Bamboo Capital Group (HoSE: BCG) announced its Consolidated Financial Report for the first quarter of 2024, with net revenue reaching VND 985.4 billion, an increase of 40.5% compared to the same period in 2023. The main contributors to revenue were Renewable Energy (VND 320.4 billion) – accounting for 32.5%, Infrastructure Construction (VND 222.1 billion) – accounting for 22.5%, Real Estate (VND 209.8 billion) – accounting for 21.3%, and Financial Services (VND 185.7 billion) – accounting for 18.8% of the Group’s total revenue.
The renewable energy segment of BCG Energy, after many years of strong investment, has emerged as the largest contributor to Bamboo Capital’s revenue. The financial services segment, with a major contribution from AAA Insurance Corporation, also rose to account for 18.8% of revenue (11% in the same period last year). Bamboo Capital’s revenue structure has been evenly distributed among its core business segments, including renewable energy, construction-infrastructure, real estate, and financial services.
Bamboo Capital’s consolidated net profit after tax in the first quarter reached VND 98.2 billion, an increase of more than 10 times compared to the same period last year. In addition to revenue growth, another key factor that helped Bamboo Capital achieve this sharp increase in profit was the effective control of interest expenses. Specifically, the Group’s interest expense decreased by VND 129.4 billion compared to the same period last year, equivalent to a decrease of 32.7%. The reduction in interest expense was due to proactive efforts to pay off loans and debts to partners in 2023 to minimize financial risk.
As of March 31, 2024, Bamboo Capital’s total assets reached VND 42,592.1 billion, a slight increase of 1.4% compared to the beginning of the year. The Group’s equity reached VND 24,918.8 billion, a slight increase of 1.5%. Overall, the indicators in Bamboo Capital’s balance sheet have remained stable, without much change compared to the end of 2023.
With the orientation of controlling asset quality, ensuring financial health, as well as creating room for capital mobilization for future projects, Bamboo Capital continues to proactively pay off loans and debts to partners. As a result, the debt-to-equity ratio has been maintained at a safe level of 1.4 times, equivalent to the level recorded at the end of 2023. In addition, the debt-to-equity ratio has further decreased to 0.5 times compared to over 1 time in the first quarter of 2023.
In the Cash Flow Report, the net cash flow from investing activities was negative VND 298 billion at the end of the first quarter of 2024 due to the fact that during the period, the subsidiary company BCG Energy acquired Tam Sinh Nghia Investment – Development JSC to invest in the construction of a waste-to-energy incineration plant. The cash flow from operating activities was negative VND 432 billion, also due in part to the investment in Tam Sinh Nghia, which was transferred to a partner to develop modern waste incineration technology. In addition, the net cash flow from financing activities recorded VND 62 billion in the first quarter of 2024 due to AAA Insurance Corporation’s capital increase.
On April 1, 2024, the Prime Minister approved the plan to implement the National Power Development Master Plan for the period 2021-2030, with a vision to 2050, aiming to increase the contribution of renewable energy to 30.9 – 39.2% by 2030 and to 67.5 – 71.5% by 2050. The implementation of Power Planning VIII not only marks an important step forward in the electricity industry but also opens up development opportunities for the renewable energy sector.
BCG Energy – a member company of Bamboo Capital – currently owns a portfolio of up to nearly 1 GW approved under Power Planning VIII with a vision of implementation until 2030. Notably, a series of large-scale wind power projects, including Dong Thanh 1 wind power (80 MW), Dong Thanh 2 (120 MW) in Tra Vinh province; Khai Long 1 (100 MW) in Ca Mau will be implemented by BCG Energy this year and are expected to be put into operation in 2025. These projects, once operational, will increase BCG Energy’s total power generation capacity by approximately 53%.
Notably, in the period 2024-2025, BCG Energy will build a state-of-the-art waste-to-energy incineration plant with an investment capital of over VND 5,000 billion in Ho Chi Minh City. The plant has a capacity to burn 2,000 tons of waste per day and night, equivalent to a power generation capacity of 40 MW. In the later stage, BCG Energy’s waste-to-energy incineration plant can increase its processing capacity up to 5,200 tons of waste per day and generate power capacity up to 130 MW, becoming one of the largest plants in the world in this field. In parallel, BCG Energy is also building waste-to-energy incineration plants in Long An, Kien Giang and other provinces and cities. By continuing to promote the development of renewable energy projects in Power Planning VIII and building additional large-scale waste-to-energy incineration plants, BCG Energy will continue to make positive contributions to the consolidated business results of Bamboo Capital Group.
According to the 2024 general meeting of shareholders’ documents announced by Bamboo Capital, the Group targets total consolidated revenue for 2024 to reach VND 6,102.5 billion and total profit after tax to reach VND 951.7 billion. Compared to the results achieved in 2023, Bamboo Capital Group’s 2024 business plan is expected to grow by 152% in revenue and 556% in profit. Bamboo Capital’s 2024 Annual General Meeting of Shareholders will be held on April 27, 2024 via online platform.
