Nam Long: Q1 Net profit is over VND 110 billion

Nam Long Group (HOSE: NLG) has released its Q1/2020 consolidated financial statements with net revenue and net profit increased by over 25% and 600% respectively.

NLG Q1 results

Unit: Billion dong

Source: NLG Q1/2020 Consolidated financial reports

In the first quarter of 2020, Nam Long earned more than VND 416 billion in net revenue, equivalent to a 25% increase compared to the same period last year. In particular, revenue from services was VND 178 billion, 4 times higher than previous year; revenue from sales of land, townhouses, villas and apartments totaled VND 144 billion thanks to completion and handover of various projects, including Flora Novia, townhouses and villas at Valora Island.

Nam Long’s revenue structure in Q1/2020

Unit: %

Source: NLG Q1/2020 Consolidated financial reports

Besides, Nam Long also recorded nearly VND 39 billion of interest in joint ventures and affiliates, equivalent to an increase of more than 300% compared to the same period of last year. Thereby, the company’s net profit from sales reached VND 130 billion, 600% increase compared to Q1/2019. However, since there were no other major profits as in Q1/ 2019, Nam Long’s net profit was only over VND 110 billion, 24% less than last year. By the end of Q1/2020, Nam Long's total asset was VND 10,931 billion, slightly increased by VND 26 billion compared to the beginning of the year. Current assets particularly totaled VND 7,781 billion, dropped by 2%; long-term assets reached VND 3,149 billion, increased by 6%. NLG's financial structure as of March 31, 2020 is relatively stable as the company's current liabilities only took up 38% of the current assets. Moreover, short-term prepayments accounted for most of the Company's short-term debt (over 49%), at a total of VND 1,458 billion. On the stock market, NLG stock price has rebounded more than 15% from April 24, currently trading at VND 21,500 per share (as of April 21), with average trading volume at 688,609 shares per session for the past 1 year.

NLG stock price movements from 2019 to the present