Nam Kim Steel (NKG) Q2 profit increased sharply thanks to financial revenue

After a period of heavy losses at the end of 2022 and early 2023, Nam Kim Steel JSC (Code: NKG) has had a significant recovery. In the Q2/2024 financial statement, Nam Kim Steel recorded net revenue of more than VND 5,660 billion, gross profit of VND 512 billion, equivalent to a gross profit margin of 9%.

Nam Kim Steel (NKG) recorded a sharp increase in Q2 profit thanks to financial revenue and cost cutting. (Photo TL)

Financial revenue in the period increased sharply by 2.3 times compared to the same period last year, reaching 114 billion VND. Meanwhile, financial expenses were reduced by 44%, to only 69.9 billion VND. Most of which was from interest expenses, down from 80 billion to 43 billion.

Selling expenses in the period increased by 18%, accounting for VND251 billion, while business management expenses decreased by 20%, down to VND33 billion. Thanks to the reduction in financial expenses and increased financial income, NKG reported a net profit from business activities of VND272 billion.

After deducting other expenses and taxes, Nam Kim Steel still has a profit after tax of 220 billion VND, an increase of 75% over the same period.

Explaining the above business results, Nam Kim Steel said that in the first 6 months of the year, export activities were strongly focused, accounting for 7,500 billion VND. Meanwhile, business activities in the domestic market recorded net revenue of more than 3,500 billion VND. Total accumulated revenue in the first 6 months of the year reached 10,952 billion VND.

Accumulated profit after tax in the first half of the year reached 370 billion, 5 times higher than the same period last year. This is the result achieved when compared with the low base of last year.

Source: https://www.congluan.vn/thep-nam-kim-nkg-loi-nhuan-quy-2-tang-manh-nho-doanh-thu-tai-chinh-post305543.html