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Thailand’s Thai Foods Group (TFG) has unveiled an aggressive business strategy for 2026, focusing on retail expansion and accelerated investment in Vietnam, alongside the expansion of its production base in Thailand’s Northeast region.
The move aims to strengthen its supply chain, mitigate cost risks, increase the share of high-margin products, and propel revenue to new record highs.
Chief Operating Officer Petch Nantavisai emphasized that sustainable growth will be driven by retail expansion and overseas investment, with Vietnam remaining a key growth engine.
Retail growth as the main driver
Retail operations will play a central role in TFG’s 2026 roadmap. Thai Foods Fresh Market, the company’s primary S-Curve driver, is set to expand from 615 branches in 2025 to 850 branches in 2026.
The company will also enlarge its production base and distribution centers in the Northeast of Thailand to enhance logistics efficiency, improve direct consumer access, and strengthen cost management capabilities.
Vietnam expansion strengthens overseas footprint
Overseas, Vietnam continues to be pivotal in TFG’s long-term growth. In 2026, the company will begin construction of an animal feed mill and expand poultry operations, building on its existing swine business. Additional investments in swine farm expansion are also underway.
These projects are expected to be completed by the end of 2026, with clearer positive contributions to revenue and production costs anticipated from 2027 onwards.
Retail business to drive revenue
TFG’s 2026 strategy aims to achieve consecutive record-high revenue. Retail is projected to contribute approximately 50% of total revenue, followed by swine, poultry, and animal feed businesses, respectively.
The company has earmarked an investment budget of around USD 144 million for 2026. Around 60% will be allocated to retail branch expansion, while the remainder will be invested in upstream operations to support its integrated retail supply chain, including further production capacity expansion in the Northeast.
Raw material costs are expected to decline in 2026, with 60-70% of input costs already locked in, enhancing cost risk management.
More market-driven approach
The year 2026 marks a significant transition for TFG from a production-driven model to a more market-driven approach.
By expanding its proprietary retail network, the company gains direct access to consumer data, reduces exposure to meat price volatility, and strengthens long-term business sustainability.
Strong financial performance in 2025
TFG’s momentum is supported by robust 2025 results. For the first nine months ending September 30, 2025, the company reported a record net profit of USD 201 million, up 177.7% year-on-year. Total revenue rose 14.6% to USD 1.76 billion, driven by strong retail and swine businesses in both Thailand and Vietnam.
Interim dividends totaling USD 0.013 per share were paid in 2025, with the latest disbursement on December 11. These payouts highlight TFG’s solid financial position and cash flow, reinforcing confidence in its expansion plans.
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