Vingroup Reports Q1 2024 Financial Results
Vingroup Joint Stock Company has released its financial report for the first quarter of 2024, with consolidated net revenue reaching 21,739 billion VND. This represents a 44% decrease compared to the same period last year. Revenue from manufacturing operations surpassed real estate revenue for another consecutive quarter.
Financial revenue surged to 18,941 billion VND, an 88% year-over-year increase, primarily driven by gains from the disposal of financial investments and the transfer of a subsidiary, amounting to 17,690 billion VND. Vingroup’s consolidated after-tax profit for the first quarter reached 1,335 billion VND, reflecting a 126% increase from the previous year.
As of March 31, 2024, Vingroup’s total assets stood at 693,949 billion VND, representing a modest 3.9% increase compared to December 31, 2023.
Technology and Industry
VinFast maintained its growth trajectory with the launch of its brand in Indonesia and Thailand, establishing a presence in the Middle East, commencing construction of a manufacturing plant in India, and expanding its international sales network in the first quarter of 2024.
The company also signed distribution agreements with 10 new dealerships, bringing the total number of dealer partners to 16 across 7 states in the US, including North Carolina, New York, Texas, Florida, Kansas, Connecticut, and Kentucky. The new dealerships will commence operations from the second quarter.
During the quarter, VinFast delivered a total of 9,689 electric vehicles, a 444% increase compared to the same period in 2023. The domestic market remained the predominant contributor to sales in the first quarter. Simultaneously, VinFast experienced encouraging growth in the US market, with several new dealerships beginning to record sales.
Amidst macroeconomic uncertainties, VinFast has set clear targets and maintained its goal of delivering 100,000 electric vehicles in 2024. The majority of sales are expected to be recorded in the second half of the year, supported by its rapidly expanding retail network, new vehicle models catering to a wider customer base, and entry into new markets.
Furthermore, VinAI introduced InteriorSense and SurroundSense, two advanced technological solutions for next-generation intelligent vehicles, at the CAEV Technology Exhibition. VinBrain won the Gold Award for Innovative Solution at the ASEAN Digital Awards 2024 for its DrAid™ solution for the diagnosis and treatment of Liver Cancer. The company also represented Vietnam in presenting this solution at the Asia-Pacific’s largest Hepatobiliary Conference, APASL 2024, held in Kyoto, Japan.
Commerce and Services
In the first quarter of 2024, Vinhomes officially launched the Royal Island City project, an 877-hectare development located on Vu Yen Island in Hai Phong. This project has generated significant momentum for the real estate market in northern Vietnam and the country as a whole. Featuring a wide range of premium amenities and services within a single urban complex, the project was well-received by the market, with nearly 2,000 customers expressing purchase interest within a month of its launch.
In March, The Canopy, an apartment building within the Vinhomes Smart City project, a collaboration between Vinhomes and an international partner, achieved a complete absorption rate upon the launch of its first unit, becoming the焦点of the real estate market in the west of the capital.
In addition to achieving impressive sales results, Vinhomes has also emerged as a pioneering investor in service quality, investing in amenities to enhance value for customers and residents. In early January 2024, the chain of events celebrating the Lunar New Year at the Center Point shopping and service complex in Vinhomes Ocean Park 2 and the 3km-long New Year’s festival at Ocean City attracted millions of customers and residents.
Tourism and Recreation
Vinpearl’s operations continued to recover with a series of notable events during the Lunar New Year and Valentine’s Day. Vinpearl also opened the Vinpearl Harbour shopping district in Nha Trang, featuring 300 stalls and a range of entertainment activities and mini-shows. The district attracted over 25,000 visitors daily during the Lunar New Year holiday. Total hotel room nights sold in the first quarter reached nearly 452,000, a 34% increase year-over-year. VinWonders and Vinpearl Golf also experienced revenue growth of 55% and 28%, respectively, compared to the same period last year, further contributing to the recovery momentum.
Retail Real Estate
In the first quarter, Vincom Retail recorded positive growth compared to the same period last year, with consolidated total revenue rising by 16% and consolidated after-tax profit increasing by 6%. This growth was primarily driven by timely property handovers in Quang Tri and stable performance in shopping mall operations.
At Vingroup’s recent Annual General Meeting of Shareholders 2024, the company’s business plan for 2024 was approved, targeting net revenue and after-tax profit of 200,000 billion VND and 4,500 billion VND, respectively. With the positive signs of macroeconomic recovery under the government’s decisive leadership and the strong growth potential of Vingroup’s core business segments, the company anticipates favorable business performance in the coming quarters.
