Truong Long Auto is about to pay 42 billion VND in dividends

Truong Long Auto is about to spend 42 billion VND to pay the first cash dividend this year at a rate of 35%, equivalent to each share receiving 3,500 VND.

Truong Long Engineering and Automobile Joint Stock Company (stock code: HTL) has just announced that December 2 is the last day for shareholders to register to receive a 35% cash dividend, meaning each share receives VND3,500. The payment date is December 18.

With 12 million shares listed on the HoSE, it is estimated that the Company will spend 42 billion VND to pay dividends. Of which, nearly 13 billion VND will belong to Mr. La Van Truong Son - Member of the Board of Directors, and the largest shareholder, owning 30.88% of the charter capital (equivalent to 3.7 million shares). In addition, the Chairman of the Board of Directors of the Company, Ms. Nguyen Thi Kieu Diem, will receive more than 10 billion VND when holding 25.32% of the capital (equivalent to more than 3 million shares).

This interim dividend payment was made after the Company decided to increase this year's dividend payout ratio to 65%, meaning each share receives VND6,500. Previously, at the annual meeting in May, the company approved a plan to pay this year's dividend at a rate not exceeding 20%.

This is the highest dividend payment since the company was listed. Thus, the Company may have at least one more payment to shareholders at a rate of 30%.

Truong Long Engineering and Automobile Joint Stock Company has a tradition of paying cash dividends regularly over the years. In March and July 2024, the company paid 2023 dividends at a total rate of 50%.

On the stock exchange, HTL closed the session on November 21 at 29,350 VND, slightly lower than the reference price. Two days earlier, this stock had just established a 7-year high price range at 30,200 VND .

According to the independent financial report for the third quarter of 2024, the Company achieved net revenue of more than VND 135 billion, down 8% year-on-year. Thanks to the cost of goods sold decreasing by 14% year-on-year to VND 116 billion, gross profit for this period was approximately VND 19 billion, up 73% year-on-year. Gross profit margin reached 14%, up 7 percentage points year-on-year.

The company reported pre-tax profit of about VND8 billion and after-tax profit of more than VND6.3 billion, both double the same period last year. According to the explanation of the board of directors, thanks to the company optimizing profit on each car sold and the revenue of subsidiary Long Truong doubling, profits increased sharply compared to the same period last year.

Accumulated for 9 months, the Company's net revenue was over 341 billion VND, down 8% compared to the same period last year. Gross profit was over 46 billion VND, up 46% compared to the same period last year. Gross profit margin accordingly increased by 5 percentage points to 13.5%. After deducting expenses, pre-tax and post-tax profits reached over 24 billion VND and about 20 billion VND respectively, both double the same period last year.

This year, Truong Long Auto expects net revenue to reach VND393 billion, down 40% compared to last year. Profit after tax will decrease by 87% compared to 2023, reaching VND5 billion. After the first 3 quarters of the year, the company has completed 87% of the revenue plan and far exceeded the profit target.

By the end of the third quarter, the company's total assets were over VND313 billion, down over VND135 billion compared to the beginning of the period. Inventories accounted for the largest portion of the company's assets, nearly VND180 billion. Liabilities decreased sharply compared to the beginning of the period, from VND189 billion to VND95 billion, and were mostly short-term items. Owner's equity was over VND218 billion, accumulated profit was over VND98 billion.

Source: https://baodautu.vn/o-to-truong-long-sap-chi-42-ty-dong-tam-ung-co-tuc-d230631.html