Q2 2024 - Hoa Phat Group JSC (HPG VN)
The largest steel producer in Viet Nam reported earnings in Q2.2024 with consecutively bullish results. Consolidated net revenue of VND39,556 billion (about USD1.56 billion, up +34.1% YoY), net income of VND3,319 billion (about USD131 million, up +127.3% YoY), and the company already completed 50% and 62% of total projected revenue and net income in FY2024 respectively. Steel bar (for construction) was the key product bringing revenue to Hoa Phat Group in this quarter while hot-rolled coil (HRC) faced new challenges from an abundance of imported products.
By the end of June, the progress of Dung Quat 2 project (expected to produce 5.6 million tons of HRC annually) was 80% and 50% completed of projected 1st phase and 2nd phase respectively, and after its coming into operation, Hoa Phat Group will be in the Top 30 Global steelmakers with a yearly production of 14 million ton. HPG VN closed at VND27,200 per share on 31 July 2024, up +147.3% from its adjusted low of VND11,000 per share in November 2022, but down -31.8% compared to its adjusted all-time high of VND39,900 per share in October 2021.
Q2/2024-Clever Group Corporation (ADG VN)
Clever Group Corporation (formerly Clever Ads) is currently the most established performance marketing agency in Viet Nam, also a trusted long-term partner of Alphabet Inc. and Meta Platforms, Inc., reported their Q2.2024 business results. Consolidated net revenue of VND118 billion (about USD4.7 million, up +20.0% YoY), net income of VND12 billion (about USD0.5 million, up +78.4% YoY), and the firm only finished 34% and 19% of total projected revenue and net income in FY2024 respectively.
The profit metrics have been recovering from unexpected downfall in 2023 and the company still had a net cash position of VND247 billion (about USD9.8 million) with most of them still in forms of fixed income investment, while their market capitalization is just around VND300 billion (about USD11.9 million). ADG VN closed at VND14.000 per share on 31 July 2024, still in the worst-performing period since its first trading day in late 2019, down -75.4% from its adjusted all-time high of VND57,000 per share in January 2021.
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