During the conference, the Board of Directors and the CEO presented detailed reports to the shareholders’ meeting on HSG’s performance in the fiscal year 2022-2023 and proposed the shareholders’ meeting to approve the business plan and some important operational directions of HSG in the fiscal year 2023-2024 and the coming period.
2023 is a difficult year for the global and Vietnamese economies, and businesses face many challenges, especially the sharp decline in total demand. However, HSG still maintains stability in its financial situation and production and business situation. At the end of the fiscal year 2022-2023, HSG’s consolidated consumption volume reached 1,433,830 tons, completing 94% of the plan; HSG’s consolidated revenue reached VND 31,651 billion, completing 93% of the plan; HSG’s consolidated after-tax profit reached VND 30 billion.
Regarding the outlook for 2024, HSG believes that the market still has many potential instabilities and uncertainties that could negatively impact both domestic and international markets. Therefore, HSG has devised two business plans for the fiscal year 2023-2024, specifically:
At the shareholders’ meeting, HSG presented the proposal to restructure and specialize its steel pipe production and business segment by transforming Hoa Sen Phu My Co., Ltd into Hoa Sen Steel Pipe Joint Stock Company, in which HSG owns 99% of the charter capital. Hoa Sen Steel Pipe Joint Stock Company will take over all the infrastructure facilities serving steel pipe production and business activities, with the expected implementation period and roadmap ranging from 1 to 5 years.
Once Hoa Sen Steel Pipe Joint Stock Company completes the reception of the steel pipe production and business segment and operates stably and profitably, the Board of Directors will continue to develop and submit to the shareholders’ meeting for consideration the plan to IPO and list the shares of Hoa Sen Steel Pipe Joint Stock Company on the stock market.
Prior to this, in order to optimize resources and enhance the efficiency of the plastic segment’s activities, HSG has transferred all the production and business activities of the Plastic segment of the Group to Hoa Sen Plastic Joint Stock Company. After 2 years of implementation, the business activities of Hoa Sen Plastic Joint Stock Company have achieved positive results. The company is currently working with consulting units to study and develop an optimal plan for the IPO and listing of the shares of Hoa Sen Plastic Joint Stock Company in the future.
Regarding the distribution business of construction and interior materials, HSG will continue to strengthen the efficiency of its current 114 Hoa Sen Home supermarkets, while also increasing the autonomy and responsibility of the Hoa Sen Home System, aiming to make Hoa Sen Home an independent operating system. At the same time, HSG is preparing the plan and completing the necessary conditions to establish Hoa Sen Home Joint Stock Company and transfer the entire Hoa Sen Home System to Hoa Sen Home Joint Stock Company at a suitable time.
HSG also presented a plan to pay dividends for the fiscal year 2022-2023 in cash, with an expected rate of 5%, using the funds from the accumulated undistributed after-tax profit as of September 30, 2023, according to the audited consolidated financial statements for the fiscal year 2022-2023.
This year’s shareholders’ meeting also conducted the election of new members of the company’s Board of Directors for the new term 2024-2029 in accordance with the regulations on elections. The list of candidates for the HSG Board of Directors for the term 2024-2029 includes: Mr. Le Phuoc Vu; Mr. Tran Ngoc Chu; Mr. Tran Quoc Tri; Mr. Ly Van Xuan; Mr. Nguyen Van Luan; Mr. Dinh Viet Duy.
