Duc Long Gia Lai's profit increased by 15.6 billion VND after audit

Duc Long Gia Lai's after-tax profit reached more than 61 billion VND after auditing, an increase of 15.6 billion VND compared to the self-prepared report due to a reduction in financial costs and business management costs.

According to the audited semi-annual financial report for 2024 of Duc Long Gia Lai Group Joint Stock Company (stock code: DLG), net revenue reached approximately VND 595 billion, up 16.2% over the same period. Gross profit was about VND 154 billion, down 5.7% compared to the self-made report but still up 37.2% over the same period last year.

Financial and administrative expenses decreased by 8.6% and 32.6% respectively compared to before the audit, down to VND151.7 billion and VND12.9 billion.

Due to fluctuations in expenses, Duc Long Gia Lai's pre-tax profit increased from VND56 billion in the self-prepared report to VND82.5 billion after audit. After-tax profit also increased to VND15.6 billion, from VND45.4 billion to more than VND61 billion.

According to the plan submitted to the shareholders' meeting, Duc Long Gia Lai set a target of VND1,400 billion in revenue and VND120 billion in after-tax profit this year. If achieved, the company will avoid delisting due to three consecutive years of losses. After half a year, the company has completed 42.5% of the revenue plan and 51% of the profit target.

In the audited financial report, the auditors said that Duc Long Gia Lai's ability to continue operating may be affected because the company had an accumulated loss of VND 2,617 billion as of June 30, 2024 and short-term debts exceeded total short-term assets by VND 826 billion. In addition, the company has a number of overdue debts and loans with an estimated total value of VND 2,342 billion.

However, Duc Long Gia Lai's Board of Directors affirmed that production is still operating stably, overcoming immediate difficulties and successfully achieving the set revenue and profit targets and plans.

The board of directors added that the company is determined to restructure its financial situation to minimize interest expenses, increase debt collection, and cut costs with the aim of reducing debt to banks and organizations. Specifically, in the first 6 months of this year, the company has paid off more than 148.4 billion VND in principal.

Duc Long Gia Lai ’s main goal this year is to restructure its strategic business lines by focusing on areas with experience, strengths and good cash flow. Areas expected to grow well and invite cooperation are infrastructure, green energy, and resort hotels. On the contrary, the group will divest from ineffective investment sectors.

Financially, the group expects to pay off all loans of over VND1,000 billion by the end of 2025 and accumulate funds to develop new projects .

Next year, Duc Long Gia Lai expects revenue to reach VND1,550 billion and profit to reach VND170 billion. The target for 2026 is revenue to reach VND1,700 billion and net profit to reach VND250 billion.

As of the end of June, Duc Long Gia Lai's total assets were over VND5,105 billion, an increase of VND53 billion compared to the beginning of the year and VND42 billion compared to the self-made report. The company's liabilities were over VND4,507 billion, a slight increase compared to VND4,481 billion recorded in the self-made report. Owner's equity was approximately VND598 billion, undistributed loss after tax was over VND2,617 billion.

On September 23, the Ho Chi Minh City Stock Exchange (HoSE) put DLG shares on warning status because it was 15 days late in submitting its audited semi-annual financial report for 2024, compared to the prescribed deadline.

Previously, DLG was put on warning status from April 13, 2023 because the auditing organization had an exception audit opinion on the audited financial statements of 2022 of the listed organization, which is a controlled securities according to regulations.

On the stock exchange, DLG shares increased by 3.3% in the first trading session of the week, to VND1,880. Compared to the price of VND2,470 at the beginning of the year, this stock has lost 24%.

Source: https://baodautu.vn/loi-nhuan-duc-long-gia-lai-tang-156-ty-dong-sau-soat-xet-d226220.html