VINACONEX – 10 HIGHLIGHTS IN 2023
Thu , 01/02/2024, 14:00:00 (GMT+7)
In 2023, despite challenges posed by economic downturns and political instability in various nations, Vietnam's economy continues its upward trajectory.
For Vinaconex, this year is a significant milestone as it marks the 35th anniversary of the corporation’s founding and five years since its transition to a non-state-owned enterprise, marking a pivotal stage in its 2020-2025 development period. The corporation is fully committed to overcoming obstacles, ensuring stability, and maintaining its foothold as one of the largest enterprises in Vietnam's construction, real estate, and financial investment fields as well as having profitability in production and business, maximizing shareholder returns, securing jobs, and boosting employee income
1. Affirming the Party's leadership and guidance in enterprises.
To strengthen the role of the party organization within non-state-owned enterprises, the Party Committee of the Corporation has adopted a proactive, flexible, and innovative approach, closely coordinating with the Board of Directors, Advisory Council, Board of Management; actively promoting the production and business activities to foster the development of Vinaconex's culture and brand identity.
During the 5th Preliminary Conference for the 2020 – 2025 term, Mr. Dao Ngoc Thanh, Secretary of the Party Committee and Chairman of the Board of Directors of the Corporation emphasized that each individual and unit shall uphold traditions and foster a clean, robust, democratic, innovative, and creative Party Committee; striving to propel the Corporation to become a strong economic group by 2025, aiming for the professional level of Vietnam and the region.
Furthermore, the activities of socio-political organizations are always valued, serving as a source of motivation and actively contributing to collective development.
This underscores the unity and solidarity in the leadership and direction of activities of the Party Committee, Board of Directors, Board of Management, and Executive Board of the Corporation. This foundation enables Vinaconex to continue strongly on its path toward achieving dreams.
2. Drive competitiveness by enhancing production and business activities.
Following the period of being affected due to the COVID-19 epidemic, the Corporation's production and business operations in 2023 have recovered and witnessed positive transformations under the new normal conditions. Vinaconex remains steadfast in its focus on three main pillars: Construction, Real Estate Investment, and Financial Investment.
Notably, the strategy prioritizing construction projects with public and foreign investment has significantly enhanced the Corporation's production and business efficiency and fostered growth. That reaffirms the Executive Board's vision and acumen of the market and the country's socio-economic development trajectory.
With the ethos of being “prideful, confident, never complacent”, Vinaconex has closely adhered to the approved production and business plan from the General Meeting of Shareholders, ensuring stable production, business operations, as well as cash flow, and increasing credibility with major banks and partners. By the end of 2023, it’s estimated that the Corporation achieved a revenue of VND12,500 billion, marking a 128% increase compared to 2022, with an estimated profit of VND 360 billion.
Notably, Vinaconex's reputation and brand have soared in the past year as the corporation has won numerous bidding packages for critical national and foreign-invested projects across diverse sectors such as civil and industrial construction, infrastructure, transportation, aviation projects, etc. The total value of these contracts exceeds VND 15,000 billion (only counting Vinaconex’s value in the Joint Venture), which is a significant accomplishment in bidding work that ensures a stable workload for the Corporation in 2023 and subsequent years.
Regarding package no. 09/TP2-XL of component project 2.1: construction of the parallel road in Hanoi city as part of Ring Road no. 4 construction investment project - Hanoi Capital Region, a national key project, Vinaconex has deployed human and material resources, invested in modern machinery and equipment, and maintaining round-the-clock construction activities, even during holidays. Construction is progressing simultaneously across various sites, including roads, bridges, and culverts along the route, intending to complete the project by 2025, six months ahead of schedule as outlined in the contract and celebrate the Hanoi City Party Congress.
This year, Vinaconex and the Joint Venture won the international bid for package 5.10, responsible for constructing and equipment installation for the passenger terminal building - Long Thanh International Airport construction investment project (phase 1). The total investment value of this project is nearly VND 35,000 billion, with Vinaconex's contract worth almost VND 4,000 billion. Currently, the construction site is at its peak phase, with the entire project striving to complete tunnel construction and backfilling before the onset of the rainy season.
Additionally, Vinaconex is the unit executing package 4.6 to construct the project's takeoff and landing runways.
3. Timely completing and handing over key projects - solidifying Vinaconex's leading position in Vietnam's construction industry
Despite obstacles and the Covid-19 pandemic, in 2023, Vinaconex as a General Contractor, independent contractor, and member of Joint Ventures, achieved successful completion and hand-over of multiple key projects with high technical and aesthetic standards.
Furthermore, as a contractor, Vinaconex has accelerated the implementation of numerous key projects in the fields of infrastructure, civil, and social security development both in Hanoi and nationwide. Vinaconex is also a trusted brand relied upon by international partners for executing projects, including turnkey ones
With a resilient attitude towards overcoming hardships, Vinaconex's workforce and flag have garnered recognition not only within the domestic market but also among international investors, reinforcing the position as a top contractor in Vietnam's construction industry.
4. Real Estate Investment - Transforming for elevated success
Last year, the real estate investment, one of the Corporation's core activities, underwent impressive transformations.
With a land bank exceeding 2,000 hectares and ongoing expansion efforts, Vinaconex aims to develop substantial projects nationwide.
Additionally, civil real estate and housing projects in Hanoi and other regions are actively under development.
With a diverse investment portfolio, the Corporation is presently offering high-end goods in the categories of housing, tourist - resorts, infrastructure development, industrial park infrastructure, etc. to the market.
5. Investing in sustainable development and social responsibility
In 2023, Vinaconex kept integrating corporate benefits with social responsibility and community development.
For nearly two decades, Ly Thai To Education System invested in and developed by Vinaconex has achieved remarkable success in education and become an esteemed educational hub in the capital city.
As for social security, VIWACO, a unit of Vinaconex, serves as a significant provider of clean water in the southwest region and parts of Hanoi, playing a crucial role in both economic efficiency and social benefits.
With conscientiousness and a forward-looking vision, Vinaconex has been making the best effort to develop strongly and contribute more and more to society, striving towards a brighter future.
6. Dakba Hydropower Plant: Shining in the Energy Development field
Commencing its construction in September 2020, the Dak Ba Hydropower Plant reached a significant milestone by January 14, 2023, when its two units were successfully integrated into the national power system and officially authorized by EVN to generate commercial electricity. Since early 2023, the plant promptly provided a crucial power source for the region, effectively addressing the widespread power shortages.
This project also demonstrates VINACONEX's remarkable construction capabilities, as they completed the project in just 444 days, bringing it to operation within just 24 months. With an installed capacity of 30MW, the Dakba HP generates approximately 100.43 million kWh and an average revenue of around VND 130 billion annually.
The success of the Dakba HPP underscores Vinaconex's commitment to efficient project implementation while ensuring optimal investment costs right from the beginning of operation. That reflects Vinaconex's image in the new era, characterized by determination – speed - and efficiency. It also attests to the maturity of the investor and the project's involved units, particularly Vinaconex Corporation as the general construction contractor. Besides, it showcases Vinaconex's determination, construction capacity and expertise in advanced construction technology, aligning with global standards in hydropower energy investment and development.
7. Enhancing Reputation, Brand, Information Transparency, and Financial Health
In 2023, with the dedication of the Board of Directors and 6,000 employees, Vinaconex proudly garnered noble titles and awards from prestigious organizations.
This community recognition serves as motivation for Vinaconex to uphold its leading brand position in construction and real estate investment. As a transparent listed enterprise with good financial management, effective business practices, and a commitment to sustainable development, Vinaconex remains dedicated to accompanying the country's progress.
8. Promoting international cooperation - Enhancing reputation and capacity
In addition to maintaining and upholding its strong position in the domestic market, Vinaconex actively enhances its competitiveness and seeks international investment opportunities.
With existing partnerships in the US, France, Japan, Korea, and China, in 2023 Vinaconex focused on expanding and strengthening international cooperation, associated with potential projects.
Vinaconex's reputation and brand have extended globally, motivating the Corporation to further its international business to become a leading economic group in Vietnam and the region in the construction and real estate investment fields
9. Fostering Vinaconex’s internal unity, enhancing corporate culture and employees’ well-being
Fostering internal unity, preserving and enhancing corporate culture remain a paramount responsibility for both socio-political organizations and individual employees at Vinaconex while contributing to the Corporation's growth.
In addition to annual activities, special activities organized last year to commemorate the Corporation's 35th anniversary have fostered pride, dedication, and joy among Vinaconex's leadership and employees, thereby strengthening solidarity and enriching the corporate culture.
10. 35-year-journey to conquer dreams
As Vinaconex celebrates its 35th anniversary, it’s promising that the Corporation would have significant strides in the years ahead, driven by the collective desire of every individual to contribute to shaping the nation's identity.
This ambition fuels Vinaconex's determination to surmount obstacles and make remarkable strides towards conquering dreams.
