Back to Previous Page
Quang Ngai Sugar (QNS VN) – Q1 2026 – Plant-Based Beverages Drive Revenue Growth
Summary of Q1 2026 results and outlook of Quang Ngai Sugar JSC (QNS VN)
- Net revenue increased 21.8% y/y to VND 2,763bn, partly reflecting a low base effect as plant-based beverage revenue rebounded 21.5% y/y from last year’s tax-compliance disruptions in General Trade channel, while also benefiting from a more premium product mix. The sugar segment also recorded 27.2% y/y growth, with sales volume up 63.7% y/y on a low base, high inventory position and solid production volume. However, ASP declined 22.3% y/y on lower global sugar prices, although pricing started to recover from the previous quarter. Blended gross profit margin narrowed to 32.1%, mainly reflecting the commodity-driven nature of the sugar segment, while others continued to improve. SG&A expenses rose 51.2% y/y, reflecting higher investment in marketing and brand-building activities for newly launched products. However, higher net financial income largely cushioned the impact, leaving net profit unchanged at VND391bn.
- Plant-based beverages remain steady growth, driven by branded soymilk conversion and premiumization. Soymilk anchors ~90% of the market, while informal consumption still represents a meaningful base for branded products to capture as urban lifestyles, modern retail and food-safety preferences evolve. In parallel, new flavors, lower-sugar formulas and added nutrition are refreshing the category, while nut, oat and other plant-based drinks support ASP uplift and portfolio diversification. QNS is well positioned through its mass-market leadership and R&D-led premiumization, this was demonstrated by new launches consecutively winning international awards at the 2024 World Plant-Based Innovation Awards and 2025 Plant-Based Taste Awards.
- Sugar price outlook is turning more constructive on the 2026/27 season setup, while domestic demand remains solid. Global prices are near 2020 lows, while the next season is shaping up with a tighter supply backdrop as Brazil’s ethanol economics improve, India restricts sugar exports, and rising El Niño risks further put pressure on output. On demand, rising health awareness may moderate direct consumer intake, but urbanization and food-sector industrialization should continue to drive up overall sugar usage. Operationally, leading producers are enhancing cane supply resilience and by-product monetization, which should improve earnings quality over time.
- For the last 9M, we expect revenue growth to normalize at 8.7% y/y. Plant-based beverage sales should remain solid with steady volume growth and higher ASP through product mix enhancement. Sugar sales volume is expected to stay resilient, backed by the current 2025/26 crushing season output, estimated at 254k tons (+4.8% y/y), while profitability also improves as prices start to recover. For FY2026, ongoing spending on brand activities, promotion, and R&D would lift SG&A to 16.4% of sales, while a 37.0% y/y rise in financial income supports projected NPAT of VND2,097bn (+9.0% y/y).
Interested in QNS? Click here to read more of our previous analysis on QNS’s quarterly earnings.
Company ratings and target prices are accessible for clients only.
If you are interested in getting full access to our paid Primary Research Materials feel free to get in touch with us at your convenience.
Our team is actively covering 50 companies in the listed Vietnamese equity space for our clients.
Photo image credit: https://vinasoy.com/
