Orders increase, businesses expand production

It is noted that many industrial enterprises in the city have stable and increasing orders. Therefore, enterprises increase production and expand scale to meet market demand in the coming time.

Producing export goods at the Central Seafood Import-Export Joint Stock Company. Photo: VAN HOANG

Business Acceleration

According to the second quarter financial report of Danang Rubber Joint Stock Company (DRC), DRC's net revenue in the second quarter was VND 1,364 billion, up 17% over the same period in 2023. This is also the highest quarterly revenue since its operation. After deducting expenses, DRC earned VND 77.4 billion in the second quarter of 2024, up 52% over the same period. In the first 6 months of 2024, the company's revenue reached VND 2,300 billion, up 3% and profit was VND 127 billion, up 66% over the same period. Compared to the annual plan, the company achieved 46% of the revenue target and 56% of the profit target, respectively.

Mr. Le Hoang Khanh Nhut, General Director of DRC, said that the above results were achieved because the company had successfully researched many new product lines such as LTR and PCR tires, creating its own competitive advantages. In particular, the company completely replaced imported rubber with domestic rubber sources to produce Radial car tires, contributing to proactive production planning and significantly reducing product costs. In addition, DRC is completing phase 3 of the Radial tire factory, and the project's machinery and equipment will be put into use as soon as they are installed. In 2024, the planned production and consumption output of Radial tires is 900,000 tires, but when the project is completed, the capacity can be up to 1,200,000 tires/year, which will be the premise for the company to continue to grow.

Meanwhile, Mr. Nguyen Van Hai, General Director of Hoa Tho Textile and Garment Joint Stock Corporation, informed that in the first 6 months of 2024, Hoa Tho's consolidated revenue is estimated at VND 2,286 billion (about 90 million USD), achieving 51% of the yearly plan; profit is estimated at VND 142.7 billion, achieving 65% of the yearly plan; export turnover is USD 113 million, achieving 46% of the yearly plan. Compared to the initial plan of VND 4,500 billion in revenue in 2024 and VND 220 billion in pre-tax profit, Hoa Tho adjusted its profit plan to increase by VND 262 billion in mid-July.

To achieve the above goals, Hoa Tho continues to focus on exploiting and expanding the market to ensure stable and high-quality production orders for factories; well prepare conditions to expand new markets in the United States and Europe; continue to invest in the direction of modernization, high automation and use of green energy to achieve the greening goal according to the set roadmap.

Noting positive signals with the number of orders signed by the end of the third quarter and continuing to sign for the fourth quarter of 2024, Vinatex Da Nang Joint Stock Company is implementing solutions to achieve and exceed the total sales revenue target of 710 billion VND in 2024. Mr. Ho Hai, General Director of the company, said that the company continues to implement the project to expand the Phu My garment factory (Binh Dinh), complete the procedures for the My Chanh garment factory project (Binh Dinh). In addition, the company continues to monitor market demand to promptly restructure product categories, exploit sufficient sources of goods for factories in the entire system; build and organize the synchronous implementation of the assessment of social responsibility standards for factories, meeting the requirements of green production.

Production activities at Danang Rubber Joint Stock Company. Photo: MQ

Continued production support

According to the Department of Industry and Trade, production and business activities of economic sectors in the city have been regaining growth momentum. A number of enterprises have found orders and signed contracts to consume products, contributing to promoting the recovery of the industrial production sector. The city's industrial production index in the first 6 months of 2024 is estimated to increase by 3.75% over the same period in 2023, of which the processing and manufacturing industry increased by 3.5%; electricity production and distribution increased by 14.56%, water supply industry; waste and wastewater management and treatment activities increased by 0.32%, while the mining industry decreased by 31.5%.

The city has approved the criteria for selecting organizations to invest in production and business, and implemented the selection of organizations to invest in production and business in Cam Le Industrial Cluster; submitted to the City People's Council to issue Resolution No. 12/NQ-HDND dated May 24, 2024 on the decision to adjust the investment policy of the Auxiliary Area project serving the Da Nang High-Tech Park project to convert and form Hoa Lien Industrial Cluster. In addition, the city is implementing related procedures to establish Hoa Lien Industrial Cluster; promulgating a set of criteria for selecting investors to build technical infrastructure for Hoa Nhon Industrial Cluster; completing procedures for selecting investors for the project to build and operate infrastructure for Hoa Cam Industrial Park - Phase 2.

Mr. Tran Van Ty, Deputy Head of the Management Board of the High-Tech Park and Industrial Parks, said that in the first 6 months of 2024, the Management Board granted construction permits to 11 projects; inspected the acceptance of completed construction items of 9 projects; and appraised the investment feasibility study reports of 3 projects. To support businesses, the Management Board has developed regulations on incubation management and support for incubation projects in the High-Tech Park; provided guidance on the selection of high-tech incubation projects and high-tech enterprises. The Management Board will soon organize a business dialogue conference in the High-Tech Park, the Concentrated Information Technology Park and industrial parks to listen to recommendations and proposals from businesses to remove difficulties and support production.

Ms. Le Thi Kim Phuong, Director of the Department of Industry and Trade, said that the department continues to support businesses in conjunction with the policy of developing supporting industries according to Resolution No. 53/2021/NQ-HDND of the City People's Council, focusing on supporting processed and manufactured products; continuing to support consulting on the development of smart factories for businesses; supporting businesses in finding product output markets and markets supplying raw materials for processing and manufacturing industries, thereby gradually promoting growth in both production and export for these industries. The department also encourages and supports businesses in finding domestic sources of raw materials, participating in and forming domestic production supply chains to diversify supply sources, especially increasing added value for processed and manufactured industrial products, thereby creating production stability and increasing product competitiveness.

CINNAMON

Source: http://baodanang.vn/kinhte/202407/don-hang-tang-doanh-nghiep-mo-rong-san-xuat-3978309/