At the conference, Chairman of the Board of Directors Le Dinh Thang revealed that 2023 will be an extremely tough year for enterprises in the construction and real estate business sectors.
The real estate market is in recession, many investors are losing their solvency, leading to contractors facing risks in capital recovery. Despite the government having many stimulus measures such as reducing interest rates, promoting public investment…enterprises are still facing difficulties in accessing capital sources and employment, inventory continues to increase.
Mr. Le Dinh Thang – Chairman of the Board of Directors of DIC Holdings
Operating in both of the above-mentioned fields, DIC Holdings has also been greatly affected. Thanks to the right direction and flexibly applying reasonable measures in production and business activities, the Company has overcome difficulties and completed its production and business tasks in 2023.
Specifically, the consolidated output value in 2023 reached VND 756.3 billion, equal to 107% of the plan. Total consolidated revenue reached VND 581.7 billion, equal to 114% of the plan. Consolidated profit after tax reached VND 107.1 billion, or 4.461% of the plan. Declared a 10% stock dividend.
Assessing 2024, DIC Holdings’ management believes that there will still be many difficulties and uncertainties due to the impact of the war and the real estate market has not recovered, making it difficult for enterprises to access credit capital sources.
However, the General Meeting of Shareholders has approved the Production and Business Plan with a planned consolidated output value in 2024 of VND 886 billion, an increase of 17% compared to 2023. Total consolidated revenue was VND 832 billion, an increase of 43% compared to 2023. Consolidated profit after tax is VND 110 billion, an increase of 3% compared to 2023. Planned dividend payment of 10%.
“However, we estimate that we can achieve revenue of over VND 1,000 billion and profit after tax that is relatively high compared to other enterprises in the industry this year,” said the Company’s management.
In order to fulfill its growth mission in a difficult context, the Company has set out specific solutions.
Regarding construction and installation, the parent company continues to expand its search for sources of work for 2024, in which it will actively participate in bidding and contracting key projects from the public investment capital of Ba Ria – Vung Tau province with large values, investors with abundant financial resources and prestige. The company will continue to accelerate the progress of completing the projects under construction for handover to investors such as “Double Tree by Hilton Vung Tau 5-star hotel complex” with a value of over VND 400 billion, to be handed over at the end of June 2024; Basically completing the A2-1 apartment building in December 2024; Focusing on implementing the Ao Ca Park Phase 2 project immediately after the investor hands over the site; Continue to develop the rough construction of residential areas at the Go Cat project as planned.
DC4 said it will continue to participate in bidding for contracting of project items of PTSC investor, which is an investor with a large source of work and strong finances that the company has effectively participated in the construction of 2 factory packages in the previous year.
In addition to focusing on traditional civil works, the company continues to orient its search to participate in the construction of industrial factory projects to anticipate the development of industrial real estate when the investment wave is shifting to Ba Ria – Vung Tau.
In terms of investment and real estate trading, DIC Holdings promotes marketing and sales at the Vung Tau Center Point project, striving to cumulatively sell at least 70% of the project’s apartments by the end of 2024.
The company will carry out the procedures to apply for an investment policy for the 25-storey high-end apartment building project on 2/9 Street, Ward 11, Vung Tau City; Continue to follow and complete the investment procedures for the Ha Long Project and other projects of the Company that are being pursued. Continue to work with customers to transfer unfinished houses and grant ownership to customers at the Go Cat Residential Area project – Ba Ria City.
In addition, it will search for clean land funds in potential locations and M&A projects with full legal capacity to expand investment in residential real estate projects, study investment in industrial real estate projects to create stable long-term revenue, taking advantage of the advantages of the region with existing port infrastructure, developing industrial parks.
To supplement capital sources for production and business and investment, in 2024 the Company plans to issue shares to increase charter capital from VND 525 billion to VND 866 billion, including issuing bonus shares for 2023 dividend payment of 10% and issuing shares for existing shareholders in the ratio of 2:1.
The General Meeting of Shareholders approved the dismissal of the member of the Board of Directors, Ms. Le Thu Trang (with a resignation letter) and elected Ms. Tran Thi Thu as a member of the Board of Directors for the 2023-2028 term.
