AsemconnectVietnam - Nam Kim Steel JSC (code NKG - HOSE) recorded after-tax profit of VND91.59 billion in the second quarter, accumulated after-tax profit in the first half of 2025 was VND157 billion, down 57.5% over the same period.

In the second quarter of 2025, Nam Kim Steel recorded revenue of VND3,808.49 billion, down 32.7% over the same period, after-tax profit reached VND91.59 billion, down 58.3% over the same period. In which, gross profit margin decreased from 9% to 7.1%.
During the period, gross profit decreased by 47.3% over the same period, equivalent to a decrease of VND241.93 billion, to VND270.02 billion; Financial revenue decreased by 46.9%, equivalent to a decrease of VND53.26 billion, to VND 60.36 billion; financial expenses increased by 105.4%, equivalent to an increase of VND73.75 billion, to VND143.69 billion; sales and administrative expenses decreased by 40.6%, equivalent to a decrease of VND115.38 billion, to VND168.59 billion; other profits increased dramatically by VND93.25 billion, to VND94.18 billion.
Accumulated in the first half of 2025, Nam Kim Steel recorded revenue of VND7,898.64 billion, down 27.9% over the same period, after-tax profit reached VND157 billion, down 57.5% over the same period last year.
In 2025, Nam Kim Steel plans to have a total output of 1.05 million tons; Total revenue of VND23,000 billion, up 11.1% over the same period; pre-tax profit of VND440 billion, down 21.1% compared to the implementation in 2024.
Thus, ending the first half of 2025 with pre-tax profit of VND193.3 billion, Nam Kim Steel has only completed 43.9% of the annual plan.
Although business has declined, in the first half of 2025, Nam Kim Steel recorded a positive main business cash flow of VND402.3 billion compared to the same period of positive VND241.4 billion. Meanwhile, investment cash flow was negative VND2,387.5 billion and financial cash flow was positive VND2,115.78 billion.
In terms of asset size, as of June 30, 2025, Nam Kim Steel's total assets increased by 21.9% compared to the beginning of the year, equivalent to an increase of VND2,960.3 billion, to VND16,479.4 billion. Of which, the main recorded assets were VND6,127.1 billion in inventory, accounting for 37.2% of total assets; VND3,010.3 billion in long-term unfinished assets, accounting for 18.3% of total assets; VND1,870.7 billion in fixed assets, accounting for 11.4% of total assets; VND1,628.9 billion in cash and short-term financial investments, accounting for 9.9% of total assets; VND1,620.9 billion in short-term receivables, accounting for 9.8% of total assets. Notably, the unfinished assets at the beginning of the year were only VND285.8 billion and as of June 30, 2025, it was VND3,010.28 billion. Of which, Nam Kim Steel explained that this was the cost of unfinished basic construction. Previously, Nam Kim Steel approved the adjustment of the investment policy of the Nam Kim Phu My Roofing Sheet Factory project, invested by its subsidiary, Nam Kim Phu My Steel Company Limited, increasing the investment capital from VND5,800 billion to VND6,200 billion, an increase of VND400 billion. The project is divided into two phases, to be implemented until 2027.
At the 2025 General Meeting of Shareholders on April 25, Mr. Ho Minh Quang, Chairman of the Board of Directors of Nam Kim Steel, shared that the Nam Kim Phu My Steel Plant Project is being implemented on schedule, expected to be operational in the first quarter of 2026. The factory is expected to need 2-3 quarters in the first phase of operation to operate at 50-60% of its total capacity and is expected to operate at full capacity in 2027.
In addition, in terms of capital, by the end of the second quarter, Nam Kim Steel's total short-term and long-term debt increased by 8.6% compared to the beginning of the year, equivalent to an increase of VND545.1 billion, to VND6,856.8 billion and equal to 90.5% of total equity. Of which, short-term debt is VND5,468 billion and long-term debt is VND1,388.8 billion.
N.Nga
Source: VITIC/Tinnhanhchungkhoan