Lideco (NTL) revenue halved, coming soon

Tu Liem Urban Development Joint Stock Company - Lideco (Code NTL) is the predecessor of Tu Liem Construction Enterprise, established in 1974. The company has just implemented a plan to issue shares to increase its capital from equity capital. The issuance ratio is 1:1, equivalent to each shareholder owning 1 share will receive 1 newly issued share.

Lideco (NTL) only completed 2% of the yearly plan in 3 months, still planning to double its capital (Photo TL)

After the issuance, Lideco's charter capital is expected to increase to nearly VND1,220 billion. July 5 will be the last registration date to exercise the right to receive capital-increasing shares.

Regarding business activities, in the first quarter of 2024, Lideco recorded net revenue of only VND 36.8 billion, down nearly half compared to the same period last year. Low cost of goods sold increased gross profit to VND 21 billion.

But in return, financial costs tend to increase dramatically, eroding up to 11 billion VND. Of which, interest expenses only account for 1.6 billion VND.

Despite the decline in revenue, business management costs and sales costs still tended to increase slightly, accounting for 7.2 billion and 344 million VND respectively. Lideco's after-tax profit reached 5.3 billion VND, still more than double compared to the same period.

In 2024, the company targets revenue of VND 750 billion and after-tax profit of VND 256 billion, down 18% and 29% respectively compared to 2023. With the first quarter business results, Lideco has completed 4% of the revenue target and 2% of the annual profit target, respectively.

With the above results, if there is no significant breakthrough in the last months of the year, Lideco will certainly fail its business plan for 2024.

Source: https://www.congluan.vn/lideco-ntl-doanh-thu-giam-mot-nua-sap-phat-hanh-post300241.html