DIC Corp (DIG) experiences revenue decline, dissolves one subsidiary.

Facing significant business challenges, the General Corporation for Investment and Construction Development - DIC Corp (Code DIG) has announced the dissolution of one of its nine subsidiaries.

Specifically, DIC Corp has just completed the dissolution of Ha Nam Investment and Development Company Limited - DIC Ha Nam. According to the resolution of the Annual General Meeting of Shareholders issued on April 22, 2021, DIC Ha Nam was merged into DIC Corp. After the merger, the number of companies related to DIC Corp will include 8 subsidiaries and 4 associated companies.

DIC Corp (DIG) experiences declining revenue and has had to dissolve one subsidiary (Photo: Provided)

Regarding business results, DIC Corp has consistently recorded declining revenue and profits recently due to the impact of the sluggish real estate market.

Revenue in the most recent Q3 2023 reached VND 235.2 billion, a decrease of approximately 44.5% compared to the same period last year. The company recorded a gross profit of VND 66.9 billion, a decrease of 41% compared to the same period last year. The corresponding gross profit margin was 28.4%.

During the period, financial revenue was recorded at VND 10.8 billion, a decrease of 27.6%. At the same time, financial expenses also decreased by two-thirds, to VND 11.6 billion. Selling expenses and administrative expenses both decreased, recorded at VND 46.6 billion.

After deducting all expenses, DIC Corp's after-tax profit was VND 12.1 billion, an improvement compared to the same period last year. However, it should be noted that the company avoided losses partly due to significant reductions in payable expenses. Business operations are still being affected by the sluggish market, with revenue declining sharply compared to the same period last year.

DIC Corp's cumulative revenue for the first nine months of the year reached VND 593.7 billion, a decrease of 60.9% compared to last year. After-tax profit decreased by 31%, to only VND 97.7 billion. Compared to the business targets set at the beginning of the year, DIC Corp has only achieved 10% of its annual profit plan.

Source: https://www.congluan.vn/dic-corp-dig-doanh-thu-sut-giam-giai-the-1-cong-ty-con-post278122.html