Khang Dien House (KDH) reports a 68% decrease in its first-quarter 2024 profit compared to the same period the previous year. Illustration photo.
Khang Dien House Investment and Trading Corporation (MCK: KDH) has just announced its consolidated financial report for the first quarter of 2024 with net revenue reaching 334 billion VND, a 21% decrease compared to the same period. Revenue from real estate transfer still accounts for the highest proportion with over 318 billion VND. Notably, in the context of declining revenue, KDH’s cost of goods sold increased sharply (increased by 71%), in which the cost of goods sold for real estate transfer activities was nearly double that of the same period, with over 149 billion VND. As a result, KDH’s gross profit decreased by 48%, to over 174 billion VND.
During the period, KDH recorded financial revenue of over 12 billion VND, a slight decrease compared to the same period last year. While sales and management expenses decreased by 9% and 20% respectively, financial expenses recorded more than 21 billion VND, compared to only over 1 billion VND in the same period. The entire financial expense is a payment discount, no interest expense was recorded during the period.
As a result, KDH reported a net profit of only over 63 billion VND in the first quarter of 2024, a decrease of 68% compared to the same period.
On the balance sheet, KDH’s total assets as of March 31, 2024 were over 27,237.8 billion VND, an increase of 757 billion VND compared to the beginning of the year. Of which, the item with the largest proportion is inventory, which increased by 9% to 20,490.8 billion VND, mainly due to the increase in the value of construction in progress of the Binh Hung 11A residential area project from 610 billion VND to over billion VND. In contrast, cash, cash equivalents and short-term financial investments decreased by 32%, to nearly 2,544 billion VND.
On the capital side, the company’s liabilities increased by 6%, to nearly 11,651.6 billion VND. Of which, financial debt increased by 21%, to 7,674.3 billion VND.
KDH’s owner’s equity at the end of March 2024 reached 15,586.3 billion VND, including 3,829.9 billion VND of retained earnings after tax.
