(seafood.vasep.com.vn) Despite a drop in revenue, Vinh Hoan Corporation (HoSE: VHC) reported an 11% year-on-year increase in net profit for Q1 2025, reaching nearly VND 211 billion, driven by lower farming costs and improved selling prices.
According to its newly released Q1 financial report, the company recorded revenue of approximately VND 2,648 billion, down over 7% from the same period last year. However, gross profit margin improved significantly from 9.3% to 12.7%, lifting gross profit by nearly 27% to VND 337 billion. The company attributed the profit growth to stronger pangasius prices and reduced farming expenses.
Financial income declined by 16% to VND 89 billion, while financial expenses surged by nearly 70% to VND 57 billion. In contrast, selling and administrative expenses dropped by almost 7% to VND 123 billion, helping to offset cost pressures.
With this performance, Vinh Hoan has fulfilled about 19% of its full-year profit target under the base-case scenario (VND 1,000 billion) and nearly 15% under the high-case scenario (VND 1,300 billion). The corresponding revenue targets are VND 10,900 billion and VND 12,350 billion.
As of March 31, 2025, the company’s total assets stood at over VND 12,800 billion, up 5% from the beginning of the year. Inventory levels reached VND 3,081 billion, with a slight increase over the same period. Vinh Hoan also holds more than VND 3,300 billion in fixed assets and an equivalent amount in cash and short-term financial investments.
Notably, the company has invested over VND 161 billion in equities, with VND 46 billion in provisions for potential losses—equivalent to a mark-to-market loss of nearly 28%. Major holdings include DXS (VND 60 billion, provisioned VND 28 billion), NLG (VND 83 billion, provisioned VND 16 billion), and KBC (VND 15 billion, provisioned over VND 1 billion), among others.
Short-term debt rose by more than 9% in Q1 to nearly VND 2,486 billion, while the company reported no long-term borrowings.