La Hien falls behind target for third year

April 29, 2014 | 13:49

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Listed Ha Hien Cement Joint Stock Company, in which Vinacomin holds a 51 per cent stake, did not meet its 2013 targets.

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According to the company’s consolidated report for 2013, it only achieved turnover of VND584 billion( $27.8 million), falling 10 per cent against 2012.

This is the third year in a row that La Hien has failed to meet its shareholder-approved business plan.

Located in northern Thai Nguyen province, La Hien has the total chartered capital of VND100 billion($4.76 million) and a designed output of 850,000 tonnes per year. According to the company’s 2013 report, its total equities were only VND99 billion($4.71million), meaning it is VND1 billion below initial chartered capital.

La Hien’s debts now stand at VND596 billion($28.38 million), six times its equity capital.

Coupled with losses, the company has also failed to be transparent with its shareholders who say the company has poured considerable funds into buying materials, but has not disclosed the exact amount.

By By Chi Tin

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