Gemadept (GMD) posts highest profit in four years
Gemadept (GMD) posts highest profit in four years
Gemadept has just announced its second quarter consolidated financial statements with net revenue up 30 per cent on-year to VND978 billion (US$41.88 million).
As the cost of goods sold inched up 25.3 per cent to nearly VND542, the company’s gross profit rose 36.7 per cent to VND436 billion.
Its second-quarter financial report also showed that financial revenue fell 52 per cent to nearly VND4 billion, while expenses for financial activities advanced 22 per cent year-on-year to VND56 billion. Selling expenses decreased by 11.5 per cent to VND35 billion, and general and administrative expenses added up by nearly 19 per cent to VND85 billion.
Meanwhile, profits from joint ventures and associates posted a gain of 43 per cent to VND100 billion, and profit from other activities reached nearly VND6 billion after losing VND44.3 billion in the same period.
As a result, its parent company's profit after tax increased by 103.4 per cent to nearly VND288 billion, the highest profit since the first quarter of 2018. However, if only the profit from main activities is taken into account, this is a record level of Gemadept, due to the unexpected profit of nearly VND1.3 trillion in the first quarter of 2018 or VND460 billion in the second quarter of 2014 coming from financial activities after divesting capital in subsidiaries.
In the first six months of 2022, Gadedept’s net revenue picked up 29 per cent to nearly VND1.856 trillion.
In the structure of revenue from sales and service provision, revenue from port operations accounted for 82.7 per cent with VND1.3 trillion, up 24 per cent over the same period last year. Gross profit margin increased from 40.2 per cent to 42.4 per cent
During the period, its financial revenue dropped by more than 73 per cent to VND8.2 billion, mainly because the unit no longer had VND23.7 billion of interest on liquidation of investments.
In the first half of this year, Gemadept made VND6.9 billion in provision for financial investments, while in the same period last year the unit reserved VND6.6 billion. Accordingly, financial expenses increased by 22.3 per cent to VND88.3 billion.
Profits in joint ventures and associates increased 143 per cent to VND225.5 billion. And interest on liquidation of fixed assets declined from VND12.1 billion to VND230.2 million, so other income decreased by 30.3 per cent to VND19.3 billion. Meanwhile, the unit no longer had VND49.8 billion of inefficient investment costs, so other expenses decreased by 96 per cent to VND2.3 billion. Accordingly, it lost VND30 billion in the same period last year.
Therefore, the parent company's profit after tax surged by nearly 95 per cent to VND561.6 billion. Basic earnings per share were VND1,714.
In 2022, Gemadept sets a business plan of VND3.8 trillion in revenue and VND1 trillion in profit, which would result in Gemadept's second highest results.
