Trungnam Solar Power posts $9 mln H1 net profit, up 46%

Trungnam Solar Power JSC, which runs a 204-megawatt solar farm in central Vietnam, recorded a net profit of VND221.24 billion ($8.99 million) in H1/2024, up 46% year-on-year.

The earnings growth helped lift the firm’s return on equity (ROE) to 14.61% in H1/2024 from 10.71% in H1/2023, it said in a regular filing to the Hanoi Stock Exchange, which operates the local bond market.

The firm said its owner’s equity increased 6.9% year-on-year to VND1,514 billion ($60.9 million) as of June 30.

Its debt-to-equity ratio edged up to 1.92x, equivalent to liabilities of VND2,907 billion ($117 million). Of the amount, undue bonds totaled VND1,801 billion.

According to exchange data, Trungnam Solar Power has 12 batches of outstanding bonds with a combined value of VND2,100 billion ($84.47 million). They were all issued in 2019 with maturities of seven to nine years.

Trungnam Solar Power was established in 2017 under the umbrella of Trungnam Group, a major company operating in energy, infrastructure, construction, real estate, and electronics. It has been operating the 204-megawatt solar farm in Thuan Bac district, Ninh Thuan province since July 2018.

In June 2018, Trungnam Solar Power had a charter capital of VND1 trillion ($40.22 million), jointly owned by Trungnam Group and its two subsidiaries.

In 2021, A Chau Industrial Technology Joint Stock Company (ACIT) took over a 49% stake in Trungnam Solar Power. In July 2024, Trungnam Group sold all 19.9 million shares of Trungnam Solar Power to ACIT and Nguyen Thanh Binh, the new chairman of Trungnam Solar Power.

Besides the solar farm in Thuan Bac district, ACIT owns and runs the Bau Zon solar power plant in Ninh Phuoc district, also in Ninh Thuan province.