Vingroup gains an after-tax profit of $44.4 million in first quarter

Accordingly, its consolidated net revenue in the first quarter of 2018 reached VND29,123 billion ($1,28 billion), up 84.4 per cent year on year.

In the first three months of 2018, the group’s pre-tax profit was estimated at over VND2.53 trillion ($111 million) and after-tax profit at nearly VND1.01 trillion ($44.4 million), up 103.7 percent and 70.1 percent respectively compared to the same period of 2017.

Revenue from real estate transfer in the first quarter of 2018 reached VND20,354 billion ($895 million), nearly doubling that of the first quarter of 2017, mainly from large projects as Vinhomes Golden River, Vinhomes Central Park, and Vinhomes Green Bay.

Retail revenue was VND4,132 billion ($181 million), up VND1,765 billion ($77,6 million) or 74.6 per cent year on year. Revenue from resort, recreation and entertainment services reached VND1,886 billion ($82,9 million), an increase of 53.7 per cent compared to the same period of the previous year.

Revenue from other sectors (real estate for lease, education and healthcare) increased from 22.1 per cent to 68.2 per cent.

According to the financial statement, total assets of Vingroup reached VND223,850 billion ($9,85 billion), equity reached VND59,256 billion ($2,6 billion), up 4.7 per cent and 12.7 per cent respectively compared with the end of 2017.

In the first quarter, VinFast, a member of Vingroup, entered many cooperation agreements with big corporations in the automobile industry such as Pininfarina, BMW, Magna Steyr, AVL, Durr AG, Schuler AG, and Eisenmann and expected to launch its first products by the end of 2019.

At the same time, Vingroup established a Training Centre for Mechatronics and Mechanical Engineering, which is expected to officially come into operation in this August. Graduates will receive a vocational certificate of German standards and get the opportunity to work at VinFast’s automobile and electric motorcycle plant as well as nearly 50,000 German companies around the world.

In March 2018, Vingroup officially announced its plan to join in the field of higher education by establishing VinUni University (VinUni) and signed a strategic cooperation agreement with leading universities in the world such as Cornell University and the University of Pennsylvania.

Recently Vingroup has established Vinfa Joint Stock Company in the pharmaceutical business, along with an investment to build Vinfa Drug Research and Production Centre in Gia Binh district, Bac Ninh province.

With a total investment of VND2.2 trillion ($97.7 million), the project’s first phase will be built in an area of nearly 10ha following international standards, including research, production, logistics and support works.

Vingroup said that the entire production process at Vinfa will be equipped with the latest and advanced technologies to optimise the efficiency and quality of pharmaceutical products.

The objective of the Vinfa Drug Research and Production Centre is to produce and sell good-quality Oriental and Western medicines to serve the domestic and export markets.