Accordingly, the group's after-tax profit skyrocketed 51% over the same period, from VND2,000 billion to VND3,022 billion. In the first 9 months, HPG recorded a 2.4-fold increase in profit to VND9,210 billion, reaching 92% of the annual profit plan.

This is a positive result for the number 1 steel giant in Vietnam in the context of strong steel price increase and improved steel demand. Steel currently contributes 85% of HPG's profit, followed by the agricultural sector.

Hoa Phat Steel Fan (199).jpg
After a difficult 2022, Hoa Phat is accelerating. Photo: Hoang Ha

In terms of revenue, Hoa Phat Group reached more than 34 trillion VND in the third quarter, up 19% over the same period last year (28,766 billion VND). In the first 9 months, Hoa Phat recorded more than 105 trillion VND in revenue equivalent to more than 4 billion USD, up 23% over the same period last year (85,431 billion VND), completing 75% of the 2024 plan.

The Group has paid the State budget 10,000 billion VND in the first 9 months of 2024, exceeding the amount paid for the whole year of 2023.

Hoa Phat had a difficult year in 2022 when its business results plummeted. In 2022, Hoa Phat recorded VND 142,770 billion in revenue, down VND 8,095 billion, equivalent to a 5% decrease compared to the same period in 2021. Consolidated profit after tax reached VND 8,444 billion, down VND 26,077 billion, only 24% compared to 2021.

In 2023, Hoa Phat recorded VND 120,355 billion in revenue and VND 6,800 billion in profit, down 16% and 19% respectively compared to 2022. Profit in 2023 reached 85% of the plan and decreased compared to the same period in 2022, mainly due to the steel business sector's profit decreasing by 22% compared to the same period.

HPG is focusing on the construction of the Hoa Phat Dung Quat 2 Iron and Steel Complex project, with a capacity of 5.6 million tons of hot-rolled steel coil per year. The first hot-rolled furnace test product is expected to be produced by the end of the year.

However, pressure from imports is still present, especially from China.

According to a news report shared by the Vietnam Steel Association, China has increased exports in recent years due to capacity utilization at over 80% while domestic demand has decreased.

China's rapid increase in exports of cheap steel products to many regional markets over the past two years has fueled global protectionism with the potential for further escalation, while global steel prices are likely to remain low.

China's finished steel exports in August rose 21.3% from July and 14.7% year-on-year to 9.5 million tonnes, the third highest since early 2024, according to Chinese customs data.

China's finished steel exports are on track to surpass 100 million tonnes in 2024 for the first time since 2016.

An individual was fined for buying millions of shares of Song Hong Corporation, becoming a major shareholder, but not reporting to the State Securities Commission.