Novaland’s profit is over 701 billion VND in Q1, up 132%

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A Novaland product. Photo: Novaland

Novaland Group (HoSE: NVL) announced first quarter consolidated business results with net profit of more than 701 billion dong, up 132% in the same period last year.

Net revenue reached nearly VND 4,507 billion, up 158% over the same period last year, contributing greatly to projects such as Saigon Royal, Victoria Village, Aqua City, NovaHills Mui Ne, NovaWorld Phan Thiet … and other projects in the central area of Ho Chi Minh City.

As at 31/3, total assets of the Group reached 153,666 billion VND, increased 6% compared to the end of the previous year. In which, inventory recorded VND90,042 billion, up 4% mainly from the increase in investment and development costs in projects such as The Grand Manhattan, NovaWorld Phan Thiet, NovaWorld Ho Tram, NovaHills Mui Ne and NovaBeach Cam. Ranh. The company stated that 89% of the total inventory (equivalent to 80,261 billion VND) is the value of the land bank and project costs under construction, the rest is built-in properties and real estate goods, Completed real estate awaiting handover to customers.

Cash and cash equivalents, held-to-maturity deposits at banks reached VND 13,684 billion, more than 3 times higher than the same period.

The Group’s total debt and finance lease liabilities reached VND 45,146 billion, down 8% year-on-year. Short-term borrowings and finance lease liabilities accounted for 37% of the total loan balance, recording VND 16,609 billion. Long-term borrowings and finance lease liabilities recorded VND28,537 billion, down nearly 17%, mainly from debt payments and from bond holders converting international convertible bonds to stocks.

In the first quarter, the group made a total loan principal and interest payment of VND 10,050 billion for loans due and loans due due from available cash sources and revenues from sales.

For capital mobilization activities, Novaland has received disbursement a total of nearly 5,289 billion VND in the first quarter of the year. Disbursements used for M&A activities and investment in project development – are recorded in the other short-term receivables and other long-term receivables on the balance sheet.

In terms of product introduction, in the last quarter, the group received strong support from the market although the Covid-19 epidemic still affected the economy. Thanks to the successful control of the new Covid – 19 epidemic wave by the government and localities, the group’s product launch events continued to be held in the first months of the year. As a result, product sales in the period recorded an increase of 152% over the same period last year.

Right in January, Novaland introduced a new subdivision at the NovaWorld Ho Tram project, Habana Island, with a prime location while bordering the sea and river. The Habana Island subdivision is inspired by the ancient, romantic, and bold architecture of the Caribbean. Also at the NovaWorld Ho Tram project, in early February, the group launched a new Morito subdivision with Japanese imprinted planning and design in the tropics of Ho Tram, towards the balance of physical and fine god, experience and enjoy.

In April, part of the PGA Ocean golf course cluster at NovaWorld Phan Thiet project (Binh Thuan) was officially opened, it is expected that the entire golf course cluster will be completed in the third quarter, adding to the list of quality golf courses in the South to serve the elite. The exclusive PGA golf course cluster will also contribute to promoting the type of golf tourism that is prevalent in Vietnam and promises to welcome a large number of international visitors in the future.

The Group also implemented a series of cooperation activities with reputable domestic financial institutions such as MBBank, VietinBank … to meet the capital needs of customers wishing to borrow and buy houses in projects due to Novaland invests and develops.

On April 27, Novaland successfully organized the 2021 AGM. At the Meeting, shareholders approved the target of revenue and profit after tax in the year of VND 27,000 billion and VND 4,100 billion, and set a goal of adding more than 10,000 hectares of land over the next 10 years to prepare for the next stages of development.

Source: ndh.vn – Translated by fintel.vn