Mobile World Investment Joint Stock Company recently announced a proposal to the annual general meeting of shareholders to issue shares to the executive board and key officers (ESOP) if it exceeds 110% of the profit plan. after tax.
According to the report, if the company's after-tax profit reaches less than 110% of the plan, the company will not issue ESOP shares. In case the company completes 110% or more of the profit plan, for every 1% of after-tax profit exceeding this level, the ESOP issuance rate is added by 0,05%. However, the maximum ESOP ratio is no more than 2% of the total outstanding shares, or no more than 29,25 million shares.
Mobile World may adjust the above ESOP issuance rate by 80% if the average performance of MWG stock price this year compared to 2023 does not achieve at least 10% better performance than the average performance. Average of this year's VN-Index compared to 2023.
The issuance price is 10.000 VND per share and is expected to be implemented in 2025. Subjects eligible to buy shares are key managers who excellently complete the performance measurement index and make important contributions to help the company. The company exceeded its business plan. Shares will be restricted from transfer within 2 years from the date of issuance, of which after the first year, 50% of shares will be freely transferable.
This year, Mobile World presented shareholders with a target of 125.000 billion VND in net revenue and 2.400 billion VND in profit after tax, an increase of 6% in revenue and more than 14 times in profit compared to the previous year.
This goal is similar to the plan expected to be announced in early February. At that time, The Gioi Di Dong leadership predicted that consumer shopping demand would stay flat, or even decrease compared to last year in some items. unnecessary. However, the company believes there is room to continue to consolidate revenue and strongly improve profit targets thanks to a comprehensive restructuring starting in the fourth quarter of 2 with drastic changes aimed at improving profitability. High operating efficiency, plus a healthy financial foundation, increased market share of The Gioi Di Dong, Topzone, Dien May Xanh chains and double-digit revenue growth for the chains Bach Hoa Xanh, An Khang, AVAKids.
The company's leadership said it has set goals and built business strategies for each chain in accordance with the corresponding stage in the business life cycle and market potential. In particular, The Gioi Di Dong and Dien May Xanh chains will contribute about 65% of revenue and bring main profit to the company. For the Bach Hoa Xanh chain, it is expected to contribute about 30% of revenue, double-digit revenue growth, increase market share and start bringing profits to the company from 2024. The remaining revenue source comes from the An Khang, AVAKids and joint venture in the Indonesian market.
Also according to the newly published report, Mobile World submitted to the general meeting of shareholders to approve a cash dividend plan at a rate of 5% this year, corresponding to shareholders owning each share receiving 500 VND. In addition, the company also submitted a plan to spend up to 100 billion VND from undistributed profits to buy back shares as treasury shares. The transaction is expected to be carried out this year using the order matching method.
