VINACONEX ACHIEVES PRE-TAX PROFIT OF VND 535 BILLION IN 9 MONTHS, PREPARES THE YEAR-END GRAND PLAN
Tue , 02/11/2021, 13:00:00 (GMT+7)
Vietnam Construction and Import-Export Corporation (Vinaconex, stock code: VCG - HOSE) announced its financial statements for the third quarter of 2021 with sales and service provision reached VND 1,269 billion, profit after tax totaled VND 109 billion.
Accumulated in the first 9 months of 2021, VCG recorded revenue of VND 3,610 billion, a consolidated pre-tax profit of VND 535 billion. Its year-on-year gross profit margin increased to 16% from 15% thanks to more effective cost management.
Investors frequently evaluate "savings" in the real estate enterprise by looking at its inventory and deferred revenue. As for VCG, these two provisions increased sharply, as of the end of September, its inventory reached VND 3,196 billion, an increase of VND 976 billion, the short-term advances of customers reached VND 7721 billion, more than 3 times compared to the beginning of the year and long-term deferred revenue increased to VND 1,426 billion.
Vinaconex's investment operations kept advancing as short-term financial investments increased to VND 2,699 billion, up 74% compared to the beginning of the year and 138% year on year.
As of September 30, 2021, Vinaconex's total assets were VND 30,840 billion, an increase of 57% compared to the beginning of the year and a slight increase of 2% compared to the end of the second quarter. Equity was VND 7,508 billion, and undistributed profit after tax was VND 2,043 billion. Such positive results demonstrate the remarkable efforts of Vinaconex in the light of many localities implementing social distancing and the economy’s stagnant due to the Covid-19 pandemic. Notably, the Corporation continues performing investment activities to prepare for the breakthrough period at the end of 2021 and next year.
The Van Ninh general port project phase 1 has commenced lately. The project's employer is the Van Ninh International Port JSC, Vinaconex contributes 40%, Duong Dong Group JSC contributes 40%, and local partners contribute 20% of the project’s charter capital. Vinaconex will also be in charge as the general contractor.
The total planning area of the port is 480 ha, of which phase 1 is deployed on an area of 82 ha; the total berth length is 500 m for ships and 390 m for barges. The total investment is VND2,248.5 billion, expected to be completed and put into operation by 2024.
Van Ninh General Port is one of a series of four long-term growth-driving projects of Quang Ninh. It is capable of receiving ships with a tonnage of up to 20,000 tons, ferries on the sea and inland waterways, and functions as a focal point for gathering and distributing Vietnam’s import and export goods to the Chinese market. Investment in seaports with the prospect of a buoyant export-promoting economy would be a potential field of Vinaconex in the future.
In Quang Ninh province also, the Corporation has been executing the infrastructure of urban residential area in KM3 - KM4 of Hai Yen ward, Mong Cai city. According to the schedule, the project’s going to conduct sales and release goods to the market by the end of this year and the beginning of the next year.
The extended Hoa Binh Boulevard Urban Area project in Hai Hoa ward, Mong Cai city also holds great promise for luring investors. These projects will make great contributions to Vinaconex’s business performance in 2022 with the rapid growth of Mong Cai city and Quang Ninh province.
In the construction and installation fields, many other infrastructure projects have been carried out on schedule by Vinaconex and the joint ventures. The most current bid package under the “Construction of passenger terminal T2 - Phu Bai International Airport project” was commenced on August 6, 2021, with a bidding package value of over VND 1,545 billion, an implementation period of 510 days.
It is clear that Vinaconex made great efforts during the period when the economy was severely impacted by the pandemic by continuing to maintain investment activities, not interrupting production and business, and avoiding “hibernation”. This was done to make the driving force for the Corporation to make a breakthrough in revenue and profit in the fourth quarter right after the epidemic is under control.
Tinnhanhchungkhoan.vn
