Nam Song Hau Oil and Gas (PSH) Records a Loss of Over VND 29 Billion (Approx. USD 1.25 million) in Q1/2024
Nam Song Hau Oil and Gas (PSH) reported a loss of over VND 29 billion (approx. USD 1.25 million) in Q1/2024. Illustrative photo.
Hanoi, Vietnam – Nam Song Hau Oil and Gas Trading and Investment Joint Stock Company (MCK: PSH) has announced its financial report for Q1/2024, revealing lackluster business performance.
For the first quarter of 2024, PSH’s net revenue reached VND 475.6 billion (approx. USD 20.5 million), an 87.6% decline compared to the same period last year. Gross profit fell by 94% to VND 22 billion (approx. USD 950,000).
PSH’s financial revenue increased from VND 870 million (approx. USD 37,500) to VND 5.7 billion (approx. USD 245,000) during the quarter. Notably, PSH’s expenses were reduced, with financial expenses decreasing by 86.7% to VND 13.6 billion (approx. USD 587,000) due to a significant drop in interest expenses. Sales expenses fell by 37.4% to VND 13.6 billion (approx. USD 587,000), and management expenses decreased by 10.5% to VND 10.2 billion (approx. USD 440,000).
Consequently, PSH reported a net loss of VND 29.3 billion (approx. USD 1.26 million), compared to a profit of VND 198.8 billion (approx. USD 8.5 million) in the same period last year.
As of the end of March 2024, PSH’s total assets were valued at VND 11,079 billion (approx. USD 477 million), a decrease of VND 87 billion (approx. USD 3.75 million) compared to the beginning of the year. A significant portion (42.3%) of PSH’s assets is held in inventory, which recorded an increase of VND 36 billion (approx. USD 1.55 million) to VND 4,690.3 billion (approx. USD 202 million). Trade receivables from customers decreased by nearly VND 56 billion (approx. USD 2.4 million) to VND 1,017.8 billion (approx. USD 43.7 million). PSH’s major debtors include Long An Lubricating Oil Production Joint Stock Company (VND 378.88 billion or approx. USD 16.3 million), Gò Công NSH Petroleum Foreign Port and Trading Joint Stock Company (VND 166.9 billion or approx. USD 7.2 million), and Cho Gao Trading Joint Stock Company (VND 120.3 billion or approx. USD 5.2 million).
PSH’s total liabilities increased by VND 116.5 billion (approx. USD 5 million) to VND 9,517 billion (approx. USD 408 million) as of Q1/2024. The company owes VND 1,268.4 billion (approx. USD 54.6 million) in taxes and other payments to the government. PSH’s financial debt stands at VND 6,716.4 billion (approx. USD 289 million), with BIDV Bank being the largest creditor with an outstanding loan balance of nearly VND 4,270 billion (approx. USD 184 million). Additionally, PSH has outstanding bonds worth VND 756.8 billion (approx. USD 32.5 million).
Regarding the bonds, on April 12, PSH notified the Hanoi Stock Exchange (HNX) of a delay in paying interest on the PSHH2224003 bond series. PSH had to pay approximately VND 9.7 billion (approx. USD 417,000) in interest on this bond series on April 7. However, due to an inability to balance its financial resources, the company requested a one-month extension, extending the payment deadline to May 7, 2024.
PSH had previously extended the interest payment deadline for this bond series from March 7 to April 7. However, the company is still unable to arrange funds to make the payment.
The PSHH2224003 bond series has a face value of VND 400 billion (approx. USD 17.2 million) and was issued by PSH in June 2022. It is scheduled to mature in June 2024. Bondholders receive interest payments every three months at an issuance rate of 10% per annum.
On March 14, PSH also announced an extension of the interest payment deadline for the PSHH2224002 bond series from March 14 to March 29 due to insufficient funds to make the payment. The maturity date for this bond series is April 4, 2024.
