Trung An (TAR) turned from profit to loss of 7.5 billion VND after audit, stock price lost 72.5% after 1 year

Trung An turned profit into loss of 7.5 billion VND after audit

Trung An High-Tech Agriculture Joint Stock Company (Code: TAR) has just announced its audited semi-annual financial statements for 2024. In which, the auditing company has adjusted the loss by an additional VND 7.5 billion compared to the report previously prepared by Trung An.

Specifically, net revenue after audit was recorded at VND3,179.1 billion, down 7% compared to before audit. In return, cost of goods sold was also adjusted down 7% to VND3,087.8 billion. As a result, gross profit was maintained at VND81.4 billion.

Trung An (TAR) changed from profit to loss of 7.5 billion VND after audit (Photo TL)

Notably, TAR's audited financial revenue has dropped to only VND5.3 billion, equivalent to a 62% adjustment. Due to this adjustment, the company has gone from recording a profit of VND772 million to a loss of VND7.5 billion.

Explaining the profit difference after audit, Trung An High-Tech Agriculture said that it was due to the auditor adjusting the accrued interest of term bank deposits, adjusting the exchange rate difference, and re-evaluating the exchange rate of bank loans with foreign currency origin.

Surrounded by bad news, TAR stock has plummeted over the past year

Trung An High-Tech Agriculture Joint Stock Company is a unit with a long history of development. Trung An was established in 1996 in the field of production, supply of seeds, fertilizers, pesticides... for the Mekong Delta region.

However, the company's business operations have continuously received bad news, significantly affecting stock price movements in 2023.

From September 18, 2023, TAR shares have been cut off from margin trading by HNX due to the company's delay in disclosing audited separate and consolidated financial statements for the first half of 2023.

On September 29, 2023, the State Securities Commission issued a warning decision and fined Trung An VND 487.5 million for not disclosing information or disclosing information not on time.

On October 12, 2023, HNX continued to transfer 78.3 million TAR shares of Trung An from the warning status to the controlled status because the company was 30 days late in submitting the reviewed separate and consolidated financial statements for the 2023 half-year.

By 2024, TAR's business results were not very bright when it only recorded a profit of VND 2.7 billion in the first quarter and continued to lose VND 3.5 billion in the second quarter. In the audited semi-annual financial statements, the loss even increased to VND 7.5 billion.

As of May 21, 2024, TAR shares were delisted from the HNX. The reason is that the company's auditors refused to give their opinions on its separate and consolidated financial statements for 2023. The shares are also restricted from trading and can only be traded on Fridays every week from May 31, 2024.

Since the above unfavorable information about Trung An was announced, TAR stock price has "plummeted". 1 year ago, in August 2023, TAR code was trading around 20,000 VND/share.

However, currently recorded in the trading session on August 23, 2024, TAR is only traded at VND 5,500/share, equivalent to a loss of 72.5% in value after only 1 year.

Source: https://www.congluan.vn/trung-an-tar-tu-lai-hoa-lo-75-ty-dong-sau-kiem-toan-co-phieu-lao-doc-cung-loat-tin-xau-bua-vay-post309229.html