Hung Thinh Incons Joint Stock Company (Hung Thinh Incons, ticker symbol: HTN) has just announced its consolidated financial statements for the first quarter of 2022 with positive growth in both revenue and profit over the same period thanks to great contribution of Q7 Saigon Riverside Complex project.
Saigon Riverside Complex Project - The project implemented by HTN as the general contractor is planned to be handed over in the second quarter of 2022
According to the cyclical nature of the Construction industry, Q1 is always the quarter with the lowest business performance due to the impact of long Tet holiday; However, the Company still recorded consolidated revenue and profit after tax of VND 1,488 billion and VND 43 billion, respectively, up 28% and 14% over the same period, closely following the set Q1 business target. Gross profit margin in the first quarter of 2022 decreased slightly due to the impact of COGS fluctuation but remained high at 8.3% compared to the average level of enterprises in the same industry.
As of March 31, 2022, total assets of Hung Thinh Incons reached VND 8,071 billion, an increase of 5% compared to the beginning of the period, mainly coming from an increase in short-term financial investments and short-term receivables specifically:
- The Company increased short-term deposits at banks from VND 46 billion to VND 100 billion, equivalent to an increase of 118%;
- The company is currently the general contractor for a series of large projects with a variety of products from civil works, urban areas to high-class resort complexes... such as the MerryLand Quy Nhon (Quy Nhon, scale of 695ha, total investment capital of phase 1 up to VND 57,000 billion), Richmond Quy Nhon (Quy Nhon), Bien Hoa Universe Complex (Dong Nai), New Galaxy Nha Trang (Nha Trang), District 7 Saigon Riverside Complex (HCMC), planned to be handed over in the second quarter of 2022). The implementation of a series of projects at the same time increased the Company's short-term receivables by 13%.
MerryLand Quy Nhon project - The project is implemented by HTN as the general contractor
For projects to be implemented on schedule, construction enterprises need a large source of working capital to procure materials, pay subcontractors… At Hung Thinh Incons, the scale of operation and business revenue grow continuously; Accordingly, the company took advantage of financial leverage to optimize business performance while ensuring its ability to pay debts. The company's short-term debt increased by 5% compared to the same period - mainly due to an increase in loans and short-term finance lease liabilities - but the company's current payment ratio remained stable at 1.15 times.
At the end of last April, the company announced the Annual Report 2021 with the theme 'Strong launching pad - Breakthrough rise', marking the outstanding efforts of Hung Thinh Incons in a common difficult year of the whole economy and be consistent with strategic goals for the coming years. Based on the advantages brought by the ecosystem of Hung Thinh Corporation, Hung Thinh Incons has constantly improved its capacity, researched new technologies and materials, applied 3D models to construction management, strictly control finance... to make a breakthrough to develop infrastructure construction and megacities, and develop revenue from customers outside the Corporation.
On the way to realize that strategy, Hung Thinh Incons has continuously added a series of prestigious titles and awards such as Top 5 Best Performing Companies in Vietnam in 2021, National Construction Brand Name, Top 10 prestigious construction contractors in 2022, Top 10 strong ASEAN brands, Typical ASEAN Leader award 2022 for Mr. Tran Tien Thanh - General Director of the Company.
Through the recognition of reputable organizations and experts in the industry, the Board of Directors and employees of Hung Thinh Incons have shown solid steps, affirming the correctness of the comprehensive and ambitious development strategy to become one of the leading construction companies in Vietnam with revenue 4 times higher than that of 2026.