Vingroup’s Recent Financial Strategies: A Closer Look
Vingroup, the conglomerate led by billionaire Pham Nhat Vuong, has demonstrated its continued support for its subsidiary, VinFast, through a recent board resolution. The resolution entails providing payment guarantees and utilizing Vingroup’s assets to secure VinFast’s privately issued corporate bonds, with a maximum face value of VND 5,000 billion in 2025. This move echoes last year’s decision, where Vingroup offered similar guarantees for VinFast’s 2024 bond issuance, capped at VND 6,500 billion.
In a separate development, on May 15, Vingroup issued 20,000 bonds with a face value of VND 100 million each, raising VND 2,000 billion. These bonds have a 24-month maturity, due in May 2027, and carry an interest rate of 12.5% per annum.
Over the last month, Vingroup has issued six bond series, raising a total of VND 15,000 billion. Notably, the VIC12502 series has a longer maturity of 38 months, due in June 2028, while the remaining bond series will mature in two years. Interest rates for these issuances hover around 12-12.5% per annum.
Financial Insights: Debt, Revenue, and Profitability
According to Vingroup’s Q1 financial report, its total financial debt stands at VND 248,000 billion, exceeding its equity by 1.6 times. Of this debt, bond liabilities amount to VND 75,336 billion. In the first quarter, Vingroup incurred interest expenses of VND 5,579 billion, equivalent to approximately VND 62 billion per day.
In terms of Q1 performance, Vingroup’s consolidated net revenue reached VND 84,053 billion, reflecting a remarkable 287% year-on-year growth. This surge is attributed to the robust growth in its industrial manufacturing and real estate development and investment sectors. Consolidated after-tax profit amounted to VND 2,243 billion, marking a 68% increase compared to the previous year.
For 2025, Vingroup has set ambitious targets, aiming for VND 300,000 billion in net revenue and VND 10,000 billion in after-tax profit. With the strong Q1 results, the conglomerate has already achieved 28% of its revenue target and 22.43% of its profit goal for the year.
On the stock market, Vingroup’s shares (VIC) have been on a strong upward trajectory, trading near their highest level in over three years. Since the beginning of the year, the stock has surged by approximately 140%, pushing the company’s market capitalization beyond VND 370,000 billion, second only to Vietcombank.
Figure 1: Vingroup’s Share Price Performance (Source: CafeF)
Market Beat: Stocks End Higher, Energy Sector Soars
The market ended the session on a positive note, with the VN-Index climbing 2.06 points (+0.15%) to reach 1,341.87, while the HNX-Index gained 1.77 points (+0.8%), closing at 223.56. The market breadth tilted in favor of gainers, with 388 advancing stocks against 360 declining ones. However, the large-cap VN30 index painted a mixed picture, as 15 stocks declined, 10 advanced, and 5 remained unchanged.
“Entrepreneur Pham Nhat Minh Hoang’s Company Expands with a New Venture: Wedding Car Rental Services Starting at VND 1.26 Million”
“Green Future, owned by entrepreneur Pham Nhat Minh Hoang, offers a unique and eco-friendly twist to the traditional wedding car rental service. With a passion for sustainability and a desire to reduce carbon emissions, Green Future presents three exclusive packages for couples to choose from.
The first package, ‘Eco-Chic’, offers a selection of hybrid and electric vehicles, providing a quiet and environmentally conscious entrance for the bride. The second package, ‘Nature’s Luxe’, includes a range of luxury cars with low emissions and stylish, nature-inspired designs. Lastly, the ‘Green Grandeur’ package presents an opportunity for a truly grand entrance with a choice of classic, vintage cars, each meticulously restored with eco-friendly materials and fuel-efficient engines.”
High-Speed North-South Rail Project: Why is VinSpeed Willing to Take a Loss?
VinSpeed has proposed the development of a high-speed rail network connecting the North and South of the country, with a bold promise to expedite construction and accept the risk of financial losses to achieve a historic feat in Vietnam’s infrastructure landscape.
The Ultimate Guide to Refinancing: Strategies for Lowering Your Interest Payments and Boosting Your Business’s Bottom Line.
In the remaining eight months of 2025, the non-banking group is expected to face approximately VND 45.6 trillion in maturing bond interest payments. Notably, the real estate sector accounts for over half (53%) of the group’s maturing value.
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“Did you know that this magnificent structure boasts fire-resistant and highly efficient insulating materials? A hidden gem of innovation, this building’s construction utilizes state-of-the-art materials that offer superior protection against the elements.”
