SAM Holdings profit drops 45%, still guarantees subsidiary's loan of 5 million USD

SAM Holdings guarantees $5 million loan for subsidiary

Recently, Sam Holdings Joint Stock Company (Ma Sam) has announced the provision of a guarantee letter for the entire debt obligation (including principal, interest and other debt obligations) of Sacom Cable and Cable at the bank.

SAM Holdings' profit drops 45.7%, still guarantees a loan of 5 million USD for its subsidiary (Photo TL)

Currently, SAM Holdings owns 99.92% of shares in Sacom Wire and Cable. Therefore, it is relatively understandable that SAM Holdings guarantees a loan for its subsidiary. However, this guarantee is given in the context of SAM's business activities showing clear signs of decline in recent times.

Escape from loss in Q3 thanks to financial activities only

Specifically, SAM Holdings' Q3 revenue was recorded at VND520.2 billion, down 4.7% year-on-year. Gross profit in the period reached VND36 billion, down 24.4%.

Financial revenue recorded 29.9 billion dong, down to 57.7%. However, in return, financial costs also decreased by 64.7%, to only 20.9 billion dong.

After deducting all taxes and fees and profit after tax of SAM, the remaining SAM reached 7.6 billion dong, down 33% compared to the same period.

Sam's first -year revenue plan reached 1,451.9 billion dong, down 7.7%. Profit after tax reached 24.8 billion dong, down 45.7%.

In the trading session on December 1, 2023, SAM shares are being traded at VND 6,420/share.

Source: https://www.congluan.vn/sam-holdings-sam-loi-nhuan-sut-giam-45-van-bao-lanh-cong-ty-con-vay-no-5-trieu-usd-post274677.html