Shareholders asked about Vingroup’s cash flow, how did billionaire Pham Nhat Vuong answer?

According to the vote counting minutes on the morning of April 25, Vingroup’s 2024 Annual General Meeting of Shareholders (AGM) had the participation of 135 shareholders, representing more than 2.94 billion shares, equivalent to 76.9%. total number of shares with voting rights.

In 2023, the global economic situation still faces many challenges and concerns about the risk of economic recession. The world economic situation will only recover strongly in the fourth quarter of 2023. However, the economic situation in our country is still quite stable thanks to macroeconomic management policies and inflation remaining at a stable level with only Average consumer prices increased by about 3.3%.

However, in 2023, Vingroup company (HOSE: VIC) still maintains its leading position with a record revenue of more than 161,400 billion VND, an increase of 59% compared to 2022. In particular, VIC’s profit after tax reached 2,056 billion VND, equivalent to the previous year and 3% exceeding the assigned plan.

At the General Meeting of Shareholders, VIC targets record net revenue in 2024 of VND 200,000 billion, an increase of up to 24% compared to 2023, and profit after tax reached 4,500 billion Dong, more than double compared to the previous year. Vingroup’s Board of Directors said that in 2024, Vingroup will continue to promote business activities to strengthen three main pillars, including: Technology – Industry, service trade and social charity.

Regarding plans in each business area, Vingroup sets specific goals. Among them, in the field of vehicle manufacturing, VinFast aims to boost delivery output and focus on optimizing costs through initiatives in design, purchasing and production. At the same time, VinFast will continue to expand its distribution channels, taking advantage of its local network to reach about 400 sales points globally by the end of 2024… In addition, the company will also hand over new car models. in the US market and exporting vehicles to Europe as well as starting to distribute electric vehicles in Indonesia.

Shareholders are skeptical about Vingroup’s cash flow?

The shareholder representative raised the question: The market suspects that the group’s cash flow is unstable. Regarding sponsoring VinFast, how much resources has the group prepared? By building factories in the US, India and Indonesia, how much cash flow has the group prepared?

According to billionaire Pham Nhat Vuong, the market’s doubts about Vingroup’s cash flow and energy are unfounded. Because Vingroup has never been late in paying the bank interest, let alone paying the principal. Every plan is taken seriously.

Mr. Pham Nhat Vuong shared: “Of course we are all difficult. But I think the hardest part is over and the market recovery period has returned. We can look at Vingroup’s product sales. For example, Vinhomes recently sold a huge amount of goods. VinFast also became the brand with the highest sales in Vietnam for the first time, compared to other electric car brands on the market.“.

“Moving forward is certain and must be steadfast. Therefore, those doubts are unfounded. Of course there are difficulties, but doing big things is not easy. For a long time, I have said that VinFast is a project made for social responsibility and wants to contribute to the country, to become a classy brand, a brand that not only sells cars but also wants to move to the top in terms of cars. In the world. We must devote all our resources, I confirm that Vingroup has no intention of letting go of VinFast. I sponsored VinFast 1 billion USD. At this point, I will personally continue to arrange to fund at least another 1 billion USD. I hope all Vietnamese people join hands to contribute to VinFast so that the brand can bring pride and a foundation for industrial development.“, Mr. Pham Nhat Vuong emphasized.

According to Vingroup Chairman Pham Nhat Vuong, electric cars are a sustainable trend that cannot be reversed. Furthermore, battery costs are getting cheaper due to technology. This makes electric cars cheaper than gasoline cars. VinFast currently has a battery rental policy and this is an advantage to compete with gasoline cars. In fact, there are some electric cars that are being sold at cheaper prices than gasoline cars of the same type. In addition, electric vehicles also make an important contribution to making the city cleaner.

“I myself will spend 10,000 billion VND in the next 3 years to build a charging station. This move is mainly to solve mental problems… I think VinFast fits the trend. VinFast gets stronger every day and we make VinFast cheaper in terms of costs and marketing. The future of Vingroup is VinFast and we are on the right track“, Mr. Pham Nhat Vuong shared at the 2024 Annual General Meeting of Shareholders.

According to Mr. Pham Nhat Vuong, in June, VinFast opened to receive goods for VF3 at a very reasonable price. Currently, VinFast’s vehicle development has been completed and the company will focus on exploiting value from that vehicle range.

By the end of 2023, VinFast has exported nearly 35,000 electric cars and more than 72,000 electric motorbikes to the market, contributing to strongly promoting the green transformation trend.