On April 23, 2024, Thaiholdings Joint Stock Company (stock code THD) successfully held its 2024 Annual General Meeting of Shareholders, approving all resolutions.
The Board of Directors’ report states that Thaiholdings operated in a context of economic difficulties following the COVID pandemic in 2023. The Board of Directors and the Management Board focused on restructuring the system and building a streamlined organization.
Accordingly, the full-year net revenue reached VND 1,870 billion, and the consolidated profit after tax was VND 224.5 billion, achieving 93% of the plan that the Company set for the year.
Presidium at the 2024 AGM
FOCUSING ON 2 SECTORS: FINANCIAL INVESTMENT AND REAL ESTATE
In 2024, the company plans to achieve a consolidated net revenue of VND 1,114 billion; a consolidated profit before tax of VND 125 billion and a consolidated profit after tax of VND 68 billion.
The 2024 profit target has been reduced compared to the previous year due to the Board of Directors and the Management Board assessing that the real estate sector’s boom has passed, so this is not the stage to rush sales and recover investment benefits to record Revenue or Profit. Thaiholdings believes that this is the stage to focus on finding clean land with clear legal status and financial investment items to increase investment efficiency in the long term.
The Board of Directors plans for THD not to become a multi-sector corporation but to focus on developing 02 current strengths: financial investment and real estate. In the financial investment sector, the Board of Directors affirms that it always ensures the principle of safe investment, without exceeding the warning threshold and financial risks. In the real estate sector, the Company will continue to implement its existing projects such as: Enclave Phu Quoc complex resort; and Kim Lien Complex Project.
In 2024, Thaiholdings will continue to seek potential real estate projects for M&A. These are projects that ensure legal factors, comply with legal regulations, and have suitable initial investment costs.
Mr. Vu Ngoc Dinh – Member of the Board of Directors and General Director
In addition, the Company will focus on implementing comprehensive development and monitoring of THD’s business activities; strengthening risk management; and continuing to implement Phase 2 of the Company Restructuring Project, upgrading the Company’s position in the Finance and Real Estate sector; and following resolutions of the General Meeting of Shareholders, and the Board of Directors.
The General Meeting elected members of the Board of Directors and Supervisory Board of the Company for the new term 2024 – 2029. The Board of Directors of Thaiholdings Joint Stock Company for the term 2024-2029 includes: Mr. Nguyen Chi Kien, Mr. Vu Ngoc Dinh –, Ms. Vu Thanh Hue, Mr. Phan Manh Hung and Ms. Tran Thi Thanh Giang.
The Supervisory Board of Thaiholdings Joint Stock Company for the term 2024-2029 includes Ms. Nguyen Thu Van, Ms. Du Thi Hai Yen – and Ms. Bui Thi Thanh Nhan.
DISCUSSIONS: WHY NO DIVIDEND PAYMENT AND A LOW PLAN?
Why did the Company not pay dividends in the past year?
Mr. Vu Ngoc Dinh – Member of the Board of Directors and General Director of the company: The Management Board and the Executive Board are also among the shareholders of the Company, the nature of real estate business is an industry that requires capital and must maintain capital in the long term to can bring investment efficiency.
The fact that the company has not yet paid dividends is to maintain capital for production and business activities, to reinvest all undistributed profit after tax, so this is not the right time to pay dividends.
Why is the Company’s production and business plan for 2024 lower than that for 2023?
Mr. Vu Ngoc Dinh: The plan for 2024, the Company sets a target of after-tax profit of VND 68 billion, narrowing down compared to 2023 due to the following reasons:
Firstly, in the context of the economy with unfavorable information and developments in the real estate sector, real estate companies are currently facing difficulties with poor results in terms of revenue and profit. However, this is also an opportunity to M&A real estate projects at a low cost. During this period, THD focuses on finding real estate projects with clear legal status, potential and have been carefully analyzed to ensure investment safety and profitability.
Secondly, the Company also has short-term and long-term roadmaps, building a stable apparatus, establishing investment portfolios to ensure a balance between short-term and long-term investments so that when the market has support from the economy, the Company is always ready – for the return of the economy and the market in the future.
What is the Company’s action plan for long-term investments?
Mr. Ngo Quyet Tien – Deputy General Director and Chief Accountant: For long-term investments, there are currently some investments that have brought profits such as investments in subsidiaries and associated companies. However, there are also some investments that have not really brought profits as expected. This is also normal for all investors.
Accordingly, for long-term investments that have reached the expected profit, in 2024, the Company may earn a certain amount of profit.
For investments that have not been really effective, the Company’s Management Board will direct professional departments to assess, review and decisively propose solutions to ensure profits from investment activities.
It is known that in the past year, the Company has implemented a comprehensive restructuring plan, so what has the company achieved?
Mr. Nguyen Chi Kien – Chairman of the Board of Directors: After a year of implementing the Company’s comprehensive restructuring plan, THD achieved remarkable achievements as follows:
Firstly, the Company has streamlined and improved the management apparatus and governance system to meet practical business activities. Along with that, the systems of procedures, regulations, and professional regulations of each department and office were revised and issued in a timely manner.
Secondly, the Company has successfully restructured the financial-accounting governance system, built a management report and standardized the accounting and tax system following high-standard governance rules, in accordance with legal regulations. The management reporting system is built to help optimize costs, allocate financial resources reasonably as a basis for the Management Board to have clear decisions for production and business operations.
Thirdly, the policy regimes related to personnel have also been focused on. Through the survey, 98% of staff gave the highest satisfaction rating for the Company’s policies and regimes. Labour quality has been improved through the KPI assessment and measurement system, thereby improving work efficiency and effectiveness. The issue of developing corporate culture is focused on, helping each individual clearly recognize their role and responsibilities, and determined to do well their jobs to achieve common goals.
What is the Company
