According to the audited semi-annual financial report, Hoa Binh Construction achieved after-tax profit of nearly VND830 billion, an increase of VND90 billion compared to the self-prepared report.
Hoa Binh Construction Group Joint Stock Company (stock code: HBC) recently announced its semi-annual audit report for 2024 conducted by AFC Vietnam Auditing Company Limited. The audit report noted many items with significant fluctuations compared to the self-prepared report.
Specifically, net revenue after auditing reached VND3,812 billion, slightly up from the previously announced VND3,811 billion. The company reported audited gross profit of VND105 billion, down 13% from the VND121 billion in the self-made report. The difference comes from the parent company's adjustment of data related to the classification of cost of goods sold and other income.
Financial income increased after auditing due to the parent company recording additional interest on late payments from customers, from VND160 billion to VND195 billion. Other profits also fluctuated strongly, increasing from VND518 billion to VND555 billion after auditing due to upward adjustments at the parent company and at the subsidiary related to receivables from the investor of the An Hai bridge project.
This is the main reason why the company's after-tax profit increased from VND 740 billion to VND 830 billion after auditing, an increase of VND 90 billion.
Compared to the total revenue target of VND10,800 billion (up 43.3% over the same period) and after-tax profit of VND433 billion set at this year's general meeting of shareholders, Hoa Binh Construction has completed 35.3% of the revenue plan and exceeded 91.6% of the profit target.
As of the end of June, Hoa Binh Construction's total assets reached VND15,790 billion, an increase of VND540 billion compared to the beginning of the year and an increase of VND158 billion compared to the self-reported report. Short-term items accounted for VND14,169 billion in the company's asset structure. Of which, the company's cash and cash equivalents were nearly VND305 billion.
As of June 30, the company had an accumulated loss of VND2,403 billion and some overdue debts. “These signs indicate the existence of material uncertainties that may cast doubt on Hoa Binh Construction’s ability to continue as a going concern,” the auditors said in the financial report.
On the stock exchange, HBC shares are currently trading at VND5,180, up 12% from the nearly 9-year low (VND4,630) recorded in the session on August 12. The trading volume of this stock in the last 10 sessions was more than 1.6 million units. The market capitalization is about VND1,798 billion.
September 5 will be HBC’s last trading day on HoSE. After that, this stock will move to trading on UPCoM from September 10.
In the document explaining the stock warning, Hoa Binh Construction said it has been carrying out comprehensive restructuring to improve production and business efficiency, overcoming the crisis in an economic situation affected by many adverse events in the country and the world.
Specifically, the Company has issued debt-convertible shares with a total of 73.08 million shares, thereby increasing its charter capital by VND730 billion. The Company is aiming to expand its market for construction of industrial works, infrastructure, social housing and develop foreign markets.
Civil construction used to be a key field, but due to the frozen and difficult real estate market , the Company is looking for reputable customers with good financial potential. The Company also wants to expand its construction services in the world market, cooperating to provide services related to construction, building materials and design.
In addition, Hoa Binh's Board of Directors said it will mobilize human resources to collect outstanding debts, using many solutions such as resolving debt disputes through economic courts or international arbitration.
"We believe we will succeed in our comprehensive restructuring strategy," said Mr. Le Viet Hai.
Source: https://baodautu.vn/loi-nhuan-cua-hoa-binh-tang-sau-kiem-toan-d223869.html
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