Vinhomes profit drops 25% to $1.24 bln in 2022

Vinhomes, a subsidiary of Vietnam’s largest private conglomerate Vingroup, reported after-tax profit of VND29 trillion ($1.24 billion) in 2022, down 25% year-on-year.

Its consolidated net revenue was VND62,392 billion ($2.66 billion), down 26%.

In the fourth quarter of 2022, the company recorded consolidated net revenue of nearly VND31,200 billion ($1.33 billion), up 34% year-on-year, thanks to the handover of 2,200 more low-rise real estate units at the Vinhomes Ocean Park 2 - The Empire project.

The 458-hectare project, located in Nghia Tru and Long Hung communes, Van Giang district, Hung Yen province near Hanoi, made its debut in April 2022.

The company's real estate transfers were still its largest source of revenue with nearly VND28.7 trillion ($1.22 billion) in the quarter, accounting for nearly 92% of total consolidated revenue and up nearly 39% year-on-year.

In addition, it offers general construction services, design consultancy, and construction supervision.

Revenue from real estate management and rental services brought in trillions of dong (VND1 trillion = $42.65 million), all growing positively compared to Q4/2021.

Vinhomes JSC, listed on the HCMC Stock Exchange as VHM, is one of Vietnam’s largest real estate developers. It has been a pioneer in building and operating large-scale residential projects.

As of December 31, 2022, Vinhomes's total assets stood at VND361,200 billion ($15.4 billion), up 57% compared to the beginning of the year. Of this, cash and cash equivalents were more than VND14,700 billion ($626.86 million), up 53% thanks to the successful launch of the Vinhomes Ocean Park 2 - The Empire project.

Stable cash sources have helped Vinhomes to proactively accelerate the construction and further development of major projects and reduce dependence on loans. As a result, net debt only accounted for about 14.4% of equity.

By the end of Q4/2022, Vinhomes' equity stood at VND148,400 billion ($6.33 billion), up 13% compared to the beginning of the year.