AsemconnectVietnam - Vietnam Rubber Group - JSC (stock code GVR - HoSE) approved the business plan in 2023 to go backwards and lower the dividend from 5% to 3.5% in 2022.

Specifically, the Vietnam Rubber Industry Group has just announced the document of the Annual General Meeting of Shareholders in 2023, the meeting is scheduled to be held on June 16, the form of organization is online.
In 2023, the Vietnam Rubber Industry Group plans to achieve total revenue of VND27,527 billion, down 2.8% over the same period and an expected profit after tax of VND4,264 billion, down 10.3% compared to 2022.
The Group believes that 2023 will continue to be a year of many difficulties and challenges for the rubber industry. In particular, adverse changes in weather, interest rates and input cost factors increased while the prices of rubber and wood have not had positive changes compared to 2022...
The above factors will significantly affect the production and business results of the Group and its member units.
Regarding rubber latex extraction, the Group has performed well in latex extraction and rubber replanting. Strengthen purchasing activities to increase revenue, promote the capacity of processing factories, reduce costs and increase jobs and wages for workers; strengthen marketing, expand markets, promote effective consumption of products, especially latex and rubber wood products.
Regarding industrial park activities, the Group focuses on investment and development of industrial park/industrial cluster projects; large-scale wood processing projects such as Nam Tan Uyen Industrial Park expansion project phase II with an area of 344ha (Binh Duong); investment project on construction and infrastructure business of the Industrial Park with an area of 317ha (Binh Phuoc); project of Investment in construction and business of technical infrastructure of Rach Bap Industrial Park expanded with a scale of 360ha (Binh Duong); Investment project on construction and infrastructure business of Hiep Thanh Industrial Park - phase I with an area of 95.17ha (Tay Ninh); Minh Hung III Industrial Park Project expanded with a scale of 577.53ha (Binh Phuoc)…
Regarding dividends, in 2022, the Vietnam Rubber Group will submit to shareholders a dividend plan of 3.5% of charter capital and in 2023, the dividend is expected to decrease to 3%. It is known that at the 2022 General Meeting, Vietnam Rubber Industry Group is expected to pay a dividend in 2022 at the rate of 5%.
In the first quarter of 2023, profit decreased by 42.6%, to VND755.68 billion
In terms of business activities, in the first quarter of 2023, Vietnam Rubber Industry Group recorded a revenue of VND4,135.2 billion, down 15.5% over the same period and a profit after tax of VND755. 68 billion, down 42.6% over the same period last year. In which, gross profit margin decreased from 30% to 24.3%.
During the period, gross profit decreased by 31.6% over the same period, corresponding to a decrease of VND464.3 billion, to VND1,005.9 billion; financial revenue increased by 29.7%, equivalent to an increase of VND52.9 billion, to VND231.1 billion; financial expenses decreased slightly by 1.7%, equivalent to a decrease of VND2.5 billion, to VND142.8 billion; selling and administrative expenses increased by 2.7%, equivalent to an increase of VND12.56 billion to VND471.22 billion.
In addition, in the first quarter of 2023, the profit of joint ventures and associates recorded a loss of 11.14 billion dong compared to the same period of 52.81 billion dong, which is a decrease of 63.95 billion dong; other profit decreased by 16.4% over the same period, corresponding to a decrease of 65.87 billion dong, to 336.1 billion dong and other activities did not change significantly.
The Vietnam Rubber Industry Group said that the reason the profit/loss item of joint ventures and associates recorded negative compared to the same period was positive because VRG MDF Wood JSC - Dongwha recorded a loss of VND11.85 billion compared to the same period last year. 53.88 billion dong profit in the same period.
Thus, besides the decrease in gross profit, the decrease in profits of joint ventures & associates and other profits led to a decrease in profit after tax by 42.6%, equivalent to a decrease of VND559.92 billion, to VND755.68 billion.
N.Nga
Source: VITIC/Tinnhanhchungkhoan