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Hung Thinh Incons increased by 61% of profit in 2018

Posted: 26-01-2019

As a recruit on the stock exchange, Hung Thinh Incons continued to affirm its position when it recorded a high growth in revenue and profit in 2018 and promised to flourish in 2019.

2018 was considered as a bright year for the construction market when the whole sector achieved a high growth rate and represented a sustainable development trend. Hung Thinh Incons Joint Stock Company (Stock code: HTN) continues to be the general constructor for more than 10 projects, ensures construction progress and completes the handover of projects such as Florita, Lavita Garden, Moonlight Park View as well as preparation of handing over projects: Moonlight Residences, SaigonMia, 9View Apartment, Richmond City (Phase 1) in 2019.

Florita apartment - The project completed and handed over by HTN - general constructor in 2018

Vung Tau Melody Apartment - The project has been handed over by HTN - general constructor, and it currently has 100% residents

Especially in 12/2018, Hung Thinh Incons also signed a comprehensive cooperation agreement with Ho Chi Minh City University of Technology to train human resources, research new technologies, materials and transfer technology to further improve the quality in each project of Hung Thinh Incons as well as contributing to the best solutions for the construction sector in Vietnam.

Mr. Le Chi Trung - General Director of Hung Thinh Incons reported overall business operations in 2018 and expected business plan for 2019

Business results grew continuously for many years

According to the business results of 2018 recently announced, Hung Thinh Incons achieved strong growth in both revenue and profit. Accordingly, revenue in 2018 reached about VND 4,061 billion, increased by 50% compared to the previous year. Thanks to strict control of expenses, profit after-tax for the whole year increased by 61%, equivalent to VND 185.3 billion. Basic earnings per share (EPS) reached VND 6,456, among the top companies with high EPS on the HOSE.

Year	2016	Growth compared to 2015	2017	Growth compared to 2016	2018	Growth compared to 2017
Net revenue	VND 948 billion	384%	VND 2,700 billion	285%	VND 4,061 billion	150%
Profit after-tax	VND 51 billion	424%	VND 110 billion	217%	VND 185.3 billion	161%
Basic earnings per share (EPS)	4,205 VND /share		4,407 VND /share		6,454 VND / share

It can be seen that 2018 was the year of continuous expansion of business performance of Hung Thinh Incons. In the last 6 years (2013-2018), Hung Thinh Incons' business results grew continuously. Compounded Annual Growth rate (CAGR) of net revenue reached 122.5% and profit reached 115.7%.

As of December 31, 2018, Hung Thinh Incons had abundant cash and cash equivalents, reaching VND 569 billion, equivalent to an increase of 32% compared to the beginning of the year. Inventories also decreased by VND 1,408 billion. In addition, the company also had retained profits nearly equal to equity, reaching VND 256.5 billion. This is a part of guaranteed money for dividend payment plan in the coming time.

Promising prosperous 2019

At the recent Conference of summarizing business operations in 2018 and deploying business plan in 2019, Hung Thinh Incons set a revenue target of VND 4,865 billion, profit after tax of VND 216 billion. This target continues to maintain the overall growth rate of 20% compared to the previous year. The Leadership stated that the above business objectives were developed based on the orientation of business operations, the actual construction situation and progress of the projects being implemented together with the plans of the contracts to be signed in 2019.

In addition, the stable situation of price of input materials will also significantly support business operations and ensure the profit targets set by Leadership of Hung Thinh Incons. Statistics of the Ministry of Construction show that consumption of construction materials continues to increase but prices remain stable, while some products have a slight increase. The real estate market also shows signs of warming; in addition, the development of the real estate market with the general stability of the economy creates a push for the construction sector in this year.

Anh Duong

The others:

Hung Thinh Incons’s summary of business activities in 2018 and implementation of the plan for 2019 (21-01-2019)
Hung Thinh Incons was named “Typical construction unit and construction materials supplier and supplier 2018” (12-01-2019)
Hung Thinh Incons signed a cooperation agreement with Ho Chi Minh City University of technology (22-12-2018)
Hung Thinh Incons held ISO 45001: 2018 internal auditor training course (18-12-2018)
Notes of the time of additional stock trading (17-12-2018)
Stocks with high dividend rates – The best choice in the market (28-11-2018)
HTN: New factor in the overall picture of the construction sector (27-11-2018)
Hung Thinh Incons closed the right to pay 30% dividend (23-11-2018)
Hung Thinh Incons prepares to pay 30% dividend (22-11-2018)
Why did Hung Thinh Incons stocks increase by more than 30% in the first trading week? (19-11-2018)