According to the consolidated financial report of the first quarter of 2024, Truong Thanh Wooden Industry Group Joint Stock Company (stock code: TTF) recorded a slight decrease of 2% in net revenue compared to the same period last year, at VND 323 billion, and financial revenue decreased by 30%, reaching nearly VND 7 billion.
Meanwhile, selling expenses increased by nearly 11% to VND 37 billion. However, it is worth noting that Truong Thanh Wood’s financial expenses in the first quarter were refunded in a large amount of VND 24 billion.
As a result, the company’s after-tax profit increased to VND 11.6 billion, 6.3 times higher than the same period last year, marking the second consecutive profitable quarter.
Explaining the sharp increase in profit in the first quarter of 2024, Truong Thanh Wood’s management said that it was due to the Vietnam Development Bank (VDB) – Buon Ma Thuot branch – announcing the cancellation of debt for interest arising from unpaid late payment interest. Therefore, financial expenses in the quarter were reversed.
TTF stock price movement in the past three months. Currently at VND 3,910/share Source: Fireant
As of March 31, 2024, Truong Thanh Wood’s total financial debt was VND 390 billion, a decrease of VND 12 billion compared to the beginning of the year. Of which, short-term loans accounted for nearly 98% (VND 386 billion), the rest being long-term loans.
At the end of the first quarter, the company’s cash and cash equivalents decreased by VND 46 billion compared to the beginning of the year, mainly due to the fact that the bank deposit within 3 months had “evaporated” by VND 44 billion, down to VND 47 billion.
At the recent general meeting of shareholders, Truong Thanh Wood said that it would continue to change the company name to TTF Joint Stock Company.
In addition, the company has submitted a proposal to the general meeting to cancel the plan to offer 41.12 million private shares approved in 2022.
According to the management, the reason for the cancellation is because after working with the management agencies, based on the assessment of the unfavorable market situation, affecting the offering and the interests of shareholders, as well as reassessing the plan to use capital, and the business plan.
In the market, TTF shares are still under warning. In the past three months, this stock has had a phase of increasing to the highest level since the beginning of the year at VND 4,960/share in the session on March 5.
However, in the following sessions, this stock has continuously adjusted down and is currently only fluctuating in the price range of VND 3,800 – 3,900/share. Compared to the beginning of 2024, TTF shares have decreased by 8%.
