Low capital, high profit

Hai Phong Funeral Service Joint Stock Company (CPH) is a rather special enterprise on the stock market with the business field of funeral services.

Established on June 28, 2010, formerly known as Funeral Service Company Limited, CPH converted to a joint stock model in 2015 and was listed on UPCoM in 2017. The company specializes in providing funeral and cremation services, and managing Ninh Hai and Phi Liet cemeteries in Hai Phong and neighboring areas.

The company has a charter capital of 44 billion VND. Hai Phong City People's Committee owns 64.5% of shares. Hoang Phat Construction Investment and Trading Company Limited holds 10%. Chairman of the Board of Directors Nguyen Hong Le holds 5.33%.

CPH has a fairly high revenue of more than 150 billion VND in 2024, an increase of 15% compared to the previous year. Profit after tax reached nearly 10.8 billion VND, an increase of 6% compared to 2023. The financial situation is very positive, the enterprise has no bank loans.

Although the financial indicators are very good, CPH shares have almost no transactions, the price is very low at 300 VND/share. Most of CPH shareholders are long-term, holding shares to receive dividends instead of trading to 'eat' the price difference.

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CPH is managing, maintaining and taking care of graves at Ninh Hai and Phi Liet cemeteries (Hai Phong). Photo: CPH

Workers have quite high incomes. Chairman of the Board of Directors Nguyen Hong Le has an income of more than 1.3 billion VND/year, equivalent to 109.5 million VND/month.

Board member and Deputy General Director Vu Van Phong has an income of 713 million VND, equivalent to nearly 60 million VND/month. Mr. Pham Xuan Thu - Board member and General Director with nearly 698 million VND. Ms. Nguyen Thi Hai Yen - Head of the Inspection Board has an income of more than 642 million VND; Mr. Nguyen Huu Long - Deputy General Director has an income of approximately 607 million VND...

CPH's revenue comes from managing and organizing funeral services, burial, exhumation, cremation, funeral transportation, cemetery management, providing funeral goods and services...

In addition to providing funeral, burial and cremation services, part of the revenue comes from the sale of urns, coffins, stone tombs and the production and sale of single and double tombs and infrastructure.

Revenue and profit mainly from selling vases, coffins, and stone tombs

Of the more than 150 billion VND in revenue, revenue from selling goods (vase, coffin, stone tombs of all kinds) reached more than 85.1 billion VND; revenue from finished products (production and sale of single tombs, double tombs and infrastructure) reached nearly 1.7 billion VND and service revenue (providing funeral, reburial and cremation services) reached more than 64.8 billion VND.

According to the financial report, although the service sector brings in the largest revenue, the gross profit margin of this sector is quite thin at more than 6.9%. Meanwhile, the gross profit margin of goods and finished products reaches 46% and 65.2% respectively.

Chairman of the Board of Directors Nguyen Hong Le (born in 1969) joined this company in 1988 as a security guard. After holding many positions from officer to head of department, assistant to general director to director, since 2012, Mr. Le has held the position of Chairman of the Board of Directors and General Director. In 2016, Mr. Le only held the position of Chairman of the Board of Directors.

Besides, the two deputy general directors of Hai Phong Funeral Company also came from security guards, Mr. Tran Van Phu (born in 1976) and Vu Van Phong (born in 1971).

CPH is managing, maintaining and taking care of graves at Ninh Hai cemetery and Phi Liet cemetery - Hai Phong. In addition, CPH also produces and trades funeral products such as coffins, urns, ceramic and porcelain urns, burial objects, worship objects, etc.

Recently, CPH has faced competition from other companies in the same industry, private funeral services in Hai Phong and some neighboring provinces also invested in cremation.

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