Ho Chi Minh City Publishing House Joint Stock Company (Fahasa, stock code FHS) has released its consolidated financial statements for Q2 2024, reporting revenue of VND 1,114 billion, a slight decrease compared to the same period in 2023. This equates to a daily revenue of VND 10 billion for the company.
After deducting cost of goods sold, the company recorded a gross profit of VND 263 billion, resulting in a gross profit margin of 24%. This is a relatively favorable margin for a book retailer and publisher like Fahasa. It is worth noting that Fahasa is one of the few book retailers that focuses on publishing textbooks. Many other companies are not interested in this line of business as it is often unprofitable.
“In the textbook business, enterprises have to bear significant costs and inventory pressure, while only earning a discount of 8-10% on publishing. Moreover, enterprises need to keep up with information on which localities use which textbooks to coordinate the supply of books accordingly to meet the demands of customers in different areas. Nevertheless, we continue to do so to serve the needs of our customers,” a representative of the bookstore shared recently.
For Fahasa, textbook publishing is considered one of the factors that stimulate customers to purchase more stationery, generating revenue for the bookstores.
Returning to the Q2 financial statements, the company significantly reduced expenses during the period, resulting in a net profit of over VND 7 billion, equivalent to the same period last year.
In the first six months of the year, Fahasa achieved a revenue of VND 1,829 billion and a profit of VND 22.5 billion, a slight increase compared to the first half of last year. Compared to the 2024 revenue plan of VND 4,000 billion, the company has achieved 46% of the target in the first six months.
In 2024, Fahasa forecasts continued challenges in the market but intends to invest in opening new bookstores. So far this year, the company has inaugurated more than seven new bookstores, including Fahasa Cai Be, Fahasa Dong Sai Gon, Fahasa Tran Duy Hung, Fahasa Song Tra, Fahasa Pham Van Dong, Fahasa Hong Bang, Fahasa Hung Vuong, and Fahasa Ba Thang Hai.
Figure: Fahasa’s Consolidated Financial Statements for Q2 2024
As of June 30, 2024, the company’s total assets amounted to VND 1,724 billion, a 21% increase compared to the beginning of the year. The company currently holds VND 58 billion in cash and VND 420 billion in deposits. Owners’ equity stands at VND 194.5 billion.
