Sonadezi Reports Robust Q1 Financials with Revenue Growth
Sonadezi has announced its consolidated financial statements for the first quarter of 2024, showcasing a 22% increase in net revenue to reach approximately 1.292 trillion VND compared to the same period last year. The company’s industrial park (IP) business has been a major contributor, generating over 390 billion VND in revenue, up by 57%. The water supply and port services operations also saw notable growth, bringing in 313 billion VND each, reflecting increases of 9% and 38%, respectively.
 Source: SNZ
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After deductions, the gross profit recorded close to 559 billion VND, representing a 40% growth. The gross profit margin also improved from 37% to 43%.
| SNZ Gross Profit Margin from Q1/2017 – Q1/2024 |
Meanwhile, financial revenue declined by 33% to approximately 24 billion VND. Total expenses increased by 9% to 153 billion VND. As a result, SNZ achieved a net profit of nearly 221 billion VND, marking a 55% increase compared to the corresponding period in 2023.
 Source: VietstockFinance
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At the company’s 2024 Annual General Meeting of Shareholders (AGM) held on April 16th, the production and business plan was approved. The plan outlines a total consolidated revenue of over 6.366 trillion VND, representing an increase of 10%, and a net profit of 1.370 trillion VND, indicating a slight decrease of 2% compared to the actual results in 2023. The company plans to distribute a dividend of 11% for this year.
Compared to the plan, Sonadezi achieved 21% of the total revenue target and 26% of the profit after tax target in the first quarter.
Over 2 Trillion VND Deposited in Banks
As of March 31st, 2024, SNZ‘s total assets exceeded 23.953 trillion VND, reflecting a 3% increase compared to the beginning of the year. Notably, cash and cash equivalents increased by 89% to 2.180 trillion VND, of which approximately 1.591 trillion VND was deposited in demand bank accounts and nearly 586 billion VND in fixed-term bank accounts with a maturity of not more than 3 months.
Inventory was recorded at close to 2.253 trillion VND, showcasing a 5% increase compared to the beginning of the year. It is primarily concentrated in ongoing production and business projects, such as the Chau Duc Industrial Park and Urban Area with over 1.484 trillion VND and the Huu Phuoc Residential Area with approximately 148 billion VND.
Capitalized construction costs remained relatively stable compared to the beginning of the year, standing at 4.320 trillion VND. The majority of these costs are related to land compensation and infrastructure investments in the Chau Duc Industrial Park with over 2.858 trillion VND, as well as the Tan Duc Industrial Park with over 460 billion VND.
Source: SNZ
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On the other side of the balance sheet, SNZ‘s total liabilities stand at approximately 13.059 trillion VND, showing no significant change compared to the beginning of the year. Of this amount, short- and long-term financial borrowings total nearly 4.986 trillion VND, representing a 4% increase and accounting for 38% of the company’s total debt.
New Chairman
On April 16th, the 2024 Annual General Meeting of Shareholders of Sonadezi approved the dismissal of Ms. Do Thi Thu Hang, who held the position of Chairwoman of the Board of Directors. In her place, Mr. Truong Dinh Hiep was elected to the position of Chairman of the Board of Directors and Deputy General Director of SNZ for the second term (2021-2026), effective from April 16th, 2024.
In addition to his role at Sonadezi, Mr. Hiep also holds various positions in other organizations, including Vice Chairman of the Board of Directors of Dong Nai Housing Trading JSC and Member of the Board of Directors of Sonadezi Giang Dien JSC (UPCoM: SZG).
 Mr. Truong Dinh Hiep, the new Chairman of the Board of Directors of Sonadezi. Photo: SNZ
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On the same day of April 16th, 2024, Acting Chairman of the Provincial People’s Committee Vo Tan Duc handed over the decision appointing Ms. Do Thi Thu Hang, who is a member of the Executive Committee of the Provincial Business Sector Party Committee, to the position of Chairwoman of the Board of Directors of Dofico (Dong Nai Food Industry Corporation).
