Many construction industry giants simultaneously reported sudden increases in profits. What is the reason?

Many businesses in the construction industry reported a sharp increase in profits in the third quarter of 2025, but mainly thanks to the transfer of subsidiaries and revenue sources outside of core operations...

Large construction enterprises simultaneously reported impressive growth in third-quarter profits - Photo: N.BINH

Coteccons reports highest quarterly profit in nearly 7 years

The financial report for the first quarter of fiscal year 2026 (equivalent to the third quarter of 2025) of Coteccons Construction Joint Stock Company (CTD) recorded revenue of nearly VND 7,452 billion, an increase of about 57% over the same period last year.

Of which, revenue from construction contracts accounted for more than 99%, in addition, the company also recorded 24.5 billion VND in sales revenue. After deducting cost of goods sold, Coteccons' gross profit reached nearly 322 billion VND, improving at the same rate as revenue.

Notably, Coteccons also recorded another VND183 billion in profit from liquidating a business cooperation contract, contributing significantly to improving overall results.

Coteccons' business results from 2020 to the first quarter of 2026

As a result, after-tax profit reached nearly VND295 billion, more than 3 times higher than the same period last year and the highest in 27 quarters, equivalent to nearly 7 years. This figure even exceeded the annual profit of the 2021-2023 period.

Entering the new fiscal year, Coteccons set a revenue target of VND30,000 billion, up 20% compared to the previous fiscal year; if achieved, this will be a record high in its operating history. The planned after-tax profit is VND700 billion, up 54% and also the highest level since 2020.

After the first 3 months of the fiscal year, the company has completed nearly 25% of the revenue plan and more than 42% of the annual profit target.

By the end of the period, Coteccons' total assets reached VND31,178 billion, up nearly 5% compared to the beginning of the year. The company also invested more than VND50 billion in stocks, of which TCB and HDB were the two stocks with the largest proportion in the portfolio.

On the stock market, CTD shares had two consecutive sessions on October 28 and 29 hitting the ceiling and closing on October 30 increased to 103,500 VND/share.

Hoa Binh Construction reported a 138% increase in profit.

Another construction company that also recorded a positive trend is Hoa Binh Construction Group Corporation (HBC) with net revenue in the third quarter reaching more than VND 1,122 billion, an increase of 15% over the same period in 2024.

Construction activities continued to play a key role, helping gross profit increase by 10% to nearly VND67 billion while profit margin remained stable. Notably, Hoa Binh's financial revenue increased by more than 1,100% to VND229 billion, mainly due to late payment interest recorded according to court rulings.

Thanks to the sudden increase in financial revenue and other income, profit after tax in the third quarter of 2025 reached VND 188 billion, an increase of 138% over the same period in 2024.

In the first 9 months of the year, HBC recorded net revenue of more than VND 2,759 billion, after-tax profit of nearly VND 240 billion, down 42% and 71% respectively compared to the same period last year.

A representative of Hoa Binh said that recent difficulties were mainly due to objective factors, especially the serious impact of the COVID-19 pandemic, which greatly affected the group's key areas such as tourism and real estate.

In the market, HBC shares, after falling more than 10% in the past month, have begun to recover, closing the session on October 31 at VND6,700/share.

Vinaconex reported 78 times profit

Vietnam Construction and Import-Export Joint Stock Corporation (Vinaconex - VCG) also announced its financial report for the third quarter of 2025, recording net revenue of VND4,429 billion, up 65% over the same period last year. Gross profit in the quarter also increased by 56%, to VND611 billion.

Notably, financial revenue increased dramatically, 78 times higher than the same period last year, reaching VND3,186 billion, of which nearly VND3,073 billion came from profits from transferring subsidiaries and associated companies. Thanks to that, the quarterly profit after tax reached VND3,304 billion, an increase of more than 2,000% over the same period last year.

The reason for this strong growth is that during the period, the company transferred its investment in a subsidiary. Specifically, Vinaconex successfully sold 107.1 million shares, accounting for 51% of the capital at Vinaconex Tourism Investment and Development Joint Stock Company (VCR).

Accumulated in the first 9 months of the year, net revenue reached 11,413 billion VND, up 40% over the same period, while profit after tax reached 3,783 billion VND, 5 times higher than the same period last year.

At the end of the trading session on October 31, VCG stock price reached VND26,050/share, down 1.14%. Since the beginning of the year, VCG stock has increased in value by more than 60%.

LINH NGUYEN

Source: https://tuoitre.vn/nhieu-ong-lon-nganh-xay-dung-dong-loat-bao-lai-tang-dot-bien-ly-do-la-gi-2025110118194978.htm