Jewelry major PNJ fulfills 61% of 2024 net profit goal, ramps up network expansion

Ho Chi Minh City-based Phu Nhuan Jewelry JSC (PNJ) posted VND1.28 trillion ($52 million) in net profit in the first eight months of 2024, up 2.8% year-on-year and reaching 61.3% of its whole-year target.

However, on a monthly basis, the company’s net profit has significantly declined to below VND100 billion ($4.06 million) a month over the past two months, a double-digit decrease year-on-year.

During the eight-month period, PNJ, listed on the Ho Chi Minh Stock Exchange, recorded VND26.86 trillion ($1.07 billion) in net revenue, marking a 27.2% year-on-year increase and achieving 72.3% of its year target.

Of this revenue, 53% came from retail sales which grew 15.1% year-on-year, driven by network expansion and the launch of new products. Wholesale revenue surged by 28.2%.

PNJ’s gross margin averaged 16.6% from January to August, down from 18.6% during the same period last year.

Alongside optimizing its operations through technology, PNJ has stepped up expanding its store network. As of end-August, PNJ had 414 outlets nationwide, up by five from end-July and 14 from the start of 2024.

Of these, 405 are PNJ retail stores, five are Style by PNJ outlets, three are CAO Fine Jewellery locations, and one is a wholesale center.

Company executives stated that PNJ will continue to develop different store formats to cater to a diverse customer base.

PNJ shares opened Thursday at VND100,000 ($4.07) apiece.