Masan High-Tech Materials bets on tungsten rally to deliver up to $95 mln profit in 2026

Masan High-Tech Materials (UPCoM: MSR), a leading industrial mineral producer in Vietnam, is positioning for a sharp earnings rebound in 2026 as surging tungsten prices, driven by AI demand and tightening global supply, reshape the outlook for one of the world’s largest tungsten producers outside China.

At its AGM on Thursday, MSR outlined two business scenarios, with the base case targeting revenue of VND16 trillion ($607.73 million) and net profit of VND1.7 trillion ($64.57 million). The optimistic scenario sees revenue climbing to VND20.3 trillion ($771.06 million) and profit reaching VND2.5 trillion ($94.96 million).

The plans mark a dramatic turnaround from 2025, when the company posted just VND11 billion ($4.18 million) in net profit after two consecutive years of losses exceeding VND1 trillion ($37.98 million).

The improved outlook comes as tungsten prices rally sharply. According to market data cited by the company, prices of ammonium paratungstate (APT), a key intermediate product, rose from about $340 per metric ton unit (mtu) at the end of 2024 to around $900/mtu as of late 2025, before surging past $3,100/mtu in the first quarter of 2026.

The spike has been fueled by supply constraints, declining ore grades in China, and intensifying geopolitical tensions, alongside booming demand from semiconductor and artificial intelligence supply chains.

Speaking at the AGM, MSR chairman Danny Le said that tungsten and related materials are becoming “indispensable” to global AI and semiconductor industries, particularly in applications like WF6 gas used in chip manufacturing.

He described the company’s flagship Nui Phao mine, located in the northern province of Thai Nguyen, as a strategic asset in the emerging technology cycle. He stressed that Masan controls about 21% of the tungsten supply chain outside China.

Looking ahead, MSR plans to significantly expand tungsten output capacity from around 2,000 tons per year to between 5,000 and 6,000 tons over the next three years, aiming to capture a larger share of the tightening global market.

The company is also taking steps to restructure its capital market presence. It plans to deregister shares from the unlisted public companies market (UPCoM) exchange and seek a listing on the Ho Chi Minh Stock Exchange (HOSE).

It has proposed an employee stock ownership plan (ESOP) of up to 1% of outstanding shares at a price of VND15,000 ($0.57) each. No dividend is planned for 2026 as the firm prioritizes reinvestment.

Despite the bullish outlook, Masan’s strategy remains closely tied to commodity price trajectories. Le said that if APT prices stabilize at around $1,000/mtu, the company could repay all debt by 2028. At $2,000/mtu, that timeline could accelerate to 2027, paving the way for sustained profitability and dividend payouts.

Preliminary results for the first quarter suggest the upswing is already translating into earnings. The company estimated revenue of about VND2.99 trillion ($113.68 million) and net profit of VND537 billion ($20.4 million), far exceeding the full-year profit recorded in 2025.

MSR is a subsidiary of Masan Vision, an arm of Vietnam’s conglomerate Masan Group (HoSE: MSN). Recently, Masan Vision announced a plan to sell up to 5% of MSR’s outstanding shares – equivalent to nearly 56 million shares – over a period of up to 12 months.

On the HoSE, MSR shares closed at VND47,200 ($1.79) each on Thursday.