AsemconnectVietnam - After the plunge in the fourth quarter of 2022, PetroVietnam General Services Corporation (Petrosetco, code PET - HoSE) continued to report a sharp drop in profit in the first month of 2023.

In January 2023, Petrosetco estimates revenue to reach VND1,210 billion, down 26% y/y and VND2 billion pre-tax profit, down 93.9% y/y. In which, gross profit margin decreased from 4.1% to 3.9%.
During the period, gross profit decreased by 29.9% over the same period, equivalent to a decrease of VND20 billion to VND47 billion.
In terms of revenue structure, in the first month of 2023, distribution revenue decreased by 28.1% over the same period, to VND1,051 billion, accounting for 87.3% of total revenue; catering service revenue increased by 4.5% over the same period to VND69 billion and accounted for 5.7% of total revenue; revenue from real estate management and leasing decreased by 2.9% over the same period, to VND34 billion and accounted for 2.8% of total revenue; and other activities decreased by 20.6% y/y to VND50 billion and accounted for 4.1% of total revenue.
The company added that distribution decreased mainly because Laptap decreased by 88.6%; other IT equipment 50% off; and PP & LPG down 50.6%. In contrast, mobile electricity revenue still increased by 44.8%.
The reason for the decrease in revenue, Petrosetco said, mainly comes from the decrease in distribution revenue due to the prolonged Lunar New Year holiday (January 20-January 29, 2023), and the amount of goods served Tet 2023 has been sold since December 2022.
Core operating loss of VND67.83 billion in the fourth quarter of 2022
In terms of business activities, in the fourth quarter of 2022, Petrosetco recorded revenue of VND4,835.1 billion, down 20.9% over the same period and profit after tax recorded VND0.74 billion, down 99.5% over the same period last year. In which, gross profit margin decreased from 5.8% to 5.5%.
During the period, gross profit decreased by 25.3% over the same period, equivalent to a decrease of VND89.58 billion to VND264.87 billion; financial revenue increased by 23.7%, respectively increased by VND12.28 billion to VND64.08 billion; financial expenses increased by 350.6%, respectively increased by VND120.85 billion to VND155.32 billion; selling and administrative expenses decreased by 14.5%, equivalent to a decrease of VND30.04 billion to VND177.38 billion; other profit decreased by 30.2%, equivalent to VND4.01 billion to VND9.28 billion and other activities did not change significantly.
In terms of core business activities (gross profit - financial expenses - selling & administrative expenses), in the fourth quarter, the Company recorded a loss of VND67.83 billion compared to the same period of VND112.56 billion, or VND180.39 billion decrease.
Thus, the core business activities recorded a loss, the Company exited the loss thanks to financial revenue and other profits.
Accumulated in 2022, Petrosetco recorded revenue of VND17,665.4 billion, up 0.4% over the same period and profit after tax recorded VND167.84 billion, down 46.1% over the same period last year.
The company has disclosed that financial expenses in 2022 increased dramatically from VND98.5 billion to VND449.2 billion. Notably, in the financial year, the Company recorded a loss of securities investment amounting to VND247.4 billion.
It is known that in 2022, the Company sets a plan with a revenue of VND20,000 billion and pre-tax profit of VND420 billion. Thus, at the end of the fiscal year with a pre-tax profit of VND213.09 billion, the Company did not complete the profit plan but only reached 50.7%, much lower than the business plan set by the General Meeting of Shareholders assigned to the Executive Board.
N.Nga
Source: VITIC/Tinnhanhchungkhoan