Vietnam's major mattress brand Vua Nem reported a loss of VND54.5 billion ($2.32 million) in 2022, while it made a profit of VND5.2 billion ($222,000) in 2021.
The company's report did not disclose revenue, but it once said revenue in 2022 increased by 128% year-on-year. This result came from the expansion of the point-of-sale network, while growth in same-store sales reached 45%.
By the end of 2022, the company's equity reached VND105 billion ($4.48 million), down 34% compared to the beginning of the year. The ratio of liabilities to equity rose from 0.8 times to 2.8 times in 2022, which means total liabilities were VND294 billion ($12.54 million).
The bond debt-to-equity ratio also increased from zero to 1.42 times in 2022, which means the outstanding bond balance was more than VND149 billion ($6.35 million). Return on equity was negative 41.2%.
Vua Nem was established on October 18, 2007, formerly known as Devico JSC led by a start-up group overseen by Nguyen Vu Nghia and Hoang Tuan Anh, with the first store in Hanoi named Dem.vn.
In October 2017, the company's name was changed into Vua Nem after receiving investment from Mekong Capital Investment Fund.
According to its website, Vua Nem has 153 stores across the country. In 2023, the firm plans to conduct an initial public offering, and aims to have 500 stores nationwide.
According to BSC Securities, Vua Nem has an initial charter capital of VND1 billion ($42,600), of which Nguyen Vu Nghia contributed VND640 million or 64%, Hoang Tuan Anh contributed VND350 million (35%), and Nguyen Quang Huy VND10 million (1%).
After several capital increases and updates until the end of 2021, Vua Nem now has a charter capital of nearly VND280 billion ($11.94 million). Hoang Tuan Anh is still the company's general director and legal representative.