Hoa Phat : reached VND3.8 trillion after-tax profit in 9 months

In the third quarter of 2023, Hoa Phat Group achieved revenue of VND28.7 trillion, representing 16 per cent year-on-year decrease. Its after-tax profit recorded VND2 trillion, an increase of 212 per cent over the same period last year and 38 per cent over the previous quarter. In the first 9 months of 2023, Hoa Phat Group reached a revenue of VND85.4 trillion, reducing 27 per cent over the same period last year. After-tax profit was VND3.8 trillion, completing 48 per cent of the whole year's set plan.

Raw material prices in the third quarter remained stable while sales output improved gradually each quarter. Sales of steel products in the third quarter increased by 12 per cent compared to the second quarter and 24 per cent over the first quarter of the year. In addition, maintaining low inventory management contributed to a positive improvement in profit margin in the third quarter.

In the first 9 months of 2023, Hoa Phat Group produced 4.8 million tons of crude steel, posting 21 per tyear-on-year decrease. Sales output of all types of steel (excluding steel pipe and galvanized steel products) reached 4.6 million tons, reducing 19 per cent over the same period last year.

Hoa Phat Group is the only Vietnamese firm which could produce hot rolled coil steel (HRC)

In the January-September period, Hoa Phat's construction steel and high quality steel recorded 2.57 million tons, down 25 per cent compared to the first 9 months of 2022. Of which the export market contributed nearly 490,000 tons. HRC products reached nearly 2 million tons, reducing 3 per cent over the corresponding period last year. In addition, Hoa Phat Group provided the market with 488,000 tons of steel pipes, 240,000 tons of galvanized steel sheets of all kinds, down 14 per cent and 3 per cent respectively compared to the same period last year.

By the end of the third quarter, the group continued to take the lead in term of market share of construction steel and steel pipes in Vietnam, accounting for 33.3 per cent and 27.3 per cent respectively. Hoa Phat Steel Sheet JSC is in the Top 5 largest manufacturers.

From the beginning of August, the group officially provided container products to the market. Hoa Phat Container JSC introduced products at both major domestic and foreign specialized exhibitions, attracting interest and orders from many international logistics and container rental companies. Also in August, Hoa Phat Group put the first berth of the general container port in Dung Quat - Quang Ngai into operation to serve the cargo loading and unloading needs of businesses at Dung Quat Economic Zone and surrounding areas.

Its home appliances industry continuously launches new products such as large freezers, washing machines, water dispensers, and new generation water purifiers to meet market needs. Consumers can easily buy Hoa Phat products at Dien May Xanh system and electronics supermarkets nationwide. Notably, Funiki air conditioner has risen to 6th place among 14 air conditioner brands sold at Dien May Xanh.

For the agricultural sector, the group has optimized the scale and investment efficiency of animal feed factories and pig, cow and chicken farms across the country. It aims to maintain its position and market share in the leading group of clean chicken eggs and commercial pigs supplied to the market.

Hoa Phat Group has also continued to invest in expanding existing industrial parks in Hung Yen and Ha Nam provinces, creating more clean land funds and technical infrastructure to serve the production and business investment needs of domestic and foreign enterprises.

In the upcoming time, the market would be gradually improved but not much as the domestic and foreign economies still face many difficulties. The group would give priorities to manage inventory and regulates production and business in accordance with the market situation. At the same time, Hoa Phat Group would closely follow the investment progress of large projects, especially Dung Quat 2 Iron Steel Integrated Complex, ensuring effective control of projects.

HPG News