AsemconnectVietnam - On May 24, 2024, Construction Corporation No.1 - JSC (code CC1 - UPCoM floor) successfully held the 2024 Annual General Meeting of Shareholders (AGM) with the theme "Effective thinking - Disciplined action" via online format.

At the end of 2023, Vietnam's economy had a positive growth rate, higher than the world's general growth rate; although still affected by the global economic downturn, this is the result of the efforts of the entire economy in which the Government plays a central role. Through the fluctuations, the business community in general and the Construction business in particular have high expectations for 2024 with a series of policies to remove difficulties and shape each step of market development, opening up opportunities for reputable businesses to affirm their role and position.
Accordingly, CC1 will focus resources to participate in the field of transportation - technical infrastructure and other public investment projects. This will not only help increase revenue, create value chains with strategic partners but also contribute to ensuring and completing the goals set for 2024.
Talking about CC1's business highlights in 2023, although net revenue on CC1's separate report only reached 58%, it still grew by 7% compared to 2022. In 2023, the positive business cash flow reached VND2,957 billion, the highest since listing, thanks to a reduction in receivables, inventories and payables. Although the profit plan was not achieved as expected, this is still a remarkable result in the context of a significant decline in the construction and real estate sectors.
Explaining the challenges of the past year, CC1's Board of Directors said that the disruption of the supply chain due to political conflicts has caused input material prices to increase, and increasingly fierce competition has put construction enterprises under more pressure.
In addition, with the characteristic that in 2023, CC1 will mostly implement transportation projects, to ensure boosting output and increasing revenue for the transportation sector, it often depends on two factors: site clearance and filling materials, especially filling materials for loading and treating weak soil. The lack of materials has caused CC1 to face many difficulties, and the implementation plan of the projects has been delayed compared to expectations. Therefore, the output and revenue in 2023 did not meet the plan.
However, at the end of 2023 and the first quarter of 2024, with the participation of the Government and the determination of local authorities, the filling materials for CC1's traffic projects have been resolved. CC1 was assigned sand and soil mines by the provinces of Dong Thap, Phu Yen, Soc Trang, etc. according to a special mechanism. Up to now, the construction progress has basically been promoted and the output has increased in traffic projects. CC1 has overcome the "headwind" of the market by signing 16 new projects, synchronously implementing more than 80 projects, and at the same time continuing to promote recruitment and attracting talents to serve investment needs, expand business operations, as well as synchronously implement many projects that have been, are and will continue to win bids in the coming time. In particular, in late 2023 and early 2024, CC1 has continuously won bids for many large-scale projects such as: Na Duong II Thermal Power Plant, Ring Road 3 through Binh Duong Province, Ring Road 3 through Thu Duc City, etc. The continuous winning of large-value bids is proof of CC1's reputation and capacity in areas that are its strengths.
In 2024, CC1 plans to do business with consolidated net revenue of VND11,600 billion, an increase of 207% over the same period. Of this, about VND9,000 billion is expected to come from construction projects that have won bids before 2024. This is an ambitious goal that the Board of Directors and employees of CC1 have committed to devote all their efforts to achieving. In addition to the revenue plan, CC1's concurrent goal is to transfer the CC1 stock exchange from UPCoM to HOSE and expand its business lines.
Regarding the Board of Directors' personnel, at the 2024 General Meeting of Shareholders, CC1 elected Mr. Phan Huu Duy Quoc to the Board of Directors for the 2021 - 2026 term.
According to research, Mr. Phan Huu Duy Quoc was born in 1973, has 8 years of studying and researching at Tokyo University (Japan), and has a PhD in Construction. Since 1997, Mr. Quoc has worked at Shimizu - one of the largest and oldest Construction Corporations in Japan. After 7 years of working at Shimizu, Mr. Quoc became the first foreigner to be selected as an official employee in the 210-year history of the Corporation. After 20 years of studying in Japan, Mr. Quoc was sent back to Vietnam by the Corporation and became the Deputy Chief Representative of Shimizu Corporation, promoting the Metro Line 1 project (Ben Thanh - Suoi Tien) and a number of other large-scale projects. Currently, Mr. Quoc is the Chairman of the Board of Directors at Searefico Engineering and Construction Joint Stock Company and Vice Chairman of the Board of Directors of Greenpan Vietnam Joint Stock Company. The Congress also took time for shareholders and leaders of CC1 to discuss, exchange, and clarify related contents. Most of the opinions revolved around CC1's development strategy in the coming time, the progress of construction investment projects, and the production and business situation in 2024. In the presentation to shareholders, CC1's Board of Directors affirmed that they will accept the opinions of shareholders, build and sustainably develop the CC1 brand, affirm the position of a leading investment and construction enterprise in Vietnam and aim to become a professional international construction contractor.
At the end of the Congress, all reports and proposals were approved by shareholders with high consensus, opening up development opportunities for CC1 with a new stature, which will certainly bring customers, shareholders and investors many outstanding added values.
N.Nga
Source: VITIC/Tinnhanhchungkhoan