Business

One third of Samsung's revenue comes from Vietnam

By Tran Dung March 12, 2018 | 08:14 AM GMT+7

In 2017, four of Samsung's companies in Vietnam generated sales of more than US$61 billion which is equivalent to 30 per cent of Samsung's sales globally, which makes Vietnam still become an important manufacturing hub of this company.

South Korea's Samsung just announced its 2017 financial report. It showed that this company continued to achieve impressive growth in Vietnam because both its revenue and profit increased roughly 50 per cent.

Specifically, four Samsung’s companies in Vietnam including Samsung Electronics Vietnam in Bac Ninh and Thai Nguyen provinces (SEV), Samsung Display Vietnam (SDV) and Samsung Electronics HCMC CE Complex (SEHC) generated US$61.7 billion in revenue and US$5.8 billion in net profit.

In fiscal year 2017, total revenue and net profit of the entire Samsung Group was estimated at US$211 billion and US$37.3 billion respectively. That means Samsung's revenue in Vietnam accounts for 30 per cent of its global revenue but profit from Vietnam’s factories was only equivalent to 16 per cent.

This is due to the fact that Samsung's main business in Vietnam is assembly plants located in Bac Ninh and Thai Nguyen province which have a large production scale but very thin margin.

Thai Nguyen continues to become a key center of Samsung's investment strategy. This group has initially invested US$3 billion in Thai Nguyen to receive incentives such as tax exemption for the first four years and 50 per cent reduction for the next nine years.

In Vietnam, Samsung has committed to invest more than US$17.3 billion including US$6.5 billion for Samsung Display and US$9.5 billion for SEV. 

Cen Land transforms into real estate developer with bold goals

Cen Land transforms into real estate developer with bold goals

Business -  1 day

Cen Land is shifting from brokerage to development, targeting a 170% revenue increase and 424% profit growth in 2025.

Menas signs to elevate lifestyle experiences at Keppel’s properties in Vietnam

Menas signs to elevate lifestyle experiences at Keppel’s properties in Vietnam

Business -  3 week

Menas Group has entered a strategic partnership with Keppel to co-develop an integrated ecosystem of lifestyle services across Keppel’s real estate projects in Vietnam, beginning with the landmark Celesta City development in Saigon South.

Phuc Sinh secures $15 million investment from Dutch investor for sustainable expansion

Phuc Sinh secures $15 million investment from Dutch investor for sustainable expansion

Business -  3 week

Phuc Sinh’s expansion underscores Vietnam’s growing role in sustainable agriculture and its increasing appeal to global investors

PVI Asset Management and SonKim Capital partner to revolutionize real estate investments

PVI Asset Management and SonKim Capital partner to revolutionize real estate investments

Business -  1 month

PVI Asset Management (PVI AM) and SonKim Capital (SK Capital), a business unit of SonKim Group has announced a strategic collaboration to develop innovative real estate investment products tailored for institutional investors and high-net-worth individuals.

Filum AI secures $1 million amidst funding winter

Filum AI secures $1 million amidst funding winter

Business -  1 month

Filum AI has successfully raised $1 million in funding despite a challenging venture capital market, underscoring the potential of AI and shifting investment strategies.

New decree eliminates barriers and enhances access to financing for enterprises

New decree eliminates barriers and enhances access to financing for enterprises

Business -  1 month

Enterprises are advised to promptly assess and evaluate the impact of the changes in the newly-issued to ensure timely compliance in the upcoming tax finalization period.