As a symbol of the stationery market in Vietnam, Thien Long Group (Code: TLG) associated with the name of Chairman Co Gia Tho is facing many difficulties. Notably, the business results in the first quarter of 2025 decreased due to the poor export market. This led to a sharp decline in stock prices, showing that investor confidence is declining.
Q1/2025 business results decline, fragile recovery in April
The first quarter 2025 report shows that Thien Long's net revenue was VND794.43 billion, down 1.8% compared to the same period last year. Although revenue was almost flat, profit after tax decreased sharply by 10.7% compared to the previous year, equivalent to only VND78.9 billion.
In particular, domestic revenue was a bright spot with a slight increase of 3.3%, reaching 510.9 billion. The export segment, on the other hand, dropped sharply by 9.7% to only 283.5 billion VND. This is a sign that TLG is facing difficulties in the international market. This is even more evident when export tariff policies are in a period of unpredictable fluctuations.
In addition, financial expenses and interest expenses increased by 17% and 49.65% respectively over the same period, showing that Thien Long is facing a cost problem. This will directly affect the business results of the first quarter as well as the first half of 2025.
Entering April, the company recorded a recovery when export revenue increased by 39%, reaching 111.5 billion, bringing the 4-month revenue to 1,090 billion VND. However, compared to the same period, revenue only increased by 1.1%. Showing that although revenue has recovered, positive signals are still not clear for Thien Long.
Meanwhile, the annual plan sets a revenue target of 4,200 billion (up 12% compared to the previous year), the target profit is only 450 billion VND (down 3% compared to the same period), showing that the company is being very cautious in the context of many fluctuations in the world economy .
Stocks lose value, major shareholders divest, leaders still receive ESOP of hundreds of thousands of shares
Thien Long's poor business results in the first quarter of 2025 immediately and directly affected the price movement of TLG shares. At the beginning of 2025, TLG shares were recorded at around VND 61,500/share but then continuously lost value.
There was a time when TLG "bottomed out" at 41,600 VND/share on April 9, 2025, equivalent to a loss of 32.4% in just the first 4 months of the year. In the morning trading session on June 13, 2025, TLG recovered to 51,900 VND/share, but compared to the beginning of the year, it was still down 15.6%.
In the above context, a major shareholder of TLG, Kim Vietnam Fund Management Company Limited, has made a move to divest capital. Specifically, Kim Fund sold 1 million TLG shares in April 2025, reducing its ownership from 4.8 million shares to only 3.8 million shares, equivalent to 4.36% of charter capital. After divestment, Kim Fund is no longer a major shareholder of TLG.
Despite the unsatisfactory business results and unfavorable stock prices, TLG still issued a large number of ESOP shares to the company's leaders. Specifically, Thien Long plans to issue 1.3 million ESOP shares at a price of VND10,000/share (equivalent to less than 20% of the market price). The purchasers are members of the Board of Directors and management staff.
Notably, Chairman Co Gia Tho was allowed to buy 340,000 shares, Ms. Tran Phuong Nga - Executive Director was allowed to buy 200,000 shares, Ms. Co Cam Nguyet - Member of the Board of Directors was allowed to buy 180,000 shares.
Source: https://baodaknong.vn/co-phieu-thien-long-tlg-mat-gia-14-loat-lanh-dao-van-duoc-thuong-esop-hang-tram-nghin-co-phieu-255449.html
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