After a record loss of 121 billion in the first quarter, DIC Corp (DIG) divested from a series of subsidiaries.

DIC Corp and its record loss quarter

Construction Development Investment Joint Stock Corporation - DIC Corp (Code DIG) has just experienced a terrible business quarter. The large amount of returned goods caused DIC Corp to only record revenue of over 490 million VND, down 99.8% compared to the same period.

Despite no revenue, DIC Corp still had to bear operating expenses, causing it to report a record loss of VND121.2 billion. In the same period last year, the company was still reporting a profit of VND76.6 billion.

DIC Corp (DIG) just had a record first quarter loss of 121 billion VND (Photo TL)

Recently, DIC Corp estimated revenue at VND874 billion, up 440.4% over the same period, with pre-tax profit estimated at VND160 billion. Even with this positive result in the second quarter, DIC Corp will find it difficult to make up for the huge loss in the first quarter of 2024.

In 2024, DIC Corp plans to have revenue of VND 2,300 billion, an increase of 72% over the same period; pre-tax profit is expected to be VND 1,010 billion, an increase of more than 5 times compared to 2023.

DIC Corp divests a series of investments

On June 25, 2024, after a record loss in the first quarter of the year, DIC Corp had to announce its divestment from a series of subsidiaries. Specifically, DIC Corp approved the policy of divestment of shares at DIC Anh Em Company.

DIC Anh Em is a subsidiary of DIC Corp, with a charter capital of VND 180 billion, operating in the field of manufacturing and trading ceramic tiles. As of the end of the first quarter of 2024, DIC Corp owns 16 million shares of DIC Anh Em, equivalent to 89.03% of the share capital.

In addition, DIG also divested from Phu Rieng Kratie Rubber JSC, the expected transfer date is September 30, 2024.

As of March 31, 2024, DIC Corp owns 2 million shares at Phu Rieng Kratie, equivalent to 5% of the company's charter capital.

DIC Corp has approved the policy of transferring the Commercial Service Area of the Cap Saint Jacques Complex Project - Phase 1, Vung Tau City, with an area of 6,553.9 m2. In another development, on June 13, DIC Corp approved the policy of dissolving Vung Tau Centre Point LLC.

In addition, DIC Corp also announced changes in investments in subsidiaries and associates, including: converting the business type at DIC Tourism Company Limited (DIC Hospitality) from a limited liability company to a joint stock company; increasing ownership from 78.3% to 99.9% of capital at DIC Hospitality.

Source: https://www.congluan.vn/sau-quy-1-lo-ky-luc-121-ty-dong-dic-corp-dig-thoai-von-khoi-mot-loat-cong-ty-con-post300876.html