ducvt
07-05-2019, 08:51 AM
In its first quarter consolidated financial report, FLC has to set aside a provision of VND220 billion ($9.6 million) for the investment of VND261 billion ($11.35 million) in H.A.I as the stock has been plummeting.
In the last four months of 2017, FLC was strongly buying the stocks of H.A.I. Agrochem JSC. So far, FLC has invested VND261 billion ($11.35 million) in H.A.I. by buying 23 million H.A.I. shares, accounting for 12.65 per cent, and is the company's largest shareholder. However, FLC also has to set aside a provision of VND220 billion ($9.6 million), which reduced the value of its investment in H.A.I to only VND41 billion ($1.78 million).
Since FLC bought H.A.I stock at the end of 2017, the price plunged from the peak of VND22,000 ($0.96) to VND7,000 ($0.34) per share and has been below VND5,000 ($0.22) ever since February 2018. The stock ended the session on May 2 at only VND1,670 ($0.07). This continuous plunge forced FLC to set aside sizeable provisions.
The firm's financial statement also reported total short-term and long-term loans of VND5.2 trillion ($227.22 million).
Recently, on April 12, FLC announced Resolution No.45/2019/NQ-HDQT-FLC on issuing nearly 300 million shares at the unit price of VND10,000 ($0.43). At the end of May 2, the FLC stock was only at VND4,810 ($0.21) per share.
The financial report also showed that the net revenue of FLC in the first quarter reached VND2.98 trillion ($129.56 million), an increase of 35 per cent compared to 2018. However, after-tax profit was only VND8 billion ($347,826), down 92 per cent, because the cost of sales increased sharply.
In the last four months of 2017, FLC was strongly buying the stocks of H.A.I. Agrochem JSC. So far, FLC has invested VND261 billion ($11.35 million) in H.A.I. by buying 23 million H.A.I. shares, accounting for 12.65 per cent, and is the company's largest shareholder. However, FLC also has to set aside a provision of VND220 billion ($9.6 million), which reduced the value of its investment in H.A.I to only VND41 billion ($1.78 million).
Since FLC bought H.A.I stock at the end of 2017, the price plunged from the peak of VND22,000 ($0.96) to VND7,000 ($0.34) per share and has been below VND5,000 ($0.22) ever since February 2018. The stock ended the session on May 2 at only VND1,670 ($0.07). This continuous plunge forced FLC to set aside sizeable provisions.
The firm's financial statement also reported total short-term and long-term loans of VND5.2 trillion ($227.22 million).
Recently, on April 12, FLC announced Resolution No.45/2019/NQ-HDQT-FLC on issuing nearly 300 million shares at the unit price of VND10,000 ($0.43). At the end of May 2, the FLC stock was only at VND4,810 ($0.21) per share.
The financial report also showed that the net revenue of FLC in the first quarter reached VND2.98 trillion ($129.56 million), an increase of 35 per cent compared to 2018. However, after-tax profit was only VND8 billion ($347,826), down 92 per cent, because the cost of sales increased sharply.