10:20 | 06/04/2020 Companies
Private conglomerate Vingroup’s total net revenue rose 6.7 percent on-year to 130 trillion VND (5.5 billion USD) in 2019.
|Customers check out at a Vinmart store - Photo courtesy of Vingroup|
Total pre-tax profit last year was up 12.5 percent year-on-year to 15.6 trillion VND, according to the firm’s audited fourth-quarter financial report.
Total post-tax profit gained nearly a quarter to 7.72 trillion VND in 2019.
As of December 31, 2019, the firm’s total asset reached 403.7 trillion VND and equity was worth 120.6 trillion VND, annual increases of 40 percent and 22 percent, respectively.
In 2019, Vingroup reported it sold 64.3 percent of ownership or 414 million shares in VCM Services and Trading Development JSC to consumer company Masan for a profit of 8.5 trillion VND.
In return, Vingroup would receive some stock options in a joint venture set up later by Masan and Vingroup. The deal was completed in early December 2019.
VCM was the unit that operated e-retailer Vincommerce and farming business Vineco.
In the first three months of 2020, Vietnamese businesses have struggled with the spread of coronavirus which hit the local economy quite hard.
Vingroup and its member companies have changed its ways of doing business to adapt to the situation.
Online platforms have become a priority tool for “Vin” companies to promote their products and reach out to customers, such as residential property developer Vinhomes, automaker VinFast and phone manufacturer VinSmart.
Shopping mall operator Vincom Retail has taken measures to sanitise shopping centres and increased protection for consumers. The company has also introduced a 300 billion VND stimulus package for its clients.