BCG eyes robust growth in 2021

BCG eyes robust growth in 2021

Pham Minh Tuan, BCG's deputy chairman, said the real estate, construction and energy sectors would be the main sources of revenue for BCG in 2021.

BCG will speed up construction of planned solar and wind power projects to add to its total assets in general and create a stable source of revenue for the company in the 2021-25 period, with revenue and profit after tax expected to reach VND1.156 trillion and VND266.7 billion this year, he told the annual shareholders' meeting on Saturday.

The group expects to achieve revenue of VND4.33 trillion and profit after tax of VND640 billion from the real estate sector.

The construction sector is expected to fetch VND3.2 trillion in revenue and VND280 billion in profit after tax.

Nguyen Thanh Hung, BCG's deputy general director, said that BCG will speed up restructuring of the Transport and Industry Development Investment Joint Stock Company (Tracodi) to become one of the leading general contractors in Viet Nam and deploy projects on a bigger scale.

In the agriculture and manufacturing sector, the group will focus on promoting production and exports of key products such as outdoor wood furniture, hardwood flooring, and coffee.

In addition, BCG will contine to implement M&A deals in sectors that offer high profit and are in line with BCG's development orientation, he said.

The AGM approved the profit distribution plans for 2020 and 2021, with dividends to be paid at a rate of 10 per cent (8 per cent in cash and 2 per cent in shares) and 12 per cent, respectively.

Shareholders also approved other important plans and proposals, including an increase in equity from VND1.36 trillion to VND5.063 trillion in 2021 and issuance of 60 million additional private shares to professional stock investors in order to increase working capital.

Nguyen Ho Nam, BCG's chairman, said that three investors had shown interest in buying all 60 million private shares and BCG will select one.

Despite difficulties caused by the COVID-19 pandemic, BCG achieved impressive business results last year, with its net revenue and profit after tax reaching VND1.855 trillion ($80.49 million) and VND266.4 billion ($11.6 million), meeting 96.97 per cent and 144.64 per cent of the targets set for last year.

BCG has more than 30 subsidiaries and affiliates, and operates in four main areas: agriculture - manufacturing, construction - commerce, infrastructure - real estate, and renewable energy.

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