Vingroup, Vietnam’s largest private conglomerate, earned a consolidated net profit of VND2.05 trillion ($84.5 million) in 2023, representing a decrease of 76.5% year-on-year.
Surges in financial and management costs and a decrease in financial incomes were attributable to the drop in earnings.
Its pre-tax profit rose 7.2% year-on-year to VND13.68 trillion ($560.5 million), according to the firm’s quarterly financial statement.
The group posted a record-high consolidated net revenue of VND161.63 trillion ($6.62 billion) last year, up 58.8% year-on-year.
The strong increase in revenue was driven by the sales of low-rise properties at the Vinhomes Ocean Park 2 and 3 projects in the east of Hanoi, and strong growth in electric vehicle (EV) sales.
In the fourth quarter last year, VinFast, the group’s EV arm that listed on the Nasdaq in August 2023, delivered 13,513 EVs, up 35% from the preceding quarter, raising whole-year deliveries to 34,855 units globally.
As of end-2023, the group had VND669.62 trillion ($27.43 billion) in total assets, up 16% year-on-year. Its total liabilities had increased 18.1% to VND521.6 trillion.
Earnings per share (EPS) fell to VND555 in 2023 from VND2,367 (9.7 U.S. cents) in 2022.
Vingroup, listed on the Ho Chi Minh Stock Exchange as VIC, was flat at VND42,700 ($1.75) a share at 9:50 a.m Wednesday.