AsemconnectVietnam - Sao Mai Group Joint Stock Company (ASM code - HoSE) recorded a profit of VND66.44 billion in the third quarter, cumulatively in the first 9 months of 2023 recorded a profit of VND257.62 billion, down 71.3% over the same period.

In the third quarter of 2023, Sao Mai Group recorded revenue of VND2,874.55 billion, down 14% over the same period, profit after tax recorded a profit of VND66.44 billion, down 70.4% over the same period. Of which, gross profit margin decreased from 13.3% to 10.6%.
During the period, Sao Mai Group's gross profit decreased by 31.3% over the same period, corresponding to a decrease of VND138.73 billion, to VND304.62 billion; Financial revenue decreased slightly by 0.5%, corresponding to a decrease of VND0.27 billion, to VND55.95 billion; Financial expenses increased by 37.5%, equivalent to an increase of VND45.75 billion, to VND167.78 billion; Sales and corporate management expenses decreased by 15.4%, equivalent to a decrease of VND19.74 billion, to VND108.22 billion; and other activities fluctuated insignificantly.
The company said revenue decreased in the third quarter mainly due to real estate business activities and decreased pangasius export activities; financial costs increased due to increased debt to pay the contractor for construction of An Hao solar power plant phase 3 and 4.
Cumulatively in the first 9 months of 2023, Sao Mai Group recorded revenue of VND9,179.8 billion, down 13.1% over the same period, profit after tax recorded a profit of VND257.62 billion, down 71.3% over the same period.
In 2023, Sao Mai Group sets a business plan with revenue of VND15,250 billion, an increase of 10.9% over the same period and expected profit after tax of VND545 billion, a decrease of 43.4% compared to implementation in 2022. Thus, at the end of the first 9 months of 2023, Sao Mai Group has only completed 47.3% of the year's profit plan.
In the first 9 months of 2023, Sao Mai Group recorded negative main business cash flow of VND23.5 billion compared to the same period of negative VND156.33 billion. In addition, investment cash flow recorded negative VND231.1 billion and cash flow from financial activities recorded positive VND265.7 billion, mainly increasing debt.
It is known that previously, in 2022, Sao Mai Group also recorded a negative main business cash flow of VND339.85 billion.
Debt exceeds VND10,000 billion
As of September 30, 2023, Sao Mai Group's total assets increased slightly by 1.7% compared to the beginning of the year, equivalent to an increase of VND327.8 billion, to VND19,414.1 billion. Of which, the main assets were fixed assets recorded at VND6,620.9 billion, accounting for 34.1% of total assets; Short-term receivables recorded VND4,309.3 billion, accounting for 22.2% of total assets; Inventory recorded VND3,659.9 billion, accounting for 18.85% of total assets and other items.
Regarding capital, as of the end of the third quarter, Sao Mai Group's total short-term and long-term debt increased by 3.1% compared to the beginning of the year, corresponding to an increase of VND304.8 billion, to VND10,125.2 billion and accounting for 52.2% of total capital (at the beginning of the year outstanding debt was VND9,820.4 billion, accounting for 51.5% of total capital). Of which, short-term debt is VND5,864.5 billion and long-term debt is VND4,260.7 billion.
N.Nga
Source: VITIC/Tinnhanhchungkhoan