Construction companies reported profits many times higher than the same period last year.

In the second quarter of 2024, many construction businesses will see their business results increase by several times. Photo: ABB

According to VietstockFinance statistics, up to now, there are 96 construction enterprises listed on the stock exchange that have announced their financial reports for the first 6 months of 2024. Of these, 39 enterprises increased profits, 21 decreased profits, 14 continued to lose money, 15 transferred losses to profits and 7 transferred profits to losses. Notably, 18 enterprises had net profits many times higher than the same period.

Accordingly, enterprises with profits of over a thousand billion VND include Coteccons; Hoa Binh Construction Group; CIENCO4; PC1 Group Joint Stock Company; Vietnam Construction and Import-Export Joint Stock Corporation;...

The big company Coteccons reported its financial results (from April 1 to June 30) with revenue increasing by about 82% compared to the same period, reaching VND6,595.4 billion. Net profit was recorded at VND58.8 billion, equivalent to an increase of 95%.

As for Hoa Binh Construction, although its net revenue decreased by about VND138 billion, its net profit reached VND682.4 billion. This is the highest profit in the entire industry.

CIENCO4 infrastructure construction brought in net revenue of VND 1,027 billion, up 65%. Net profit in the second quarter of 2024 was over VND 60 billion, up 87%.

In addition to the above mentioned giants, other businesses in the industry, although their profits do not exceed thousands of billions of VND, their profits have increased many times over.

For example, Construction and Design Joint Stock Company No. 1 (DCF) recorded a net profit of more than VND23 billion in the second quarter, equivalent to a 21-fold increase over the same period. Since 2017 when it was traded on the UPCom floor, this is the highest net profit of the enterprise.

Or notably, Song Da 11 Joint Stock Company, after nearly two decades, recorded the highest net profit of more than 69 billion VND in the second quarter, 6.6 times higher than the same period.

In the Report on production and business trends of the processing, manufacturing and construction industry in the second quarter of 2024 and forecast for the third quarter of 2024, the General Statistics Office (Ministry of Planning and Investment) said that among 6,056 construction enterprises responding to the General Statistics Office's survey on the operating situation in the second quarter of 2024 compared to the first quarter of 2024, 26.4% of enterprises said it was more favorable; 42.9% of enterprises said it was stable and 30.7% of enterprises said it was more difficult.

In the second quarter of 2024, 74.2% of businesses said that new construction contracts would increase and remain unchanged compared to the first quarter of 2024; 25.8% of businesses said that the number of new construction contracts would decrease.

Regarding the situation of borrowing capital for production and business activities, 19% of enterprises said that borrowing capital in the second quarter of 2024 was more favorable than in the first quarter of 2024; 58.5% of enterprises said it would remain unchanged; 22.5% of enterprises said that borrowing capital was more difficult.

According to construction enterprises, in the second quarter of 2024, the factor that most affected production and business was "high raw material prices" with 47.1% of enterprises; "no new construction contracts" with 46.9% of enterprises.

Forecasting the third quarter of 2024 compared to the second quarter of 2024, construction enterprises have improved their forecasts with 28.8% of enterprises forecasting more favorable conditions; 43.1% forecasting stability and 28.1% forecasting more difficulties.

Source: https://laodong.vn/kinh-doanh/nhung-doanh-nghiep-xay-dung-bao-lai-gap-nhieu-lan-cung-ky-1389269.ldo