GELEX: Growth from core business and long-term potential

(Chinhphu.vn) - Since the beginning of July, GEX shares have had an impressive growth momentum of more than 30%, making GELEX emerge as a notable name in the context of the market looking for bright investment spots with real value and growth potential.

In the first 6 months of the year, profit from core business activities increased nearly 3 times over the same period.

In the second quarter of 2025, GELEX 's consolidated net revenue reached VND 10,131 billion, an increase of 22.8% over the same period.

In terms of revenue by sector, electrical equipment manufacturing contributed VND6,518 billion, up 24.8%; industrial park and real estate sector reached VND1,110 billion, up 39.4%. Meanwhile, the construction materials sector also performed better, reaching VND2,149 billion, up 11.1%. Meanwhile, infrastructure and utilities continued to maintain growth momentum, recording VND343 billion, up 17.5%.

According to recently released figures, GELEX's gross profit reached VND 2,334 billion, up 56.1% compared to the second quarter of 2024, bringing the gross profit margin to 23%, a clear improvement compared to 18.1% in the same period, reflecting improved business efficiency in core segments.

The report also showed that GELEX's pre-tax profit was VND1,553 billion, up 12.3% over the same period. The record profit shows that the company had a particularly effective quarter with outstanding revenue growth and good control of operating costs.

In the first 6 months of 2025, GELEX achieved consolidated net revenue of VND 18,047 billion, pre-tax profit of VND 2,198 billion, up 21.1% and 24.3% respectively over the same period last year.

Excluding the profit from the transfer of renewable energy projects to partner Sembcorp in the first 6 months of 2024, GELEX's pre-tax profit from core business segments in the first 6 months of this year increased nearly 3 times compared to the same period. This is proof that the development strategies of GELEX and the entire system are effective, suitable for market conditions and taking advantage of potential opportunities.

With the above impressive results, at the end of the second quarter of 2025, GELEX completed 48% of the revenue plan and 72% of the pre-tax profit target for the whole year, creating a solid foundation for a breakthrough in the second half of the year with the expectation of reaching the targets set at the annual general meeting of shareholders in March this year.

As of June 30, 2025, GELEX's total consolidated assets reached VND 59,261 billion, up 10.2% compared to the beginning of the year. Of which, short-term assets increased by 17.2%, mainly due to expanding short-term financial investments to take advantage of market opportunities and increasing inventories and receivables to serve core production and business activities.

Regarding financial indicators, the enterprise maintains its debt ratio and debt-to-equity ratio at a stable and safe level. Liquidity indicators and principal and interest repayment ability indicators continue to improve and are significantly higher than the standard threshold.

Ecosystem of energy-saving and environmentally friendly products of enterprises in the electrical equipment manufacturing sector of GELEX

Long-term investment

Besides business efficiency, GELEX also affirms its corporate position through a solid value foundation and promising long-term development strategies.

Electrical equipment manufacturing is one of the main business pillars of GELEX, with an ecosystem of prestigious brands in the electricity industry value chain such as CADIVI, THIBIDI, EMIC, CFT... The demand for electricity and electrical infrastructure is increasing, especially in the context of industrialization, urbanization and renewable energy development in Vietnam, creating sustainable growth momentum for this segment. Investing in new technology, green products and expanding distribution channels helps subsidiaries in the GELEX system maintain market share and increase profit margins.

Meanwhile, GELEX's infrastructure sector is supported by the Government 's policy of promoting public investment, developing infrastructure and attracting FDI, and the demand for construction materials and production premises in industrial parks is increasing sharply.

Viglacera member units are currently actively expanding their land fund, adding 3 large projects in the locality to their portfolio, specifically: Doc Da Trang Industrial Park Project, with an industrial park area of 288 hectares in Van Hung commune (Van Ninh district) and Ninh Tho commune (Ninh Hoa town); total investment capital of more than VND 1,807 billion; Tran Yen Industrial Park - phase 1 (254.6 hectares, total investment capital of VND 2,184 billion) in Yen Bai province; Song Cong II Industrial Park - phase 2 (296.2 hectares, total investment capital of VND 3,985 billion) in Thai Nguyen province. GELEX's industrial parks are benefiting from the wave of global supply chain shifts, attracting many high-quality foreign investors. This is a stable source of revenue and has strong growth potential.

The energy - clean water and construction materials sectors are also continuing to grow. Diversification in core business sectors not only helps GELEX spread risks but also creates a valuable ecosystem, supporting each other in the supply chain, thereby optimizing operational efficiency and bringing higher profits.

GELEX has accessed quality international capital flows from major banks with an unsecured loan of USD 79 million, providing additional important resources for GELEX's strategic projects.

Long-term potential from innovation and expansion strategy

GELEX not only focuses on developing current business segments but also actively implements breakthrough strategies, opening up long-term growth potential.

As one of the few enterprises committed to investing in research and development, with 2% of revenue from the electrical equipment segment, GELEX promotes research, development and application of new technology to create high value-added, environmentally friendly products that meet international standards. This not only helps GELEX improve its competitiveness but also expand its market segments, especially potential export markets.

The company focuses on ESG factors (environment, society and governance) to build a stable and sustainable system; the comprehensive digital transformation roadmap helps GELEX improve management efficiency, optimize production and business processes, thereby minimizing costs and enhancing adaptability to market fluctuations.

In recent times, strengthening cooperation with prestigious international partners has not only helped GELEX access capital and advanced technology but also enhanced its brand position.

It can be seen that GELEX's transparent and positive business results have demonstrated its ability to generate outstanding profits from core operations. From the traditional business segments that have been consolidated, GELEX has seriously innovated and expanded. With an effective corporate governance platform, the enterprise has increased its ability to adapt to the market, manage risks and implement strategies. With the above factors, GELEX is not only an attractive short-term investment opportunity but also a strategic choice for investors seeking sustainable growth and long-term value.

Source: https://baochinhphu.vn/gelex-tang-truong-tu-hoat-dong-kinh-doanh-loi-va-tiem-nang-dai-han-102250730124107845.htm