In the first half, Sonadezi Chau Duc's revenue reached VND402.7 billion ($17.5 million), with profit after tax reaching nearly VND189 billion ($8.2 million), up 47 and 73 per cent on-year, exceeding the full-year profit target by 7 per cent.
|As of June 30, SZC's total assets exceeded VND5.2 trillion ($226.1 million), an increase of 18 per cent compared to the beginning of the year |
Sonadezi Chau Duc Shareholding Company (HSX: SZC), amember of Industrial Park Development Corporation (Sonadezi) which works in the field of industrial zone infrastructure development and business, has announced its financial statements for the second quarter of 2021 on July 15.
Currently, Sonadezi Chau Duc's operations include investment and construction in industrial, residential zones, traffic infrastructure construction; environmental protection consultancy; and tourism (golf).
Accordingly, compared to the same period last year, the company recorded a revenue of VND224.5 billion (9.76 million), with after-tax profit of VND111 billion ($4.83 million), respectively up 47 and 52 per cent. Gross profit increased by 68 per cent, reaching VND150 billion ($6.5 million), with cost of goods sold increasing by 17 per cent to VND74.5 billion ($3.24 million), resulting in the gross profit margin improving from 58.4 to 66.8 per cent.
Additionally, the company's financial revenue decreased from VND8.4 billion ($365,220) to VND2 billion ($86,960). Administrative expenses increased sharply to VND20 billion ($869,560), up 184 per cent. Selling expenses decreased sharply by 97 per cent to VND107 million ($4,650).
In 2021, SZC sets a revenue target of VND584.3 billion ($25.4 million) with after-tax profit of VND176.3 billion ($7.67 million), 27 per cent higher and 5 per cent lower compared to 2020.
As of June 30, SZC's total assets were more than VND5.2 trillion ($226.1 million), an increase of 18 per cent compared to the beginning of the year. The undistributed after-tax profit brought forward until June 30 is VND274 billion ($11.9 million).
SSI Research believes the new draft decree to replace Decree No.82/2018/ND-CP on management of industrial zones (IZs) and economic zones will streamline the process of applying for new and expanded IZs, and provide incentives to ecological IZs, high-tech projects, supporting industry projects, and small- and medium-sized enterprises.
IZ developers with occupancy rates lower than 60 per cent such as SZC (approximately 40 per cent) will be able to apply for permission to develop expanded IZs by attracting tenants in priority areas.
However, the cost of compensation and site clearance for new IZs increased, so the profit margin of new IZs will be lower than existing ones. According to SSI Research, existing IZs with leased land such as SZC can maintain a higher profit margin on land leasing.