Gemadept (HOSE: GMD) | 2025 GMD AGM Note

NAVIGATING THROUGH TARIFF HEADWINDS, SEEKING M&A OPPORTUNITIES IN NEW PORT PROJECTS

2025 Base case scenario

o       Revenue: VND 4,850 bn (+0.4% YoY)

o       PBT: VND 1,800 bn (-14.2% YoY)

2025 Best case scenario

o       Revenue: VND 4,950 bn (+2.4% YoY)

o       PBT: VND 2,000 bn (-4.7% YoY)

Trump’s tariff dealing

o       GMD has proactively reduced the share of U.S.-bound cargo at Gemalink from 32% to 20% to diversify trade lanes and limit policy-related risks. The port now handles four main international routes: Canada, West Africa, Europe, and Brazil.

Port and terminal expansion plan

o       GMD focuses on intra-Asia services to strengthen its northern market position and mitigate competition from Lach Huyen deep-water port.

o       Nam Dinh Vu Port Phase 3 has reached approximately 80% completion. Leveraging improved navigability following the dredging of the Ha Nam canal and a well-established customer base, the port is expected to operate at 50% capacity in 2026 and ramp up to 85%–100% utilization by 2027.

o       Gemalink: Phase 2A has designated a feeder berth capable of accommodating vessels up to 70,000 DWT. Construction is scheduled to begin in late Q4/2025 and complete by Q1/2027.

o       LTIA Cargo Terminal No.2 bidding process: SCS is currently in negotiations with ACV as part of the bidding process for the new cargo terminal.

Other Activities

o       Awaiting key project updates: GMD is currently awaiting official guidance and detailed information on several national-scale infrastructure projects, including the Cai Mep Ha Port & Logistics Center, Nam Do Son Deep-water Port, and Lien Chieu Port.

o      Gemalink divestment plan: GMD is seeking to reduce its stake in Gemalink from 74% to 51% by bringing in a strategic shipping partner. The divestment aims to both strengthen commercial ties with new carriers and free up capital for M&A activities targeting other port assets.

o       Divestment of rubber plantation project: GMD remains in negotiation with potential partners to divest.

o       Share buy-back: Management plans to repurchase up to 21 mn shares (~5% of total outstanding shares). The buyback will be funded from equity surplus. The buyback is expected to be executed when GMD's market price falls below 1.5 times its book value (~45,000 VND/share).

AGM documents 2025: [here]

AGM resolution 2025: [here]