After a sharp decline in April due to the COVID-19 pandemic, car sales in May and June increased again. April, May and June sales of cars reached VND 250 billion.
Hoang Huy Investment Financial Services Joint Stock Company (TCH) has just announced the information of sales of US tractors in April, May and June.
The company said that due to the COVID-19 pandemic, vehicle sales suddenly decreased in April but increased sharply again in May and June.
By the end of the first quarter of the 2020-2021 period (from April 1, 2020 to March 31, 2021), the sales of vehicles of Hoang Huy Finance in April, May and June reached 282 units, of which June recorded the highest growth in a year.
Vehicle sales in the period increased nearly 20% over the same period last year, car sales reached about VND 250 billion, fulfilling 30% of the plan for the financial year 2020 – 2021.
In 2020, the business aims to boost real estate activities, focus resources for investment and exploitation of real estate investment projects in Hai Phong, Hanoi. In the period of 2020 – 2025, the proportion of real estate profit contribution is expected to be the main driving force for the Company’s growth.
Accordingly, the Board of Directors approved the structure of investments to focus on real estate activities including the transfer of part or all of the investments in the two units in 2020.
Hoang Huy Finance will transfer a part or all of more than 13.4 million shares at Truong Giang Service Development JSC and 31.2 million shares at Hoang Ha Investment and Services JSC.
The two entities are based in Hai Phong and Hoang Huy Finance holds 48% of the capital here. In which Hoang Ha Company specializes in automobile business, manufacturing and trading of auto parts, real estate business. And Truong Giang Company specializes in maintenance, repair cars and real estate business.
According to the financial report for the period 2019-2020, at 31/3, the investment in Hoang Ha Company has a carrying value of equity of VND 321 billion and at Truong Giang Company is 136.5 VND billion.
If Hoang Huy Finance transfers all its shares in Hoang Ha and Truong Giang, the investment in the associate is only Hoang Huy Investment Services Joint Stock Company (Code: HHS) with a value of VND 1,378 billion, corresponding to owning 40.24%. This is a business specializing in tractor and real estate business.
In the period of 2020-2021, Hoang Huy Finance sets the target of 2,500 billion dong of net revenue, 800 billion dong of profit before tax; increased by 12% and 4% compared to 2019.
The company said that the company is currently in the peak phase of investment in real estate projects. The rate of profit from real estate will be higher.