of
59 480 495
40 426 dominating the market.
32
- Interest expense increased due to the large
amount of investment loan
2016 2017 2018 3Q2019 2016 2017 2018 3Q2019

Benefits earned since eLoan’s financing

• Select the right supplier
ROE
14.06% 13.64%
• Improve working capital
8.15% • Be more engaged in creating liquidity for partners (Discounted liquidity)
4.82%
• Have faster capital turnover
2016 2017 2018 3Q2019 • Prove potential and value to partners and shareholders
• Good working capital also is considered as an advantage when raising capital from
international financial corporation (IFC).