Haxaco leaders want to sell 1.4 million shares to restructure portfolio

Mr. Tran Quoc Hai, Deputy General Director and Member of the Board of Directors of Hang Xanh Auto Service Joint Stock Company (Haxaco, stock code: HAX) registered to sell 1.4 million shares to restructure the investment portfolio.

In a notice sent to the Ho Chi Minh City Stock Exchange on the afternoon of September 18, Mr. Hai said that the transaction will be carried out by both negotiation and order matching methods. The expected time is from September 23 to October 22.

Before the transaction, Mr. Hai owned 2.46% of Haxaco's capital, equivalent to 2.64 million shares. If the transaction is successful, Mr. Hai's ownership ratio will decrease to 1.15%, equivalent to nearly 1.24 million shares. Based on the closing price of 17,000 VND on September 18, it is estimated that Haxaco's leaders will earn 23.8 billion VND from this transaction.

Mr. Hai's sale was announced in the context of HAX's stock price slightly decreasing compared to the highest price in 2 years recorded in early September (17,850 VND). Compared to the price at the beginning of this year, the current market price has increased by 43%. With more than 107 million shares listed on the HoSE, Haxaco's capitalization has reached more than 1,826 billion VND.

Previously, in July, Mr. Do Tien Dung, Chairman of the Board of Directors of Haxaco, registered to sell 700,000 HAX shares for the same purpose. However, the head of Haxaco only successfully sold 100,000 shares due to unfavorable price movements. After the transaction, Mr. Dung reduced his ownership ratio in the company to 17.38% (18.67 million shares).

In the first half of the year, Haxaco recorded revenue of VND2,160 billion, up 21% over the same period. Of this, VND1,882 billion came from vehicle trading, the remaining VND264 billion came from repair services and spare parts sales.

Haxaco's half-year gross profit was approximately VND192 billion, while the same period last year it was just over VND133 billion. The gross profit margin for the first half of the year was 8.9%, up 1.5 percentage points compared to the first 6 months of last year. The company reported pre-tax profit of VND69.3 billion and post-tax profit of VND53.7 billion after deducting expenses, nearly 7 times and 8.6 times higher, respectively, than the same period last year.

In the explanatory document sent to the Ho Chi Minh City Stock Exchange, on the parent company's financial report, important indicators showed negative growth because the automobile business sector , especially the luxury car segment, is in the process of recovery and is not really stable. Car manufacturers are having to compete fiercely through deep discount policies and large incentives to stimulate consumer demand . However, the consolidated financial report still recorded strong profit growth thanks to subsidiaries operating effectively, expanding and developing stable business.

This year, Haxaco aims to achieve a consolidated pre-tax profit of 4 times higher than that achieved in 2023, reaching VND200 billion. According to the Board of Directors, to implement this plan, the Company will proactively propose flexible plans on competition, prices, and discount policies to maintain market share. Thus, in the first half of the year, the Company has completed 34.6% of the profit plan.

In an analysis report earlier this year, SSI Research expected Haxaco's sales to increase more strongly in 2024, with lower interest expenses due to reduced current inventories and the subsidiaries (car dealerships distributing the MG and VinFast brands) starting to make a profit. The analysis team gave an expected profit of VND96 billion.

“We assess that the market will still be difficult in the first half of 2024 due to weak consumer demand and buyers waiting for new car models, but overall in 2024, the market will see a recovery in both quantity and value (thanks to the economic recovery in the second half of the year, new car models launched, the shortage of chips for cars being resolved, as well as more attractive lending interest rates compared to 2023),” SSI Research wrote.

As of the end of June 2024, Haxaco had total assets of VND 1,995 billion, a slight decrease of VND 11 billion compared to the beginning of the period. The company's liabilities decreased from VND 842 billion to VND 770.6 billion. Short-term debt contributed an overwhelming proportion of VND 770 billion. The largest item was short-term loans and financial leases with approximately VND 608 billion.

The company has equity of 1,225 billion VND. Undistributed profit after tax is 33 billion VND.

Source: https://baodautu.vn/lanh-dao-haxaco-muon-ban-14-trieu-co-phieu-de-co-cau-danh-muc-d225307.html