Joint venture company with Honda and Toyota plans to spend nearly 5,000 billion VND in dividends

Vietnam Engine and Agricultural Machinery Corporation (VEAM) will hold its 2022 Annual General Meeting of Shareholders on June 20th. The meeting will include a proposal seeking shareholder approval for the profit distribution plan. Specifically, the Board of Directors will allocate over VND 4,962 billion to pay dividends in 2022, equivalent to a cash dividend of 37.3% (shareholders owning one share will receive VND 3,730). VEAM is a joint venture with foreign automotive corporations such as Honda, Toyota, and Ford.

Joint ventures with Honda and Toyota plan to pay out nearly 5 trillion VND in dividends.

As of the end of Q1 2023, VEAM had invested VND 8,002 billion in 8 joint ventures and affiliated companies, including Honda Vietnam (VND 6,215 billion), Toyota Vietnam (VND 1,002 billion), Ford Vietnam Co., Ltd. (VND 704 billion)... Currently, the Ministry of Industry and Trade owns 88.47% of VEAM's capital, so it is estimated that the state shareholder will receive nearly VND 4,390 billion.

At this year's General Meeting of Shareholders, VEAM also submitted to shareholders for approval a plan to list VEA shares on the Ho Chi Minh City Stock Exchange (HOSE). This plan was approved by shareholders in 2022 but has not been implemented because it has not fully met the listing regulations.

Last year, VEAM achieved total revenue of more than VND 4,747 billion and after-tax profit of more than VND 7,665 billion. This year, VEAM sets the parent company's revenue target at VND 1,187 billion, more than 2.2 times higher than the 2022 figure, and after-tax profit of VND 5,694 billion, up 1.2%.

VEAM stated that the company aims for strong sales revenue growth from industrial products by selling off long-standing inventory, seeking strategic partners, conducting market research to produce new truck models meeting Euro5 emission standards, and developing supporting industries.

Source link: https://thanhnien.vn/cong-ty-lien-doanh-voi-honda-toyota-du-chi-gan-5000-ti-dong-chia-co-tuc-185230602103947814.htm