Vicostone (VCS) forecasts VND8.36 trillion in revenue for 2022
Vicostone (VCS) forecasts VND8.36 trillion in revenue for 2022
Vicostone Joint Stock Company (HNX: VCS), a member of Phenikaa Group, has targeted VNĐ8.36 trillion (US$364 million) and VNĐ2.41 trillion ($105 million) in its revenue and pre-tax profit by the year-end, up 18.34 per cent and 15 per cent year-on-year, respectively.
These goals were approved by the majority of shareholders who attended its first-ever online Annual General Meeting of Shareholders on Thursday.
According to the company’s spokesperson, 2021 marked a year full of adversities due to strict, long months of social distancing and the disruption of global transportation.
Despite these challenges, last year, the company recorded more than VNĐ7 trillion in net revenue and nearly VNĐ2.1 trillion in pre-tax profit. The figures were up around 25 per cent each on an annual basis, thus fulfilling 105 per cent and 110 per cent of the set targets.
As of the end of 2021, total assets saw a positive rise of 14 per cent on year to nearly VNĐ6.9 trillion. Owner equity surged 26.35 per cent on-year to over VNĐ4.8 trillion, while the rates of return-on-total assets and return-on-equity were stable at 26 per cent and 36 per cent, respectively.
Meanwhile, revenues in export markets, especially major ones like North America and Europe, continued to rise. In the most demanding market of North America, with the support of the parent company Phenikaa Group, Vicostone not only sold the products indirectly via major local partners but also set up its distribution network for VICOSTONE®.
In 2021, export revenues surged at the highest-ever pace of 38.4 per cent. Of the figure, sales in Canada soared 150 per cent on the year – the strongest growth since VICOSTONE® were introduced, while sales in Europe and Asia jumped 28 per cent and 20 per cent, respectively, from 2020.
Provided with such results, shareholders have approved Vicostone to announce a 40 per cent cash dividend to distribute 2021 profits. Shareholders of the company will receive cash and share dividends for seven years in a row, showcasing Vicostone’s commitment to balancing the benefits of shareholders.
"The world will still experience turbulences with several risks and challenges in 2022," the company said.
Under the spirit of “Comprehensive Initiatives for Stronger and Faster” and with support from the Phenikaa Ecosystem, Vicostone will be in solidarity to overcome all obstacles, effectively achieve the stated goals, and sustainably humanely build and develop the company, it said.
In addition to self-supply of input materials, Vicostone will strengthen the distribution networks in major markets this year, continue to focus investment on core business to maintain the status of the third-largest supplier of engineered stone countertops to the global, and enhance competitive advantages in the market.
It plans to optimise and control production and operation expenses, especially in regards to materials, raw materials, energy and fuel, to limit the impact of inflation while developing new markets, strengthening the presence in major markets, and making stronger investments in R&D activities to create advanced, innovative, artistic and distinctive products.
Improving the quality of corporate governance upon new standards and market practices and upgrading the corporate governance system to prepare for potential challenges and risks will also be included.
