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Binh Minh Plastics (BMP VN) – Q2 2026 – Pricing Power Drives Record Profitability
Summary of H1 2026 results and outlook of Binh Minh Plastics JSC (BMP VN)
- Net revenue edged up 3.2% y/y to VND2,777bn in H1/2026, as BMP’s ~15% end-March selling-price increase outweighed a 4.0% decline in sales volume. Gross margin expanded 2.4ppts y/y to 47.0%, while sharply lower Q2 promotional spending lifted net profit 8.8% y/y to a record VND671bn and net margin to an all-time high of 24.2%.
- Looking forward, BMP should support distributors through targeted promotions while maintaining prices in Southern Vietnam, where it holds ~80% market share. This reflects its profitability-over-volume discipline and strong regional position. In Northern Vietnam, where NTP leads and project customers are more price-sensitive, BMP matched its competitor’s ~10% PVC price cut from June 20 to support sales and market presence.
- BMP is broadening its growth drivers beyond individual homebuilding while maintaining disciplined project selection. In urbanizing provinces, the company is expanding PVC/PPR sales and agricultural water-pipe portfolio. In major cities, BMP selectively penetrates housing projects through a broader range of higher-margin PVC fittings, cable-protection pipes, and tailored solution packages. HDPE expansion remains selective, with priority given to projects with stronger counterparties and faster payment terms to protect margins and working-capital efficiency. Operationally, the company also strengthens its top-of-mind position through brand reinforcement programs, held by the Binh Minh Academy launched in June.
- PVC spot prices have reversed the Middle East-driven spike and should remain broadly stable in H2/2026, improving BMP’s input-cost outlook from Q4 after the usual purchasing and inventory lag. Southeast Asian prices have fallen from around USD1,160/ton in April to approximately USD740/ton, as Chinese oversupply and weak property demand outweigh oil-price volatility. Over the medium term, China’s export-rebate removal, tighter environmental rules and weaker integrated chlor-alkali economics should gradually pressure marginal capacity, supporting a moderate upward price trend.
- For H2/2026, the higher selling-price base provides room for renewed promotional support, lifting SG&A/sales . Alongside the higher-cost PVC still flowing through COGS in Q3, net margin is expected to dip before recovering in Q4 as costs ease.
Interested in BMP? Click here to read more of our previous analysis on BMP’s quarterly earnings.
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