Services
Profits in 2023 increase more than 10 times
Mr. Võ Phi Nhật Huy – Chairman of the Board of Directors of BIG shared that thanks to continuous efforts to optimize business operations, BIG has achieved expected profits in 2023.
According to the 2023 financial statements, BIG estimated to achieve 232 billion VND in revenue, an increase of more than 30% compared to 2022; while after-tax profit reached 5 billion VND, an increase of about 10 times.
In the revenue structure in recent years, the commercial sector accounted for 80% of total revenue, while the remaining activities include office leasing, real estate sales, and financial activities. However, in 2023, BIG’s revenue also includes the service real estate segment (the BIG HOTEL chain). This segment accounts for about 20% of total revenue in 2023, according to BIG’s estimation.
Assessing the real estate business situation in 2023 will face many difficulties, BIG’s Board of Directors has actively sought ways to improve operations. In addition to improving management and reducing costs, BIG also seeks to increase cash flow – the lifeblood of the business. Specifically, to improve cash flow, in August 2023, BIG implemented the combination of a coffee shop and spa services model in the BIG Lao Cai office building. This is a breakthrough for BIG’s business operations, opening up new potential development directions.
Thanks to initial positive signs, BIG confidently turned the service real estate model into a business spearhead from 2023 onwards. Chairman of the Board of Directors, Mr. Võ Phi Nhật Huy explained that the service industry has a fast growth rate and contributes significantly to the economy. “The difficulty is to invest in a system and have a clear competitive strategy. But the advantage is good profitability, abundant cash flow, and the ability to expand quickly,” Huy shared.
The BIG HOTEL is set to open in Ho Chi Minh City, Vietnam in 2024
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Total assets of the company reached nearly 200 billion VND
The predecessor of BIG was a steel trading company with 5 years of experience and many close relationships with major partners. After the participation of strategic shareholders, BIG was restructured and supplemented with real estate leasing and event management segments. BIG is listed on the UPCOM exchange with the stock code BIG at the beginning of 2022. After two years of efforts since listing, up to now, BIG has doubled its asset scale to nearly 200 billion VND at the beginning of 2024.
BIG’s assets include rental houses in Phuoc Dong district, Go Dau district, Tay Ninh province. The project consists of 9 adjacent houses, with a total investment value of over 22 billion VND (almost 1 million USD). BIG has also completed the ownership procedures for the entire BIG Lao Cai complex (two 5-story office buildings for rent, with a construction area of nearly 3,000 m2 in Lao Cai city) with a total investment value of over 100 billion VND. In addition, the company also manages the rental of many other office buildings throughout the country such as Hanoi, Da Nang, and Ho Chi Minh City, as well as other subsidiary companies. According to the 2023 financial statements, BIG’s total assets reached a scale of nearly 200 billion VND.
 The Khách sạn & Văn phòng (Hotel & Office) complex owned by BIG in the center of Lao Cai City
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Accelerating the expansion of the BIG HOTEL chain nationwide
BIG’s Board of Directors assessed that expanding investment in the service real estate segment at this time is suitable for the general economic development trend. The Vietnamese economy is recovering positively, being one of the high-growth countries in the region and the world.
For the hotel industry, experts believe that it will achieve good growth in 2023. Market research company Savill assessed that the hotel market is recovering extremely positively, driven by an increase in international and domestic tourist arrivals. This recovery has had certain impacts on the occupancy rate and financial situation of hotels. At the same time, the wave of investment pouring into Vietnam is expected to create a great demand for the hotel industry from the work activities of foreign experts and labor.
Keeping up with the strong growth trend of the service industry, BIG has established a subsidiary company to develop a hotel and service system (cafe, spa, etc.) nationwide. The BHH Company (a subsidiary of BIG) opened the Trung Nguyen Cafe and Jolly Spa Massage store on the 1st and 2nd floors of the BIG Lao Cai building in August 2023. Next, in October 2023, BIG implemented this model in the BIG Hue Hotel (managed by BIG) and continuously achieved positive results with increasing cash flow.
Mr. Võ Phi Nhật Huy – Chairman of the Board of Directors of BIG set a target that by the end of 2024, BIG will have 10 hotel buildings nationwide. “Further in the next 5 years, BIG will strive to manage 100 hotel buildings throughout the country,” he said. In the long run, the service segment will contribute about 30 – 50 billion VND in revenue in 2024. This figure will increase even more when the BIG HOTEL chain expands in terms of the number of managed hotels.
 Mr. Võ Phi Nhật Huy – Chairman of the Board of Directors of Big Invest Group
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In addition to the potential for profit growth, the service segment will significantly improve cash flow. The advantage of this segment is a stable cash flow and significant support for other business activities, helping the enterprise overcome all market crises in the real estate market. In addition, the value of the real estate owned by BIG as hotels will increase over time. This dual value will not only increase profits for the service segment but also bring long-term value to all BIG shareholders in the future.
