27/03/2019 03:29:00 PM
In 1Q2018, HPG revenue and net profit reached VND 13,161 billion
(+26.1% yoy) and VND 2,222 billion (+14.8% yoy) respectively,
fulfilling 23.8% and 27.6% company’s revenue and net profit target
for 2018. Strong revenue growth in 1Q2018 was attributed to a
gain of VND 515 billion from sales of the Mandarin Garden 2 projects (compared to VND 16 billion in 2016) and sales volume of
construction steel and steel pipes reached 542,000 tons (+10%
yoy) and 148,200 tons (+17% yoy) respectively, and steel price
increased. Gross profit margin was 22.8% compared to 23.9% in
the same period in 2017, gross profit margin slightly lower than the
same period last year due to the profit from the iron ore hedging
contract of about VND 700 billion in 1Q2017. Other expenses have
not changed compared to 2017.
27/03/2019 03:28:00 PM
Most of non-recurring items recorded during 2018 would lead to less room for
abnormal recording in 2019 and afterward. From now on, therefore, it would be
more difficult for ACB to achieve the infrequently high growth as the last 2
years.
Non-interest income is forecast to slowdown because the sources of growth in
the last 2 years, which mostly comprise of losses recovery, would be less
abundant since 2019.
Retail lending, which focuses on mortgage car loans, is expected to withhold its
position as the leading activities like in the last 2 years’ figures and follow the
general trend within banking industry. Beside, digital banking progress in
“Future bank” strategy will be kept highly invested and expanded.
Cost of funding pressure would be more prominent in 2019 due to many
reasons: 1) Global interest rate hike and trade conflicts; 2) Domestic bond yield
is forecast to stay in growing trend; 3) Drastic competition in customers deposit
with rising compression from SOE-ban
27/03/2019 03:26:00 PM
In 1H2018, HBC earned a revenue of VND 8,079bn (+19.6% yoy, completng 41.1% of annual plan) and net proft of VND 294.6bn (-22.0%
yoy, completng 30% of annual plan). Gross proft margin went down
from 10.9% in 1H2017 to 9.6% in 1H2018 due to factors including an
increase in social insurance because of new Government’s policy, a
rise in price of input materials, a drop in selling price due to compettve pressures and temporary discontnuaton of some constructon
projects as a result of developers’ issues.
Revenue and net proft of HBC in 2H2018 is expected to reach VND
11,500bn ((+23.9% yoy) and VND 692 bn (+42.9% yoy, including earnings from project transferring), proft from core business is projected
to be VND 418bn (-13.6% yoy).
Therefore, we recommend a HOLD to HBC with a target price of
VND21,900/share, equivalent to estmated PE of 6.0x. This price is
considered reasonable based on HBC’s business conditons, 1H2018
performance as well as 2H2018 outlook of constructon sector.
27/03/2019 03:23:00 PM
TCB is a bank with medium asset size and credit market share among private
commercial joint stock bank, but its operating effectiveness has been
continuously improved, which helped the bank to be ranked at the top group in
2018. TCB achieved this success thanks to the strategic value chain of Vingroup -
Masan - Vietnam Airlines ecosystem combined with the economic growth
oriented by export, consumption and real estate investment.
We noted TCB has developed a coherent strategy to approach customers, which
can create high-quality products suitable for each customers segment. The bank
is currently the pioneer in some core business segments: Market share ranking
No.1 in mortgage loans; advisory and brokerage involved in corporate bonds;
bancassurance fee; ranking at the top in transaction banking growth. Effective
operating model and dynamic BOM are the premise for the current result.
Strong capital base, guaranteed asset quality and the viable strategy are the
foundation for
27/03/2019 03:20:00 PM
Thanks to long-term relationships with military enterprises such as Viettel,
Vinacomin, Saigon New Port, Vietnam Helicopter,… MBB has become the leading
bank in terms of CASA, ranked 2nd in terms of average funding cost and among
the top group of high profitability/assets with the results in 2018 of 33.5%; 3.48%
and 1.83% respectively. This has been the biggest competitive advantage of MBB
in the competition for credit market share and other activities.
The growth in personal consumer loans focusing on mortgage loans and
consumer unsecured loans at MCredit are two main highlights in the trend of
shifting to retail credit. In addition, the boosting of Non-NII from life insurance
with MB Ageas and payment activities will help the bank diversify revenue
sources and minimize risks. These will be two important motivations for MBB's
activities in the coming years.
We expect a stronger transformation of MBB as it took place in 2018 under the
leadership of the first CEO in the his
27/03/2019 03:19:00 PM
Overall demand is still healthy based on population growth, an increase in
urbanisation rate and a rise of middle income class. Demand for the affordable
and mid-range apartments in the West of Hanoi remains high, while in the
center, high-end condo and landed property segments are expected to grow
robustly.
VPI’s current portfolio consists of about 18 projects and some unpublished
projects with the total square up to 230 hectares. This land bank is sufficient for
the next five years of development. Most of VPI’s projects are located in high
demand areas of Hanoi with an ease to access transportation networks, public
infrastructure and business center. VPI has an advantage to execute the
projects due to low land costs by doing the Build-Transfer projects and getting
land in exchange for infrastructure.
We estimate the Company’s revenue in 2018 is approximately VND2,143 billion,
up 144.8% y-o-y; profit after tax reaches VND593 billion, up 40.7% y-o-y, mainly
from low-rise
27/03/2019 03:18:00 PM
Electric battery is a device that consists of one or more electrochemical cells with
external connections that are supplied to power devices such as flashlights,
smartphones and electric vehicles. When the battery is powered, its positive
terminal is cathode and its negative terminal is anode. When a battery is
connected to an external circuit, electrolytes are able to move as ions within,
allowing the chemical reactions to be completed at the separate terminals and so
deliver energy to the external circuit. The term "battery" specifically referred to a
device composed of multiple cells.
According to Automotive Battery Market Size Report 2017 (Grand View Reseach),
the worldwide automotive battery industry was valued at USD 48.7 billion in 2016,
with an annual growth rate of 7% untill 2025.
Batteries have much lower specific energy (energy per unit mass) than common
fuels such as gasoline. Today, higher efficiency electric motors are used instead of
internal combustion engi
27/03/2019 03:17:00 PM
Demand for mid-range residential housing products remains healthy as there
are still a great number of people purchasing apartments for residential purpose
thanks to the large working-age population, rapid urbanization and middle-class
expansion. This segment is also the development focus of the Company’s
medium and long-term strategies.
Hai Phat Invest possesses 158ha of clean land bank, mostly located in the West
of Ha Noi and Khanh Hoa coastal area which is a great competitive advantage of
the Company. The location of this land bank fits the Company’s business
strategy to develop the mid-range segment in the West of Ha Noi, where
synchronous traffic infrastructure and services are heavily invested, leading to
an increase in housing demand.
In 2018, estimated revenue of the Company is VND 3456bn, up by 220% yoy;
however, estimated net profit is only VND 257bn, down by 21% yoy, lower than
the Company’s plan of VND 450bn. The decrease in estimated net profit in 2018
resul
27/03/2019 03:15:00 PM
FPT has currently operated in 3 major business areas which are: (1) Information
technology; (2) Telecomunication; (3) Education. Leading in technology trends for
30 years, FPT is now the top enterprise in information and technology sector in
Vietnam and has its reputation in the region with a large number of customers
including the ones in Fortune 500. In terms of telecom, FPT ranks second in the
country with 28.1% market share, and owns Internet infrastructure covering 59
cities and provinces together with 4 data centers over the country. In addition,
although the education area only contributes low profit proportion, impressive
development stages have been shown.
In the first 8 months of 2018, FPT’s revenue and PBT increased by 19% and 32%
respectively yoy (excluding revenue of retail and distribution in 2017). Revenue
from Technology and Telecomunication accounted for 94% of total revenue;
Technology and Telecom PBT reached VND 863 bn and VND 994 bn, increasing by
31% y
27/03/2019 03:13:00 PM
Healthy economy combining with fast growth population and high urbanization
rate are the positive drives for the development of construction and building
materials industry in general and tile sector in particular. At present, while there is
an oversupply of ceramic tile, total capacity of Granite tile production in Vietnam
is limited, which stimulates the growth of tile manufacturers in coming times.
Total design capacity of CVT reached 18mn m2/year, securing 4th rank in the list of
80 Vietnamese tile manufacturers. Gross profit margin of CVT is 23.8%, the highest
rate among that of the listing tile manufactures, contributed by the efficient
distribution system, factories adjacent to resources mines and especially the
flexible production lines capable of altering products for public tastes in each
period.
CAGR of profit of CVT in 7 years is 28.32%. In early 2018, phase 3 of CMC2 factory
was put into operation, producing a new product which is the high-end soluble salt
and