Thien Long Group (HoSE: TLG) announced second-quarter net revenue of VND748.4 billion, up 16.1% over the same period in 2020. Falling COGS pushed gross profit up 50.8% to 325 , 5 billion dong. Gross profit margin improved from 33.5% to 43.5% because the company changed the distribution structure of goods, promoting products with high profit margins.
|Source: TLG’s financial statements. Unit: billion dong|
The company made a profit of nearly 10 billion dong in financial activities, of which 4.7 billion dong was reversed from the provision for long-term investment expenses.
Selling expenses were VND 138.3 billion, up 23.9% and general and administrative expenses were recorded at VND 83.6 billion, up 38.1%. In conclusion, Thien Long reported a profit of 91 billion dong in the second quarter, 2.5 times higher than the same period in 2020.
In the first 6 months of 2021, the business reported a profit of VND 176 billion, 10 times higher than the same period. Domestic sales accounted for 78%, the rest belonged to exports. These two segments both achieved growth, in which domestic sales increased by 30% and exports increased by 23%.
Thien Long said the well-controlled Covid-19 epidemic in the first 4 months of 2021 has driven the market to recover and return to normal. In the first 6 months of 2020, Thien Long only profited VND 17 billion, the company even reported a loss of VND 20 billion for the first time in the first quarter due to the effects of social distancing, especially schools closed for a long time.
Total assets as of June 30 was 2,505 billion VND, up 8% compared to the beginning of the period, mainly due to the increase of 45% in cash and cash equivalents to 540 billion VND. Along with short-term deposits of VND 306 billion, Thien Long’s cash balance is about VND 846.4 billion.
Regarding liabilities, short-term debt accounts for about one third, equivalent to 204.8 billion VND. This item increased by 39% compared to the beginning of the period.
Source: ndh.vn – Translated by fintel.vn