PVC Resin Prices Hit 8-Year Low. Source: tradingeconomics.com
|
According to the consolidated financial statements, NTP recorded VND 1,269 billion in revenue in the first quarter of 2025, a 34% increase year-on-year. The gross profit margin remained above 28% despite a slight decrease compared to the first quarter of 2024.
According to NTP, the positive results were attributed not only to the decrease in raw material prices and the increase in sales revenue, but also to the Company’s effective utilization of its cash and cash equivalents to enhance income. Financial revenue reached VND 36.5 billion, a 2.3-fold increase. Profit from joint ventures and associates also increased significantly, contributing considerably to the final profit.
As of the end of the first quarter of 2025, NTP‘s total assets decreased by approximately VND 400 billion from the beginning of the year to over VND 6,000 billion, with 40% of this amount in bank deposits. Payable debts stood at nearly VND 2,400 billion, with a significant reduction in short-term advance payments from customers, from VND 669 billion to over VND 100 billion.
| NTP’s quarterly net profit remains at a high level |
2025 Profit Expected to Decline After Record Year
According to the 2024 Annual Report, NTP set a revenue target of VND 6 trillion for 2025, a 6% increase from the previous year and an all-time high. The planned sales volume is 117,500 tons, an increase of 8.5%.
However, the Company remains cautious, setting a pre-tax profit target of VND 690 billion, a 22% decrease from the record high in 2024. After the first quarter, NTP achieved 21% of its annual revenue target and 37% of its profit target.
| NTP expects to set a new revenue milestone with VND 6 trillion in 2025 |
Justifying the new revenue target, the report states that the Vietnamese plastics industry is undergoing a significant transformation due to urbanization and sustainable development policies. According to Mordor Intelligence, the domestic plastics industry is expected to grow from 11.8 million tons in 2025 to 17.7 million tons by 2030, equivalent to a compound annual growth rate of 8.4%. Plastics products for construction, infrastructure, and consumer goods will continue to play a dominant role, given that the urbanization rate is projected to exceed 51% by 2040.
Additionally, PVC resin prices are forecast to remain low in 2025 due to the slow recovery of the Chinese real estate market. This presents a positive outlook for the profit margins of construction plastics companies, including NTP.
In the long term, NTP aims to achieve VND 12.6 trillion in revenue by 2030 and up to VND 23.4 trillion by 2035, equivalent to a double-digit compound annual growth rate. To realize these ambitions, the Company will focus on construction plastics, engineering plastics, and expanding its export market.
The Company is scheduled to hold its 2025 Annual General Meeting of Shareholders on May 19, 2025, at its headquarters in Hai Phong.
 Source: NTP’s 2024 Annual Report
|
– 13:23 05/03/2025
Q3: Building and Domestic Plastics Both Flourish
The contrasting trend in PE, PP, and PVC resin prices over the past year has resulted in divergent outcomes for businesses in the plastics industry in Q3 2024. While the construction and household plastics sectors flourished, the packaging group lagged.
