In the recently published annual report of Hoa Phat Group (code: HPG) , Chairman of the Board Tran Dinh Long shared that HPG is strongly oriented towards the production of high-quality steel products to replace imports. Hoa Phat is confident in its capability to produce rail steel, steel for train wheel axles, and high-speed trains as per the Government’s orders, as well as high-quality steel for key national projects and exports.
To achieve this, Hoa Phat is focusing all its resources on completing the Hoa Phat Dung Quat 2 Integrated Steel Complex project by 2025, setting the foundation for a double-digit growth target in the following years.
The Group aims to develop technically advanced products and optimize the value of its integrated production chain. Upon the completion of the Hoa Phat Dung Quat 2 project, the Group’s steel production capacity will reach 15 million tons per year.
Mr. Long also stated that Hoa Phat’s strategy emphasizes investing in and providing high-quality products, closely monitoring market dynamics, and optimizing costs at every stage.
In 2024, Hoa Phat Group achieved remarkable results with revenue surpassing VND 140,000 billion and net profit reaching over VND 12,000 billion, marking a respective increase of 17% and 77% compared to 2023. The Steel sector (including iron and steel products) remained the dominant and core business, contributing 93% and 86% to the company’s total revenue and net profit, respectively.
Additionally, the Agriculture sector witnessed a remarkable growth spurt, with profits surging 4.6 times compared to 2023. Exports played a significant role, accounting for 31% of the company’s total revenue. Hoa Phat’s export volume of steel billets, construction steel, high-quality steel, and HRC reached 2.63 million tons.
Hoa Phat’s export market is diverse, spanning over 40 countries and territories, including Southeast Asian countries, Japan, South Korea, the USA, Canada, and European nations. Export activities not only help diversify the Group’s consumer markets but also contribute to foreign currency earnings and Vietnam’s trade balance.
In 2024, Hoa Phat Group made significant contributions to the country’s socio-economic development. The total tax contribution for the year reached nearly VND 13,500 billion, the highest in the Group’s 32-year history and a 48% increase compared to 2023.
“The Group is committed to maintaining an annual growth rate of no less than 15% during the period of 2025 – 2030, actively contributing to the development of the Vietnamese economy,” affirmed Mr. Tran Dinh Long.
In related news, on April 17, Hoa Phat will hold its Annual General Meeting of Shareholders for 2025, discussing several important agendas. This year’s meeting takes place amid a volatile global landscape, with the Vietnamese steel industry, including Hoa Phat, navigating through a maze of anti-dumping challenges.
Hoa Phat presents an ambitious business plan to its shareholders, targeting a revenue of VND 170,000 billion, a roughly 21% increase compared to the previous year, and the highest in the company’s history. The net profit goal is set at VND 15,000 billion, a nearly 25% increase compared to 2024.
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