The domestic giant confectionery producer, Kinh Do Corporation (KDC), reports that its pre-tax profits increased 5.5 per cent in the first quarter of the year.

Net sales fell slightly by 1.7 per cent year-on-year, and the gross profit margin for the first quarter fell from 37.9 per cent in 2013 to 35.8 per cent in 2014.

Explaining the slight fall, the company said that the Tet (Lunar New Year) holiday came earlier this year. and thus, some sales were recorded in the last quarter of 2013.

Gross profit margin fell due to increasing minimum wages and packaging material costs, a company press release said.

KDC said it would continue to improve operational efficiency and management, and would pursue a merger and acquisition strategy to broaden its product base.

For 2014, it targets sales of VND5.1 trillion ($243 million) and pre-tax profit of VND660 billion ($31 million). — VNS