Novaland reported a 15% increase in revenue in the first quarter of the year, thanks to the successful handover of key projects in Ho Chi Minh City and suburban areas. However, profits were negative due to exchange rate differences. The company’s financial statements show that net revenue from sales and service provision exceeded 697 billion VND, up 15% compared to the same period last year.
The biggest contributor to this increase was the handover of projects such as NovaWorld Phan Thiet, NovaWorld Ho Tram, Aqua City, Palm City, and Lakeview City. Despite this, financial revenue decreased by more than 30% to about 640 billion VND due to deficits in profit from investment cooperation contracts. Novaland reported an after-tax loss of nearly 601 billion VND, a 46.5% increase compared to the same period in 2023, with over 452 billion VND of the loss attributed to exchange rate differences.
As of March 31st, Novaland’s total assets stood at over 236,480 billion VND, with inventories worth nearly 140,900 billion VND. Most of the inventory value comes from land funds and projects under construction. In recent months, the company has focused on financial restructuring activities such as an international convertible bond package worth $300 million USD.
Novaland’s Chairman of the Board of Directors announced that the company has completed restructuring domestic and foreign debts and bonds while maintaining a balanced assets for debt ratio. The Board also approved a plan to issue shares worth over 11,700 billion VND to existing shareholders with an expected offering time in the second quarter. The capital raised will be used for completing unfinished projects and handing them over to customers.
This year, Novaland aims to achieve consolidated revenue of nearly $32bn USD and a profit after tax of nearly $1bn USD – significant increases compared to the same period last year. Key projects generating revenue in upcoming months include Aqua City, NovaWorld Phan Thiet
