PRESS RELEASE: VINCOM RETAIL ANNOUNCED BUSINESS AND FINANCIAL RESULTS FOR THE THIRD QUARTER OF 2019
On 28 October 2019, Vincom Retail Joint Stock Company (Vincom Retail, ticker “VRE”) released its consolidated financial statements of the third quarter of 2019 (3Q2019) prepared in accordance with Vietnamese Accounting Standards (VAS), and reported positive growth momentum compared to the same period last year.
Vincom Retail reported good business results in leasing of investment properties and rendering of related services in 3Q2019. Revenue from leasing was VND 1.807 trillion, an increase of 29.3% year-on-year. Revenue from sale of inventory properties declined because Vincom Retail handed over the Vinpearl Riverfront Condotel Danang project, a large project, in 3Q2018. Particularly, revenue from sale of inventory properties was VND 339 billion, corresponding to 22.6% of sale of inventory properties in the same period of 2018, and total consolidated revenue was VND 2.208 trillion, corresponding to 75% of total consolidated revenue of 3Q2018. However, with better gross profit margin for sale of inventory properties, the company achieved profit after tax of VND 717 billion, an increase of VND 161 billion or 29% compared with the same period in 2018. As of 30 September 2019, Vincom Retail’s total assets were VND 37.585 trillion and shareholders’ equity was VND 28.024 trillion.
As of 30 September 2019, Vincom Retail had 70 retail malls under operation in 39 cities and provinces throughout the country, with approximately 1.5 million sqm of total retail GFA, maintaining its position as the largest retail developer, owner and operator in Vietnam. In the third quarter of 2019, Vincom launched the first modern retail mall in Hoa Binh province, offering local customers with a variety of leading fashion, entertainment and culinary brands. Besides, marketing campaigns were regularly organized throughout our network. Key campaigns such as Vietnam Red Shopping Festival in July 2019 and Mid-Autumn Campaign “Green Journey – Peaceful Mid-Autumn” attracted large numbers of customers who participated in sight-seeing, shopping and other activities. These events affirmed Vincom malls’ position as the top retail and social destination that connect the community in the cities and provinces where our malls are present. Lastly, in 3Q2019, Vincom Retail has begun preparation for the opening of nine retail malls in 4Q2019, including six Vincom Plazas and three Vincom+. By the end of 2019, Vincom Retail’s network is expected to reach 79 malls throughout the country.