Vingroup earns $63 mln in 9-month profit

Vietnam’s largest private conglomerate Vingroup earned after-tax profits of VND1,571 billion ($63 million) in the first nine months of the year, down 8% year-on-year and fulfilling 26% of the year's target.

The group's consolidated net revenues reached VND60,356 billion ($2.43 billion) in the period, down 33.5%.

In the revenue structure, real estate business accounts for the highest proportion of revenue (40%), contributing VND25,708 billion ($1.03 billion).

Vingroup said its real estate segment will continue to see handovers of a large number of products to customers in the coming quarters and in 2023.

VinFast's motorbike and automobile manufacturing and trading segment achieved VND9,000 billion ($362.02 million) in revenues, ranking second with a contribution proportion of 15%. The number of vehicles delivered in Q4/2022 is expected to increase as supplies of components rise, the group said.

Shopping mall operator Vincom Retail's property rental business contributed VND5,517 billion ($221.92 million) in revenue. Vincom Retail recorded high growth in both revenue and profit over the same period last year and gradually recovered to the pre-Covid-19 level.

The hotel, tourism and entertainment activities of Vinpearl, Vietnam’s largest hospitality and leisure chain, reached VND5,561 billion ($223.69 million), continuing to recover in line with momentum of the tourism market. The total number of room bookings per night reached 717,000 after the first nine months of the year, up 29% year-on-year.

Both of these segments contributed 9% to Vingroup's revenue in this period.

The health segment (Vinmec) earned VND3,100 billion ($124.66 million) in revenues, accounting for 5% of total revenue, while the figures for the education segment (Vinschool, VinUni) were VND2,400 billion ($96.51 million) and 4%.

In Q3, Vingroup reported consolidated net revenues of VND28,742 billion ($1.16 billion), down 4% year-on-year.

Q3 pre-tax profits of VND5,252 billion ($211.26 million), up 75% year-on-year, were the highest the group has ever recorded in a business quarter. Its after-tax profit was VND506.3 billion ($20.36 million), 2.3 times higher than the same period last year.

By September 30, 2022, Vingroup's total assets were VND555,571 billion ($22.35 billion), up 30% compared to the beginning of the year, mainly thanks to the opening for sale of new real estate projects.

In October, the Asian Development Bank mobilized a $135-million climate financing package for VinFast to manufacture the country’s first fully-electric public transport bus fleet and first national electric vehicle charging network.