Continue to develop mega projects, possibly launching projects in Dong Anh and Dan Phuong this year when legal completion

Net profit plan is 35,000 billion VND

On the morning of April 24, Vinhomes Joint Stock Company (Code: VHM) held the 2024 Annual General Meeting of Shareholders. At this year’s meeting, the company’s board of directors presented shareholders with a business plan with a revenue of 120,000 VND. billion VND and profit after tax of 35,000 billion VND; increased by 16% and more than 4% respectively compared to implementation in 2023.

Regarding the profit distribution plan for 2023, the Vinhomes Board of Directors plans to submit to the General Meeting of Shareholders 5 billion VND to be allocated to the Reserve Fund according to the provisions of the company’s Charter. The entire remaining profit is expected to be invested in the company’s production and business activities.

Looking at this year’s prospects, businesses forecast that in 2024, Vietnam’s economy in general and the real estate sector in particular are forecast to continue to face many challenges despite showing signs of recovery. determined.

This year, the company will continue to strengthen the distribution channel through a self-trading distribution system in parallel with the existing dealer system nationwide. In addition, Vinhomes also upgraded its online business system, aiming to improve the purchasing experience and make product policies and prices transparent.

Vinhomes’ online business segment is expected to join the other two distribution channels to form a three-legged stool in real estate retail business, promoting liquidity in the market.

In addition to previously opened projects such as Vinhomes Ocean Park 1 and Smart City (Hanoi), Vinhomes Ocean Park 2 and Vinhomes Ocean Park 3 (Hung Yen), Grand Park (HCMC), Golden Avenue (Mong Cai), Vinhomes will focus on implementing potential new projects that have completed legal procedures to ensure revenue and profits in 2024 as well as gradually building social housing projects.

Regarding the results of checking shareholder status, as of 9:00 a.m., the meeting had 28 shareholders attending directly, 110 authorized shareholders. The number of shareholders attending directly and by proxy is 54 shareholders, owning shares equivalent to 75.16% of Vinhomes’ voting shares. The Congress is eligible to proceed.

After checking shareholder status, the executive board conducted the meeting with the chairman being Mr. Pham Thieu Hoa, Chairman of the Board of Directors of Vinhomes. Mr. Pham Thieu Hoa gave the opening speech at the congress.

“To ensure maintenance of revenue and profit growth in 2024, Vinhomes will continue to promote construction, completion of projects and actively deploy new projects, especially social housing projects. Association, aiming to realize the dream of settling down for millions of workers,” Mr. Hoa said.

Representing the Board of Directors, Ms. Nguyen Thu Hang, General Director of Vinhomes shared 4 strategies to implement the company’s 2024 business plan, including consolidating distribution channels and promoting the O2O model, promoting the construction of existing projects and promoting the implementation of new projects, raising living standards for Vinhomes residents and upgrading internal management.

After reading the papers, the congress entered the discussion.

Shareholders: Which projects will contribute mainly to business results in 2024? As the largest investor, how does Vinhomes perceive this year’s market?

Mr. Le Tien Cong, Chief Accountant: Expected to reach 90 – 110,000 billion VND in sales in 2024 from Ocean Park 2, Ocean Park 3 and Vinhomes Royal Island Vu Yen project. The sales level is completely feasible based on the availability of real estate and the market has been quite positive in the recent period.

Ms. Nguyen Thu Hang, CEO: In 2024 the market will recover but the speed will not be as fast as expected. Market demand comes from urbanization and young population. The need to own a home is very large. Supply recovered in big cities such as Hanoi, Ho Chi Minh City, Hai Phong but limited in beautiful locations. Vinhomes continues to ensure product legality and handover progress.

Shareholders: Will international bonds be issued in 2024, will they include warrants?

Ms. Nguyen Thu Hang, CEO: For the international market, at the 2023 General Meeting of Shareholders, Vinhomes has presented shareholders with a plan to issue international bonds if the market is favorable, but the market situation is not really favorable and domestic capital Vinhomes can still exploit. waterfall. This year, we are monitoring the international market closely for possible implementation. If bonds are issued, warrants will not be included.

Shareholders: Development orientation of the business until 2030?

Ms. Nguyen Thu Hang, CEO: In the next 5 years, Vinhomes continues to aim to be the largest pioneer in real estate development in Vietnam and beyond in the region. Vinhomes’ land fund ensures stable development. We will develop more mega projects in the coming years.

Shareholders: Does the Board of Directors update project progress in Dong Anh and Dan Phuong? When will social housing projects in Hai Phong and Khanh Hoa open for sale?

Mr. Pham Thieu Hoa, Chairman: The company is implementing the law and considering the appropriate time this year to open for sale. Vinhomes criteria serve many social housing for workers. The company is constructing projects in Hai Phong and Khanh Hoa, and will open for sale when all procedures are completed.

Shareholders: Will Vinhomes circulate cash flow to “feed” VinFast?

Ms. Nguyen Thu Hang, CEO: Regarding cash flow circulation, lending to related companies is very limited. With VinFast, they have a channel to raise capital. We do not provide capital to businesses within the group. We mainly deal with capital forward operations.

Regarding dividend policy, in 2020 – 2021 we will pay dividends to shareholders. Profits in 2022 and 2023 are retained to prepare for sales plans, capital sources are not as realistic as reality. Second, capital is needed for the real estate cycle to break out and maintain its leading position.

Shareholders: What is the credit situation supporting real estate? How does land law impact Vinhomes’ project implementation?

Mr. Le Tien Cong, Chief Accountant: In the recent period, the financial market showed more positive signals at the end of 2022 and early 2023, with more favorable mobilization from loans and bonds. Investors are familiar with Decree 65, production and business activities are actively returning. This is a favorable sign and opportunity when the bank prioritizes capital for reputable customers. Vinhomes gives banks priority in credit financing.

From the perspective of home buyers, commercial banks have quite good interest rates compared to before. Two-year fixed loan around 6 – 6.5%.

Mr. Pham Thieu Hoa, Chairman: The Law on Land, Real Estate Business and Housing provides clearer and more transparent issues. But to realize it, the Government is asking ministries and branches to issue decrees. But to be positive for the real estate market, decrees need to be passed. Vinhomes is actively contributing to the drafts. The decrees will create more transparency and clarity.

Continue updating events.