AsemconnectVietnam - With 20,000 hectares of coffee plantations creating a very large raw material scale and many valuable by-products, the total revenue of Hoang Anh Gia Lai Joint Stock Company (HAGL, ticker HAG - HOSE) is projected to be USD713.13 million per year.

This information was shared by Mr. Nguyen Thanh Tai, a post-harvest processing and specialty coffee expert, at the Hoang Anh Gia Lai (HAGL) seminar on sustainable development strategy for 20,000 hectares of coffee by 2028.
Mr. Tai is a Post-Harvest Processing Training Instructor at the World Coffee Quality Institute (CQI), a member of the Executive Board of the Vietnam Coffee & Cocoa Association (VICOFA), founder of FiRo Academy International School for specialty coffee training, and an expert at the Specialty Coffee Association (SCA).
"If we cultivate 20,000 hectares, HAGL could own the world's largest directly managed coffee growing area," Mr. Tai said.
According to Mr. Tai, with 20,000 hectares of coffee plantations creating a very large raw material and many valuable by-products, the projected total revenue is $713.13 million per year. Green coffee beans will be the main revenue pillar in the initial phase, generating early and large-scale cash flow. Roasted and ground coffee will be the second layer of value, helping HAGL retain value in the processing stage, and the group of refined instant products, especially instant cascara, aims to delve deeper and leverage new revenue streams with high profit margins.
Mr. Nguyen Xuan Thang, General Director of HAGL, stated that the company chose coffee as its strategic crop, with a development area of up to 20,000 hectares. This is because coffee trees yield harvests for 15-20 years, providing a long-term income source for the group. It is a highly liquid global commodity with its own trading platform, making it easy to export to major markets such as the EU, the US, Japan, and China. Furthermore, China is one of the fastest-growing coffee markets in the world, ranking 7th globally in coffee consumption.
According to HAGL's calculations, the cost of coffee production, including depreciation, is 237,900,000 VND/ha, equivalent to 7,405 VND/kg of fresh fruit after processing and transportation. The current export price is 46,206 VND/kg, while the selling price on the international market is 150,000 VND/kg.
Currently, HAGL has planted 3,000 hectares, plans to plant 7,000 hectares in 2026, and another 10,000 hectares in the following two years, aiming to complete 20,000 hectares of coffee plantations meeting international standards by 2028.
Mr. Thang stated that the investment capital for coffee comes from retained earnings, IPOs of subsidiaries, and bond issuance. According to financial reports, by the end of Q1/2026, HAGL's debt-to-equity ratio was 48% and the debt-to-asset ratio was 25%. Mr. Thang added that with the accumulated annual profits from fruit trees, even with increased borrowing, HAGL's debt-to-equity ratio is expected to reach 43% by 2028.
According to experts from the Tay Nguyen Institute of Agricultural and Forestry Science and Technology, HAGL's planting areas are considered suitable for coffee cultivation. In particular, the growing region in Laos will produce high-quality Arabica coffee. At the same time, experts are providing comprehensive advice to HAGL, from supplying purebred seeds to planting and care, irrigation technology, and soil protection.
N.Nga
Source: VITIC/Tinnhanhchungkhoan