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Binh Minh Plastics (BMP VN) – Q2 2025 – Construction Rebound Lifts Sales
Summary of Q2 2025 results and outlook of Binh Minh Plastics JSC (BMP VN)
- Net revenue reached VND2,691bn (+24.8% y/y), driven by a 25.5% y/y increase in sales volume. Growth was supported by an early recovery in real estate construction and the front-loaded timing of promotional campaigns (held in Q1 and end-Q2 vs. Q3 in 2024). Gross profit margin (GPM) improved to 44.6% (vs. 43.2% in H1/2024), supported by a 9.1% decline in PVC costs and lower depreciation. Net margin is thus lifted to 22.9%, with net profit rising 31.1% y/y to VND617bn.
- Vietnam’s plastic pipe industry is entering a strong growth phase, fueled by rapid urbanization, accelerating infrastructure development, and regulatory reforms. In Southern Vietnam, developers plan to launch sales for over 6,000 apartment units by year-end 2025 across Ho Chi Minh City, while Binh Duong, Long An, and Dong Nai are emerging as key development hubs. The government is speeding up project implementation by simplifying legal procedures, reorganizing administrative systems, and removing permit requirements for low-rise housing. Alongside an accommodative interest rate environment that is expected to persist, and faster infrastructure expansion, individual housing construction—BMP’s core end-use customer segment—is set to surge along transit-oriented corridors near upcoming rail and metro stations.
- PVC costs remain favorable amid global oversupply, driven by China’s prolonged real estate weakness (accounting for ~50% of global PVC demand) and subdued oil prices. BMP is positioned to share cost benefits with distributors via selective promotions while still maintaining its market leadership and premium pricing.
- BMP is executing a dual growth strategy—fortifying its core residential business while expanding into infrastructure and agricultural markets. The ongoing acceleration in public investments and urbanization is driving demand for PVC and PPR products in residential construction, where BMP maintains a premium position backed by its Singapore Green Building Council (SGBC) Leader certification. At the same time, BMP is positioning its more competitively priced HDPE products to serve rural and infrastructure segments.
Interested in BMP? Click here to read more of our previous analysis on BMP’s quarterly earnings.
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