Hoa Phat Group achieved VND6.8 trillion after-tax profit in 2023

In the last quarter of 2023, Hoa Phat Group achieved the best business results of the year. Specifically, the group's revenue recorded VND34.9 trillion, posting 33 per cent year-on-year increase. Its after-tax profit recorded VND2.9 trillion, an increase of 249 per cent over the same period in 2022 and 48 per cent over the previous quarter. For the whole year, Hoa Phat reached VND120.3 trillion in revenue, reducing 16 per cent over last year. The group’s after-tax profit was VND6.8 trillion, completing 85 per cent of the whole year’s set plan.

In 2023, Hoa Phat Group produced 6.7 million tons of crude steel, down 10 per cent compared to 2022. Sales of HRC steel products, construction steel, high quality steel and steel billets reached 6.72 million tons, representing 7 per cent year-on-year decrease. Of which, construction steel and high quality steel reached 3.78 million tons, down 11 per cent over year. Hot rolled steel coil (HRC) recorded nearly 2.8 million tons, an increase of 6 per cent compared to 2022. In addition to traditional steel product lines, Hoa Phat Group has invested in deep processing, promoting production of high quality steels to serve both domestic and export demands.

Hoa Phat’s steel export markets have been expanded to 39 countries and territories worldwide. The export helps Hoa Phat Group diversify consumer markets, while contributing to foreign exchange earnings and balancing Vietnam's trade balance.

Regarding steel pipe products, Hoa Phat Group has provided 685,000 tons to the market, posting 9 per cent year-on-year decrease. The output of galvanized steel sheets of all kinds reached the same last year’s level with 329,000 tons.

With a crude steel capacity of 8.5 million tons a year, the largest in Vietnam and Southeast Asia, Hoa Phat Group leads the market share in Vietnam in construction steel and steel pipes; Top 5 largest manufacturers of galvanized steel sheets. The group is the only Vietnamese enterprise that can produce HRC steel, pre-stressed steel cables and many types of high quality steel.

Other business areas also made their mark with the official supply of container shell products to the market from the beginning of August 2023. Also in August, Hoa Phat put the first berth of the general container port in Dung Quat - Quang Ngai into operation to serve the cargo loading and unloading needs of businesses at Dung Quat Economic Zone and surrounding areas. The household appliances sector expands sales channels, continuously introducing a series of new products such as large freezers, washing machines, water dispensers, new generation water purifiers, air coolers, and induction cookers, infrared stove, dishwasher etc that meet the market’s needs. Consumers can easily buy Hoa Phat products at electronics supermarkets nationwide and through e-commerce sites such as Shopee, Lazada, Tiki...

In the agricultural sector, the group optimizes the scale and investment efficiency of animal feed factories, pig, cow and chicken farms across the country with the goal of maintaining its position and market share in the leading group in supplying clean chicken eggs and commercial pigs to the market. In particular, Hoa Phat Poultry JSC exceeded the output of 300 million eggs for the first time, launching pink shell chicken eggs. Hoa Phat also continues to invest in expanding existing industrial parks in Hung Yen and Ha Nam, creating more clean land funds and technical infrastructure to serve the production and business investment needs of domestic and foreign enterprises.

According to the newly announced ranking of Vietnam Report and VietnamNet newspaper, Hoa Phat Group continues to maintain the No. 1 position in the Top 10 largest private enterprises in Vietnam for the second consecutive year and ranks 8th in the Top 10 largest enterprises in the country.

In the coming time, the market is expected to be improved but not clearly because the domestic and foreign economies still face many difficulties. The group prioritizes good management of cash flow, inventory, and production and business in accordance with the market situation. At the same time, Hoa Phat will closely follow the investment progress of large projects, especially Dung Quat 2 Steel Integrated Complex, ensuring their effectiveness.

The Dung Quat 2 Project has reached 45 per cent of the scheduled progress so far. When the project come into operational, the group's production capacity will reach more than 14 million tons of crude steel a year, bringing Hoa Phat into the Top 30 largest steel enterprises in the world from 2025.

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