DIG estimates a profit of VND 1,200 billion for the whole year of 2021, even though it has only made a profit of VND 140 billion in 9 months

2 min read

Construction Development Investment Corporation (DIC Corp, HoSE: DIG) has just announced its estimated business results for 2021, in which profit after tax is estimated at VND 1,200 billion, completing about 83% compared to the plan.

Previously, in the third quarter financial statement, the enterprise recorded net revenue of 539 billion dong, profit after tax of 42 billion dong, a decrease of 44% compared to the same period last year.

In 9 months, while net revenue decreased by 11.3% to 1,655 billion dong, thanks to improved gross profit margin and sharp decrease in financial expenses, DIC Corp still had profit after tax of nearly 140 billion dong, up growth of 5.6%. However, compared with the previous plan, the enterprise only completed 12.7% of the profit target for the whole year.

In the coming period, DIC Corp is expected to increase its charter capital to about 10,000 billion dong by 2025. Currently, the enterprise has completed the private placement of shares, ESOP… the charter capital of the enterprise as of now. November is about 4,998 billion VND.

Besides, in addition to the cash flow from product sales, DIG continues to supplement capital sources to implement key projects through corporate bond issuance and commercial credit loans.

Accordingly, up to now, DIC Corp has completed the cash flow arrangement of over VND 8,000 billion to serve the investment and development of the project in 2022 and the following years.

With the mobilized capital, the company intends to invest and develop the project of Long Tan tourist urban area, Vi Thanh commercial residential area, Nam Vinh Yen new urban area, resort complex – golf course. DIC Star Dong Hoi, North Vung Tau new urban area.

It is expected that on November 28, the enterprise will hold a ground-breaking ceremony for three projects: Vi Thanh commercial residential area phase 2; Lam Ha Center Point residential area and Cap Saint Jacques phase 2 complex.

Besides, DIG plans to focus on exploiting land funds in Nam Vinh Yen new urban area. Completing land procedures, investing in building technical infrastructure and selling products at Vi Thanh commercial residential area project, North Vung Tau new urban area, Lam Ha Center Point project and project area Cap Saint Jacques complex phase 2.

Based on the above investment plans, DIG estimates that pre-tax profit in 2022 will reach about VND 1,500 billion, the dividend payout ratio is about 15-20%.

Source: vietnamfinance.vn – Translated by fintel.vn