State-controlled machinery firm VEAM pockets $233 mln from Honda, Ford joint ventures in H1

State-controlled Vietnam Engine and Agricultural Machinery Corporation (VEAM) reported VND6.11 trillion ($233 million) in dividends and profit sharing from its joint ventures with Honda and Ford Vietnam in the first half of 2025.

According to its Q2 financial report, VEAM received VND5.93 trillion ($226 million) from Honda Vietnam and over VND179 billion ($7 million) from Ford Vietnam.

VEAM currently holds a 30% stake in Honda Vietnam, 20% in Toyota Vietnam, and 25% in Ford Vietnam through its subsidiary Diesel Song Cong.

In Q2, VEAM reported VND1.04 trillion ($39.75 million) in revenue, almost flat year-over-year, and a gross profit of VND136 billion ($5.18 million), down 19.5%. Income from its affiliates contributed nearly VND2 trillion ($76.2 million), boosting pre-tax profit by 16.5% to VND2.18 trillion ($83.2 million).

The company attributed the profit growth primarily to a 21% increase in earnings from its affiliates.

In addition to its joint venture holdings, VEAM also manufactures agricultural machinery, rice milling machines, trucks, and auto parts. It operates under the Ministry of Industry and Trade, which owns a 88.5% stake.

In H1, VEAM posted VND2.09 trillion ($79.69 million) in revenue, up 8.4% from a year earlier, with product and goods sales accounting for 95% of the total. Pre-tax profit reached VND3.51 trillion ($133.65 million), up over 4%, fulfilling approximately 54% of the full-year target.

As of June 30, VEAM had total assets of VND30.76 trillion ($1.17 billion), an increase of VND3.2 trillion ($122 million) compared to the beginning of the year. Financial debt remained low at VND135 billion ($5.14 million), while equity stood at VND29.56 trillion ($1.13 billion).