Dee Ca Tunnel Joint Stock Company (HHV) has released its consolidated financial report for Q1 2024, revealing a 28% year-on-year surge in net revenue to VND 690 billion.
The majority of HHV’s revenue stemmed from BOT toll stations, amounting to nearly VND 477 billion, along with construction revenue surpassing VND 196 billion, marking respective increases of 23% and 43%. The construction revenue primarily originated from the Cam Lam – Vinh Hao and Quang Ngai – Hoai Nhon highway project packages.
After accounting for operating expenses, HHV posted a net profit of VND 96 billion, up 32% from the previous year.
For the full year 2024, HHV targets net revenue of over VND 3,146 billion and net profit of more than VND 404 billion, representing respective growth rates of 17% and 11% compared to 2023. As of Q1 2024, the company has accomplished 22% and 28% of its revenue and net profit targets, respectively.
As of March 31, 2024, HHV boasted total assets of over VND 37,660 billion, a slight increase of 2% from the beginning of the year. The capital structure predominantly comprised long-term assets exceeding VND 36,156 billion, accounting for 96%, and short-term assets of nearly VND 1,504 billion.
With 2024 marking the fourth year of implementing the State Budget Investment Plan for the 2021-2025 period, featuring a total investment budget of VND 657,000 billion, a 12% rise from 2023, HHV, along with other transportation infrastructure investment enterprises, is poised to reap benefits from this wave.
As per plans, HHV is set to invest in nearly 400km of highways by 2025, taking the lead in projects such as Dong Dang – Tra Linh (Cao Bang), Huu Nghi – Chi Lang (Lang Son), and proposing ventures like Tan Phu – Bao Loc (Lam Dong), Ho Chi Minh City – Chon Thanh (Binh Phuoc), Ring Road 4 in Binh Duong province, and Ho Chi Minh City – Trung Luong – My Thuan Expressway (phase 2), with a combined investment of nearly VND 100,000 billion.
Among these, the Dong Dang – Tra Linh highway, with a total investment of over VND 14,300 billion, commenced construction on January 1, 2024, while the Huu Nghi – Chi Lang highway, carrying an investment of VND 11,024 billion, was recently inaugurated in late April.
Assoc. Prof. Dr. Dinh Trong Thinh appraised the substantial prospects for developing transportation infrastructure, encompassing roads, railways, waterways, and aviation, in the upcoming period.
According to Dr. Thinh, the government is employing diverse strategies to attract PPP investment in transportation infrastructure. Moreover, the favorable backdrop of public investment, coupled with policies to bolster the disbursement of capital, has unveiled a plethora of opportunities for enterprises operating in this domain.
Notably, for enterprises that stay abreast of development trends, fortify their resources, embrace modern technologies and techniques, and adeptly manage and forge connections to meet the escalating demands of transportation infrastructure products, this phase presents a window to harness abundant resources and catalyze exceptional growth.
“It is worth mentioning that amidst the stagnation in numerous investment sectors due to the economy’s pervasive challenges and the sluggish credit growth, PPP projects, offering higher returns than bank interest rates and stable revenue streams from toll operations, emerge as lucrative opportunities for investors, investment funds, and banks to plunge into and reap substantial profits,” asserted Assoc. Prof. Dr. Dinh Trong Thinh.
