In the first quarter of 2025, the pharmaceutical retail market in Vietnam witnessed many fluctuations, especially the decline of the An Khang pharmacy chain, owned by Mobile World Investment Group (MWG). Although the Vietnamese pharmaceutical industry still maintains its growth momentum, An Khang faces major challenges in terms of finance and business strategy.

Pharmaceutical retail market context in Vietnam

Over the past decade, Vietnam’s pharmacy chain industry has experienced significant growth, both in the number of stores and revenue. In 2015, there were about 4,200 pharmacies nationwide, with only a small fraction belonging to modern chains. By 2022, the number of pharmacy chain stores had expanded rapidly to over 11,000 outlets, accounting for approximately 16% of the market share. Major chains like FPT Long Châu, Pharmacity, and An Khang have driven this expansion, reaching a total of more than 3,200 chain stores by 2024.

Revenue growth has followed a similar trajectory. The pharmaceutical retail market in Vietnam was valued at approximately 2.7 billion USD in 2015 and grew to about 8.9 billion USD in 2024. The market is projected to reach 16.8 billion USD by 2033, with a compound annual growth rate (CAGR) of around 6.7% from 2025 to 2033[1]. This development is mainly driven by the growing awareness of consumers about health, the increase in disposable income, as well as the rapid development of e-commerce platforms, making it easier for consumers to access and purchase medical products. In particular, the transformation of the pharmaceutical industry is driven by the application of digital technology and modern business methods such as pharmacy chains and e-commerce. The revised Law on Pharmacy, effective from July 1, 2025, has created a favorable legal corridor for these business models[2].

Business situation of major pharmacy chains

The Vietnamese pharmacy chain market is currently dominated by a few key players, both domestic and foreign, each with distinct strengths in the store network and market share. Among them, domestic chains such as FPT Retail’s Long Châu and Pharmacity hold the largest number of outlets, with Long Châu operating over 2,000 stores nationwide and Pharmacity following closely behind[3]. These domestic chains have rapidly expanded over recent years, leveraging local market knowledge and strategic investments to solidify their positions.

While Long Châu and Pharmacity continue to grow their store networks and revenue, other chains have shown signs of stagnation or decline. An Khang, operated by Mobile World Group, reported a loss of $13.88 million in 2024, with the number of stores dropping to 326, down from over 500 the previous year[4]. Similarly, Pharmacity, which once led the market with over 1,100 stores, has faced challenges and had to close nearly 200 stores since mid-2022[5]. These developments indicate a shift in market dynamics, with leading chains consolidating their positions while others face increasing competitive pressures

1. Long Chau Pharmacy

Long Chau Pharmacy Chain, part of FPT Retail, continues to maintain its leading position in the Vietnamese pharmaceutical market. As of the first quarter of 2025:

– Long Chau is present in all 63 provinces and cities with about 2,022 pharmacies nationwide[6]

– Long Chau’s revenue reached about 11,670 billion VND, an increase of 29% over the same period last year, contributing 69% to FPT Retail’s total revenue

– FPT Retail plans to continue opening about 500 more Long Chau pharmacies nationwide in 2025[7]

In addition, the extensive store network and service diversification strategy, including more than 100 active vaccination centers, help Long Chau strengthen its competitiveness and revenue.

Each Long Chau pharmacy has a revenue of 1.2 billion VND/month

Source: Thegioitiepthi.danviet.vn

2. Pharmacity Pharmacy

Pharmacity was established in November 2011 with an initial charter capital of 7 billion VND. It is considered a pioneer brand in the expansion of pharmacy chains in Vietnam[8]. However, after a period of rapid growth, this chain faces challenges in maintaining its leading position. As of the first quarter of 2025:

– Pharmacity has encountered performance problems, the chain had to close ineffective branches, currently, the scale is 921 pharmacies[9]

– There is no clear report on Q1/2025 revenue yet. However, the company’s revenue in 2024 decreased by about 15% compared to the previous year. Despite cutting ineffective branches, the chain still reported a net loss of more than 900 billion VND.[10]

Pharmacity pharmacy chain

Source: Doanhnhan.baophapluat.vn

3. An Khang Pharmacy

An Khang pharmacy chain, owned by Mobile World Investment Corporation (MWG), has gone through a challenging journey since entering the pharmaceutical market in 2017. Despite achieving certain achievements, this pharmacy chain is still facing many difficulties in terms of finance and operational efficiency[11]. As of the first quarter of 2025:

– An Khang pharmacy has narrowed its network to 326 stores, after closing more than 200 ineffective points of sale[12]

– There is no clear report on Q1/2025 revenue yet. However, MWG had accumulated losses of more than VND 1,033 billion from An Khang. Specifically, in 2022, this chain recorded a loss of VND 306.2 billion; in 2023, it continued to lose VND 342.9 billion; in 2024, it continued to lose VND 346.7 billion and in the first quarter of 2025 alone, it lost an additional VND 31.2 billion[13]

MWG aims to reach the break-even point in the second quarter of 2025 and will cautiously expand its store network after stabilizing operations.

An Khang pharmacy chain has stopped operating and cut stores

Source: Dnse.com.vn

4. Trung Son Pharma Pharmacy

Established in 1997 with more than 26 years of formation and development, Trung Son pharmacy system is a pharmaceutical retail chain in the Mekong Delta region. As of the first quarter of 2025:

– Trung Son pharmacy chain has more than 230 stores in the southwestern provinces and Ho Chi Minh City according to their website

– There is no clear report on Q1/2025 revenue yet. However, data from Vietdata shows that in 2023, Trung Son Pharma’s revenue decreased by more than 7%, possibly due to broader economic challenges. More notably, net profit decreased sharply, the company reported a loss of nearly 60 billion VND[14]

– Trung Son Pharma aims to reach 460 stores by the end of 2025, 2.3 times the current number, and equivalent to the An Khang chain of Mobile World

Notably, after the Korean Dongwha Pharm Group acquired 51% of shares at the end of 2024 for nearly 30 million USD, Trung Son Pharma has accelerated its expansion[15]. Trung Son Pharma not only expanded its store network but also innovated its business model. In March 2025, the chain cooperated with GS25 Vietnam to open the first convenience store – pharmacy model at 329 Vo Duy Linh, Ho Chi Minh City[16]. This model combines a pharmacy and a convenience store, bringing a new shopping experience to customers.

Trung Son Pharma and GS25 “join hands” to launch a unique pharmacy-convenience store model

Source: Trungsoncare.com

Pharmacy chain market trends in Vietnam

The application of digital technology in the management and operation of pharmacy chains is becoming a vital factor helping businesses improve operational efficiency, and optimize warehouse management, human resource management, and sales transactions. Pharmacy chains such as Pharmacity, Long Chau, and Trung Son Pharma are actively promoting the development of online sales platforms via websites, and mobile applications, and integrating home delivery services, effectively meeting modern customer shopping trends[17].

Beyond the digital platforms, pharmacy chains are diversifying their product offerings to capture broader market segments. In addition to prescription drugs, they increasingly sell over-the-counter (OTC) medications, nutritional supplements, and mother-and-baby products sourced both domestically and internationally. Imported health supplements and baby care items, especially from countries like the US, Japan, and Europe, have gained significant popularity among Vietnamese consumers, contributing to increased revenue streams and attracting a wider customer base[18].

Regarding market coverage, pharmacy chains have been aggressively expanding beyond the traditional strongholds of Hanoi and Ho Chi Minh City. There is a clear trend of growth in secondary cities and rural provinces, aiming to tap into underserved markets and meet rising healthcare demands nationwide[19]. This geographic expansion not only boosts store counts but also strengthens brand recognition and accessibility for customers across Vietnam.

To stay competitive, pharmacy chains need to continuously innovate technologically, streamline operational processes, and develop e-commerce capabilities, all while building and maintaining customer trust through consistent product and service quality.

Conclusion

The business situation of Pharmacity and Trung Son Pharma in the first quarter of 2025 shows the strong development and strategic steps of two large pharmacy chains in Vietnam. Expanding scale, innovating business models, and improving service quality are important factors helping these chains maintain and expand market share in today’s fiercely competitive market.

[1] https://www.imarcgroup.com/vietnam-pharmacy-retail-market

[2] https://baodautu.vn/nganh-duoc-tu-nam-2025-buoc-chuyen-minh-toan-dien-voi-luat-duoc-sua-doi-d230705.html

[3] https://doanhnhanvn.vn/long-chau-pharmacity-va-nhung-cai-ten-nao-dang-chia-phan-mieng-banh-ty-do-nganh-ban-le-duoc-pham.html

[4] https://vir.com.vn/pharmacy-chain-players-change-tack-125266.html

[5] https://vir.com.vn/fluctuations-felt-in-pharma-retail-sphere-107904.html

[6] https://thanhnien.vn/doanh-thu-fpt-retail-dat-11670-ti-dong-trong-quy-1-2025-185250506151718843.htm

[7] https://vir.com.vn/pharmacy-chain-players-change-tack-125266.html

[8] https://cafef.vn/pharmacity-nguoi-khoc-tren-thi-truong-chuoi-ban-le-duoc-pham-lo-lon-du-doanh-thu-dung-thu-2-thi-truong-188241212103047623.chn

[9] https://cafef.vn/pharmacity-nguoi-khoc-tren-thi-truong-chuoi-ban-le-duoc-pham-lo-lon-du-doanh-thu-dung-thu-2-thi-truong-188241212103047623.chn

[10] https://cafef.vn/pharmacity-nguoi-khoc-tren-thi-truong-chuoi-ban-le-duoc-pham-lo-lon-du-doanh-thu-dung-thu-2-thi-truong-188241212103047623.chn

[11] https://tapchicongthuong.vn/lo-luy-ke-gan-nghin-ty–the-gioi-di-dong–mwg–quyet–dai-phau–chuoi-nha-thuoc-an-khang-125324.htm

[12] https://cafef.vn/an-khang-dong-cua-toan-bo-diem-ban-ha-noi-giac-mo-mo-2000-nha-thuoc-cua-the-gioi-di-dong-dang-o-dau-188250519150804836.chn

[13] https://cafef.vn/an-khang-dong-cua-toan-bo-diem-ban-ha-noi-giac-mo-mo-2000-nha-thuoc-cua-the-gioi-di-dong-dang-o-dau-188250519150804836.chn

[14] https://doanhnhanvn.vn/long-chau-pharmacity-va-nhung-cai-ten-nao-dang-chia-phan-mieng-banh-ty-do-nganh-ban-le-duoc-pham.html

[15] https://cafef.vn/chuoi-nha-thuoc-trung-son-pharma-ve-tay-nguoi-han-choi-lon-voi-ke-hoach-tang-23-lan-so-cua-hang-len-tuong-duong-an-khang-cua-the-gioi-di-dong-18824120507203515.chn

[16] https://vnexpress.net/trung-son-pharma-bat-tay-gs25-ra-mat-mo-hinh-nha-thuoc-cua-hang-tien-loi-4859911.html

[17] https://www.imarcgroup.com/vietnam-pharmacy-retail-market

[18] https://vir.com.vn/pharmacy-chain-players-change-tack-125266.html

[19] https://theinvestor.vn/how-vietnam-pharmacy-chains-manoeuvre-for-bigger-market-share-d11899.html

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