Gia Lai Electricity's 2025 net profit records 10-fold increase on wind power gains

Gia Lai Electricity JSC (GEG) recorded more than VND946.7 billion ($36.5 million) in 2025 net profit, up nearly 10.3 times from 2024, driven mainly by wind power projects, though revenue growth remained modest, Q4 financial statements show.

Q4 net revenue rose 6.3% from a year earlier to more than VND590.4 billion ($22.76 million). A nearly 15% decline in cost of goods sold, to about VND297.7 billion ($11.48 million), lifted gross profit by 42.2% to VND292.6 billion ($11.28 million).

Financial expenses fell 17.1% to VND129.2 billion ($4.98 million), largely due to lower interest costs, while administrative expenses surged nearly 2.7 times year-on-year to more than VND80 billion, mainly reflecting provisions of over VND37.5 billion ($1.45 million) for doubtful receivables.

As a result, Q4 net profit jumped nearly eightfold from a year earlier to more than VND96 billion.

GEG said the strong quarterly performance was driven by an increase of more than VND32 billion ($1.23 million) in power sales after the Tan Phu Dong 1 wind power plant and turbine A7 of the VPL wind project secured official power tariffs.

Lower outstanding debt also reduced interest expenses by nearly VND28 billion ($1.08 million) compared with the same period last year, it added.

For the full year 2025, GEG posted net revenue of nearly VND3 trillion (VND115.65 million), up almost 29% from 2024. Electricity sales accounted for about 98% of total revenue, with the remainder coming from services and equipment supply.

Total power output reached 1.34 billion kilowatt-hours, generating nearly VND2.94 trillion ($113.15 million) in electricity revenue. Wind power contributed 606 million kWh, or 45% of output and 57% of revenue, at nearly VND1.68 trillion ($64.73 million).

Hydropower generated 375 million kWh, accounting for 28% of output and 15% of revenue (VND430 billion or $16.56 million), while solar power produced 360 million kWh, or 27% of output and 28% of revenue (VND827 billion or $31.88 million).

During the year, GEG completed negotiations on official power prices for several wind projects, including the 100 MW Tan Phu Dong 1 plant, enabling it to recognize remaining revenue from previous years in line with regulations. Financial income also rose by nearly VND104 billion ($4 million), mainly due to the divestment from Truong Phu Hydropower JSC.

As a result, GEG’s net profit for 2025 surged to more than VND946.7 billion ($36.5 million), up nearly 10.3 times from the previous year. The company achieved 88.2% of the year's revenue target and exceeded its profit goal by a wide margin.

As of December 31, 2025, GEG’s total assets stood at nearly VND15.11 trillion (VND582.54 million), slightly lower than at the beginning of the year. Fixed assets accounted for more than 82% of total assets, at VND12.43 trillion.

Cash and cash equivalents fell 47.2% to VND86.3 billion ($3.33 million), while short-term receivables rose 55.4% to VND1.28 trillion ($49.34 million). Inventories declined by more than 61% to VND46.1 billion.

Total liabilities decreased 8.4% to VND8.61 trillion dong, with total borrowings — both short- and long-term - falling more than 9% from a year earlier to about VND8.3 trillion ($332 million).

GEG is part of TTC Group, with major shareholders including Jera Asia Vietnam Holdings Pte. Ltd. (35.1%), Thanh Thanh Cong Investment JSC (16.79%), and Thanh Thanh Cong-Bien Hoa JSC (10.99%).

The company is among Vietnam’s leading renewable energy developers, with total installed capacity of 672 MWp across 21 operating plants, including 87 MW of hydropower, 292 MWp of solar and rooftop solar, and 230 MW of wind power.

GEG said it plans in 2026 to focus on improving the efficiency of its existing portfolio while advancing projects already in its pipeline, including the Duc Hue 2 solar power project and phase two of the VPL Ben Tre wind power project.

It also plans to review and develop projects added to national planning to expand capacity in subsequent phases, in line with market conditions and regulatory frameworks.