Digiworld Corporation Reports on Positive Performance and Ambitious Plans for 2024
On April 25th, 2024, Digiworld Corporation (“DGW”) held its 2024 Annual General Meeting of Shareholders.
Throughout 2023, the ongoing economic downturn led to reduced consumer spending, impacting most businesses, including Digiworld. However, the company’s strategy of sustainable development, including expansion into the Consumer Goods sector in 2017 and Home Appliances in 2021, provided additional growth drivers amidst ICT market challenges.
In 2023, Digiworld recorded revenue of 18,817 billion VND and a profit of 354 billion VND. The Consumer Goods segment experienced significant growth of 70%, while Home Appliances increased by 31% year-over-year.
For 2024, Digiworld anticipates positive signals and has presented its business plan to shareholders, targeting revenue of 23,000 billion VND and profit of 490 billion VND, representing a rise of 22% and 38% respectively, with plans for double-digit growth across all business segments.
The meeting also approved other important matters, including a cash dividend of 5% (500 VND per share) and a stock dividend of 30% (ratio 100:30). The implementation is expected within 2024. Additionally, an employee stock option plan (ESOP) was proposed, with 2 million shares to be issued at a price of 10,000 VND per share. The company’s headquarters address change was also presented.
The company announced its first-quarter 2024 financial results, showing revenue growth of 26% to 4,985 billion VND and a 16% increase in after-tax profit to 92 billion VND, exceeding initial targets by 8.4%. Digiworld’s management expressed optimism that the double-digit growth and achievement of plan targets indicate market recovery, providing a foundation for success in fulfilling its 2024 business objectives.
Furthermore, Digiworld has acquired 100% ownership of B2X Vietnam, a renowned customer care provider based in Munich, Germany. This move strengthens Digiworld’s after-sales capabilities through integration with B2X’s service offerings, including technical solutions for mobile devices, electronics, home appliances, and home service platforms. B2X has a nationwide presence with 18 service centers, partnering with major brands like Samsung, Xiaomi, Acer, and retail chains.
Digiworld’s 2024 development strategy, “Level Up,” aims to reach a new milestone in business performance, propelling the company towards its goal of becoming a billion-dollar enterprise. The strategy focuses on three core pillars: infrastructure, human capital, and opportunities. Investments in modern offices, training programs, and employee well-being initiatives will continue.
In addition, Digiworld is enhancing its systems through the implementation of ERP S4/HANA, standardization, and digitization, creating a foundation for future brand and segment expansion. With the introduction of new products from Xiaomi, HP Polycom, Mitsuei, and Younger Farm in 2024, Digiworld expects its established MES platform to facilitate rapid market penetration and deliver positive results for the company and its partners, fulfilling commitments and providing returns to shareholders.
