GELEX Group’s recently released report for the second quarter of 2024 revealed impressive results, with consolidated net revenue reaching 8,250 billion VND and consolidated pre-tax profits of 1,385 billion VND. These figures represent a 3.2% and 59.2% increase, respectively, compared to the same period last year.
The positive growth in net revenue can be attributed to the rebound in the electrical equipment sector. This segment achieved 5,222 billion VND in net revenue, marking a significant 42.2% increase from the previous year and the highest net revenue in the past eight quarters.
This success is a result of flexible sales strategies and effective inventory management during a period of fluctuating prices for raw materials. Notably, electrical equipment manufacturing units such as CADIVI, CFT, THIBIDI, and EMIC have enhanced their production capabilities, invested in machinery upgrades, improved efficiency, and continuously innovated new products to meet market demands.
GELEX’s electrical equipment manufacturing units focus on developing new products that prioritize safety and environmental friendliness.
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Meanwhile, the substantial increase in pre-tax profits can be attributed to GELEX’s completion of the transfer of three out of four renewable energy projects to its partner, Sembcorp, during the second quarter. This collaboration with Sembcorp, a leading renewable energy group from Singapore, maximizes synergies and mutual support for stronger growth in both the Vietnamese and international markets, paving the way for new opportunities in the future.
In the second quarter, the industrial and real estate sector generated 788 billion VND in net revenue, a 36.5% decrease from the previous quarter. This decline is mainly due to lower infrastructure leasing revenue in the industrial parks compared to the same period last year.
However, this sector is expected to show promising prospects in the coming period. Viglacera, a GELEX subsidiary, has received approval for investment projects in the Doc Da Trang Industrial Park (covering 288 hectares) and the Song Cong II Industrial Park (spanning 296 hectares). Earlier, the company also announced the Thuan Thanh Eco-Smart IP, a green and smart industrial park in the province of Bac Ninh.
GELEX’s other business segments, including infrastructure and utilities (comprising energy and clean water projects) and the building materials sector, remained stable. Notably, the building materials sector recorded 1,928 billion VND in net revenue, demonstrating a significant recovery from the beginning of the year, and is expected to further improve in the last two quarters.
According to the recently published financial statements, GELEX’s consolidated net revenue for the first six months of the year reached 14,910 billion VND, a 3.5% increase year-over-year, while consolidated pre-tax profits amounted to 1,770 billion VND, a remarkable 74.6% surge compared to the same period in 2023.
For the full year 2024, GELEX aims to achieve a consolidated net revenue of 32,303 billion VND and a consolidated pre-tax profit of 1,921 billion VND, representing increases of 7.7% and 37.5%, respectively, from the previous year. With these second-quarter results, GELEX has already accomplished 46.2% of its revenue target and 92.1% of its profit goal for the entire year.
As of the end of the second quarter, GELEX’s total assets as of June 30, 2024, stood at 52,442 billion VND, with cash and cash equivalents amounting to 4,322 billion VND. The company’s financial indicators and debt ratios have shown positive improvements.
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