SEAREFICO: Robust Profit Recovery, Record-high Backlog

SEAREFICO: Robust Profit Recovery, Record-high Backlog

Following a year of strategic restructuring and rigorous operational quality control in 2025, SEAREFICO Joint Stock Corporation (HOSE: SRF) enters 2026 with a healthier financial foundation: Consolidated net profit after tax surged over 20-fold year-on-year, total assets crossed the VND 1,783 billion mark, and the carried-forward backlog into 2026 reached nearly VND 2,000 billion, the highest in the Company's history.

From Restructuring to Breakthrough

In 2025, Searefico's new contract bookings reached VND 2,213 billion, representing a 6.5% year-on-year increase, while executed revenue rose 11.5% to VND 1,207.5 billion. Meanwhile, consolidated earning before tax grew nearly 4.7 times to VND 31.5 billion, and consolidated net earning after tax reached VND 24.6 billion, surging over 20-fold compared to just VND 1.2 billion in 2024.

According to the Board of Directors (BOD), these stellar results were driven by deliberate strategic shifts rather than market luck: "Despite a highly volatile business environment, the Board recognizes and highly commends the tireless efforts of the Executive Board and all employees in stabilizing operations, consolidating engineering and manufacturing capabilities, and progressively strengthening our market position."

Two core business pillars drove this growth: The Mechanical & Electrical (MEP & EPC) sector, the backbone of Searefico's ecosystem, recorded a 40% revenue increase and a 116% profit jump compared to 2024 with a prominent project portfolio spanning 5-star Marriott-standard resorts in Quang Nam - Da Nang, Hanoi, and Ho Tram, the Hung Ha Medical Complex, and the Movenpick Halong Hotel; meanwhile, the Industrial Real Estate sector maintained its sustainable growth path with profits doubling, reinforcing that strategic warehouse leasing remains a highly profitable and stable revenue stream, further marked by Searee officially entering the fast-moving consumer goods (FMCG) distribution market and generating an initial revenue of VND 25.8 billion as of December 31, 2025.

Regarding asset quality, the highlight was efficient working capital management: Short-term receivables decreased by 6.3% to VND 698.45 billion despite rising revenues, demonstrating significantly improved debt recovery capabilities. Concurrently, long-term assets surged by 40.9% to VND 525.36 billion, reflecting the Company's commitment to expanding capacity in preparation for upcoming growth cycles.

Quality of Earnings as Top Priority

Entering 2026, the Board of Directors is not chasing revenue growth at all costs, defining a clear strategy centered on selective growth, rigorous risk management, and cash flow optimization. To support this direction, the Board has submitted the 2026 Business Plan with targets of VND 2,300 billion in new contract bookings, VND 1,600 billion in revenue, VND 48 billion in consolidated earning before tax, and VND 39 billion in consolidated earning after tax.

To realize these goals, the Board has outlined three operational focal points: Prioritizing projects in industrial, logistics, automation, and green energy sectors where Searefico commands competitive advantages and higher margins; reinforcing its position as a leading EPC and EPCF contractor offering comprehensive turnkey solutions; and boldly investing in projects of long-term strategic value in line with the Board-approved pivot roadmap.

A solid foundation for this plan is the carried-forward backlog of nearly VND 2,000 billion, equivalent to over 120% of the targeted revenue for 2026.

Based on the audited 2025 financial results, the Board will submit a proposal to the General Meeting of Shareholders for a cash dividend payout of VND 500 per share for 2025, equivalent to 5% of par value, sourced from undistributed post-tax profits. For the 2026 plan, the Board also proposes maintaining a similar dividend level if profit targets are met, with the flexibility to seek shareholder approval for upward adjustments if profits exceed expectations.

Vision 2030: Pure Holding, AI, and Industrial Ecosystem

The Board has set out a deep transformation roadmap for the 2026–2030 period. Searefico will complete its transition into a "Pure Holding" corporate governance structure, clearly separating ownership from executive management to enhance system-wide transparency and accountability. Concurrently, Artificial Intelligence (AI) will be integrated comprehensively into corporate governance, manufacturing, bidding, and supply chain management to maintain its competitive edge in the digital era.

Regarding infrastructure, Searefico will prioritize expanding the Searee Industrial Building (SIB) in Hoa Khanh Industrial Zone, Da Nang, which is expected to commence operations by the end of Q2/2026, while researching potential industrial real estate investments for the next cycle.

The 2026 Annual General Meeting (AGM) will also consider restructuring the Board of Directors following the resignation of two members - Mr. Le Quang Phuc (Independent Board Member, resigning effective April 29, 2026) and Mr. Nguyen Huu Thinh (Board Member, resigning effective May 6, 2026) due to personal plans.

FiLi