Topic analysing danang rubber joint stock company’s financial statement

lOMoARcPSD|22244702 UEH UNIVERSITY COLLEGE OF BUSINESS SCHOOL OF FINANCE GROUP ESSAY FINANCIAL ANALYSIS TOPIC ANALYSING DANANG RUBBER JOINT STOCK COMPANY’S FINANCIAL STATEMENT CLASS: 23D1FIN50504802 GROUP: Name ID Number Contribution Hoàng Thị Phương Linh 31201020461 100% Lê Vũ Châu Khoa 31201020407 100% Mai Hoàng Ái Linh 31201026295 100% Phạm Nguyễn Kim Ngân 31201026259 100% Phan Hoàng Long 31201022397 100% Ho Chi Minh City – 2023 lOMoARcPSD|22244702 TABLE OF CONTENTS LIST OF FIGURES LIST OF TABLES I INTRODUCTION 1.1 The history of the establishment 1.2 Auditing organizatio 1.3 Businesses 1.4 Current size of the company 1.5 The Board of Directors 1.6 Competitors II BUSINESS ENVIRONMENT ANALYSIS 2.1 Industry analysis 2.1.1 Demand outlook 2.1.2 Supply outlook 2.2 SWOT analysis III BALANCE SHEET ANALYSIS 10 3.1 The amount of total assets 11 3.2 The amount of total liabitilies 13 3.3 The amount of total stockholders’ equity 15 IV INCOME STATEMENT ANALYSIS 15 4.1 Net Revenue 17 4.2 Cost of Goods Sold (COGS) 18 4.3 Expenses (before income taxes) 18 4.4 Earning per common share (EPS) 19 V CASH FLOW STATEMENT ANALYSIS 19 5.1 Cash flow from operating activities 20 5.2 Cash flow from investing activities 21 lOMoARcPSD|22244702 5.3 Cash flow from financing activities 21 VI FINANCIAL RATIO ANALYSIS 22 6.1 Liquidity Ratios 22 6.1.1 Current ratio 22 6.1.2 Quick ratio 22 6.1.3 Cash ratio 23 6.2 Efficiency Ratios 24 6.2.1 Inventory turnover 24 6.2.2 Days sales outstanding 25 6.2.3 Day payable outstanding 25 6.2.4 Total asset turnover 26 6.3 Long-term solvency Ratios 27 6.3.1 Debt-to-assets ratio 28 6.3.2 Debt-to-equity ratio 28 6.3.3 Interest coverage ratio 29 6.3.4 Equity multiplier 30 6.4 Profitability Ratios 30 6.4.1 Gross Profit Margin 31 6.4.2 Net Profit Margin 31 6.4.3 EBITDA Margin 32 6.4.4 EBIT Margin 33 6.4.5 Return on Assets (ROA) 33 6.5 Market value ratios 35 6.5.1 Earnings per share (EPS) 35 6.5.2 Price-to-Earnings Ratio (P/E) 35 lOMoARcPSD|22244702 VII.DUPONT ANALYSIS 36 7.1 Return on assets 36 7.2 Return on common equity 37 VIII CREDIT ANALYSIS 37 8.1 Liquidity Ratios 37 8.2 Long-term solvency Ratios 38 IX CONCLUSION 38 APPENDIX lOMoARcPSD|22244702 LIST OF FIGURES Figure 1: Global car production (Million unit) and GDP Growth Figure 2: GDP per Capital (Current USD) and Number of cars/1000 people Figure 3: Cars sale by region Figure 4: Sale of motorcycle in Vietnam Figure 5: Vietnam GDP growth (%) Figure 6: Vietnam population class (Million) Figure 7: Car sale of Vietnam (Unit) Figure 8: Consumption structure Figure 9: Domestic truck tire market share Figure 10: Total assets of DRC 2020-2022 11 Figure 11: Total assets of DRC and Peer 2020-2022 12 Figure 12: Current assets of DRC 2020-2022 12 Figure 13: Non current assets of DRC 2020-2022 13 Figure 14: Current Liability of DRC 2020-2022 14 Figure 15: Non-current liability of DRC 2020-2022 14 Figure 16: Total equity of DRC 2020-2022 15 Figure 17: Total revenue of DRC and Peer 2020-2022 17 Figure 18: Current ratio of DRC and Peer 22 Figure 19: Quick ratio of DRC and Peer 23 Figure 20: Cash ratio of DRC and Peer 23 Figure 21: Inventory turnover ratio of DRC and Peer 24 Figure 22: Average Collection Period of DRC and Peer 25 Figure 23: Day payable outstanding of DRC and Peer 26 Figure 24: Total asset turnover ratio of DRC and Peer 27 Figure 25: Debt to assets ratio of DRC and Peer 28 Figure 26: Debt to equity ratio of DRC and Peer 29 Figure 27: Interest coverage ratio of DRC and Peer 29 Figure 28: Equity Multiplier of DRC and Peer 30 Figure 29: Gross profit margin of DRC and Peer 31 lOMoARcPSD|22244702 Figure 30: Net profit margin of DRC and Peer 32 Figure 31: EBITDA margin of DRC and Peer 32 Figure 32: EBIT margin of DRC and Peer 33 Figure 33: ROA of DRC and Peer 34 Figure 34: ROE of DRC and Peer 34 Figure 35: Earnings per share of DRC and Peer 35 Figure 36: Price to earnings ratio of DRC and Peer 36 LIST OF TABLES Table 1: Balance sheet of DRC 2020-2022 11 Table 2: Cash Flow Statement of DRC 2020-2022 19 Table 3: Return on assets of DRC 2020-2022 36 Table 4: Return on common equity of DRC 2020-2022 37 Table 5: Liquidity ratios of DRC 2020-2022 37 Table 6: Long-term solvency ratios of DRC 2020-2022 38 lOMoARcPSD|22244702 I INTRODUCTION English name: DANANG RUBBER JOINT STOCK COMPANY Stock code: DRC Registered office: Lot G, Ta Quang Buu Street, Hoa Hiep Bac Ward, Lien Chieu District, Danang City 1.1 - The history of the establishment Da Nang Rubber Joint Stock Company was established in 2005, according to Decision No 320/QD/TCNSĐT dated May 26, 1993 of the Ministry of Heavy Industry - On October 10, 2005, according to Decision No 321/QD – TBCN of the Minister of Industry, Da Nang Rubber Company was transformed into Da Nang Rubber Joint Stock Company - The company started listing with stock code DRC on December 29, 2006 on the Ho Chi Minh City Stock Exchange Consulting organization: Vietnam Bank for Industry and Trade Securities Co., Ltd Independent Auditor: Auditing and Informatics Service Company – Central Branch 1.2 Auditing organizatio - AASC Auditing Firm Company Limited – 2019-2020 - AAC Auditing And Accounting Company – 2021-2022 1.3 Businesses DRC operates in the field of manufacturing tubes and tires for motorcycles, bicycles, trucks and specialized vehicles In addition, DRC also manufactures, trades and installs equipment in the rubber industry Besides, the company also trades in commerce, real estate, land use rights owned by owner, user or leased, general services DRC also leases other machinery, equipment and tangible goods 1.4 Current size of the company Currently, Da Nang Rubber Joint Stock Company is considered a large-scale company with the total capital of the company as of 2022 is 2,417,799,000,000 VND, of which the charter capital of the company is 1,187,926,050,000 VND In addition, the company has 1,283 employees and 281 indirect employees lOMoARcPSD|22244702 1.5 The Board of Directors - Chairman of the Board of Directors: Mr Nguyen Xuan Bac - Members of the Board of Directors: o Mr Nguyen Huy Hieu o Mr Tran Dinh Quyen o Mr Ha Phuoc Loc o Ms Nguyen Thi Bich Thuy o Mr Nguyen Van Hieu o Mr Le Hoang Khanh Nhut - Functions of the Board of Directors: deciding the business development plan and annual budget, setting operational goals on the basis of strategic goals approved by the General Meeting of Shareholders 1.6 Competitors DRC’s competitors are Casumina, which specializes in manufacturing motorcycle tires and light truck tires, and SRC, which specializes in manufacturing bicycle tires In the domestic market, in addition to domestic enterprises such as CSM and SRC, FDI tire enterprises in Vietnam such as Bridgestone, Kumho Tire, Michelin or Hankook are all direct competitors to DRC in the segment of automobiles automotive products, typically commercial tires and tubes In addition, the Company is facing fierce competition with Chinese enterprises when cheap tires and tubes are constantly flooding into Vietnam II BUSINESS ENVIRONMENT ANALYSIS 2.1 Industry analysis Tires are the only part on each car that is in direct contact with the road surface and bears the entire load of the vehicle In addition to the main function of passing the traction of the engine to the road surface to help the car move, the tires also bring flexibility to the car’s movement and reduce vibrations transmitted back from the road surface Therefore, the quality of tires greatly affects the car’s performance, safety, and fuel consumption, and affects the driving feeling and comfort of the car’s driver According to statistics, 85% of the total global production of tires and tubes is used in the automotive industry, and only about 15% of the remaining is used for specific industries such as aircraft tires, specialized lOMoARcPSD|22244702 tires, and agricultural tires Therefore, it can be seen that fluctuations in the automotive industry will directly affect the demand for tire and tubes 2.1.1 Demand outlook Benefit from the recovery of the automotive industry and the economy after the Covid 19 pandemic Automobile production is greatly affected by the health of the economy In the period 2010-2018, global GDP had an average growth rate of 3.2%; automobile production reached a CAGR of 2.7% (Figure 1) Figure 1: Global car production (Million unit) and GDP Growth When the world economy was heavily affected by the Covid-19 pandemic in the period 20192020, the world GDP growth rate slowed from 3.3% in 2018 to -3.3% in 2020 In the context of countries implementing closed economies, people’s incomes decline, causing them to tighten spending, so non-essential expenditures such as automobiles were drastically cut during this period As a result, the global production of cars decreased by 19% during this period, from 96 million units in 2018 to 77 million units in 2020 In 2021, the world economy began to reopen as the Covid pandemic weakened, global GDP growth reached a high level (5.8% YOY); the world’s car production also recovered and reached an output level of 80 million units (3% YOY) According to the IMF forecast, global GDP growth in 2022 and 2023 will reach 3.2% and 2.9%; this growth rate is considered lower than the period before the Covid-19 pandemic due to concerns about war and inflation due to the high cost of raw materials Therefore, the production and consumption of cars and tires may continue to increase, but the growth rate will not be as high as in the 2010-2018 period lOMoARcPSD|22244702 Developing markets and China will be the growth engine for the automotive industry in the future GDP per capita and the number of cars per 1000 population are positively correlated (Figure 2), markets with high GDP per capita tend to have higher car ownership rates than lower GDP markets Figure 2: GDP per Capital (Current USD) and Number of cars/1000 people However, it can be seen that when GDP per capita increases, the rate of car ownership tends to slow down and gradually move towards saturation In contrast, in regions with low GDP per capita, low car ownership rates will have great growth potential in the future Developed markets have a relatively high rate of car ownership, over 500 cars/1000 people, especially in the US, this rate is up to 888 cars/1000 people Meanwhile, in developing markets, the rate of car ownership is still relatively low, but in the context of GDP per capita still has a high growth rate, dense population, residents have the financial capacity to own a car is increasing rapidly, which in turn is contributing to the growth of the auto industry in these markets In contrast, in developed countries, the auto market has entered a period of stability and saturation with the annual demand for automobiles mainly being the replacement demand As a result, automobile production, assembly and consumption activities are shifting to developing regions, especially China, while developed markets such as North America and Europe are slowing due to approached saturation In 2020, while developed markets such as North America and Europe markedly decreased production and consumption of cars of all kinds, the car market in China and Asia only fluctuated slightly, which is the driving force for the world’s car market to maintain its growth momentum through this difficult period (Figure 3) lOMoARcPSD|22244702 6.4.1 Gross Profit Margin Figure 2929: Gross profit margin of DRC and Peer Gross Profit Margin DRC 20.00% 18.00% 16.00% 14.00% 12.00% 10.00% 8.00% 6.00% 4.00% 2.00% 0.00% CSM SRC Peer average 2020 2021 2022 DRC 16.44% 17.06% 16.55% CSM 15.65% 11.37% 11.08% SRC 16.07% 18.38% 17.73% Peer average 16.05% 15.60% 15.12% (Source: Computation by authors) The gross profit margin shows the amount of profit made before deducting financial, sales, general and administrative expenses There is stability in that ratio of DRC, which means inherent capacity to earn a premium over its cost of manufacture despite the highly competitive consumer goods markets In general, DRC’s ratio during the period of 20202022 is still higher than that of the average industry that makes DRC a very profitable company 6.4.2 Net Profit Margin 31 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 Figure 3030: Net profit margin of DRC and Peer Net Profit Margin DRC CSM 8.00% 7.00% 6.00% 5.00% 4.00% 3.00% 2.00% 1.00% 0.00% SRC Peer average 2020 2021 2022 DRC 7.03% 6.64% 6.27% CSM 1.93% 0.87% 1.49% SRC 5.45% 4.19% 3.03% Peer average 4.80% 3.90% 3.60% (Source: Computation by authors) The net profit margin shows how much money of revenue becomes profit It is shown that companies in the industry experienced a downtrend from 2020-2022; however, there was just a little amount Specially, the percentage of DRC is dominant that of other companies in the context Therefore, a company’s management is generating enough profit from its sales and expenses are being well controlled, it is highly recommended that investors should access DRC 6.4.3 EBITDA Margin Figure 3131: EBITDA margin of DRC and Peer EBITDA Margin DRC 16.00% 14.00% 12.00% 10.00% 8.00% 6.00% 4.00% 2.00% 0.00% CSM SRC Peer average 2020 2021 2022 DRC 15.11% 10.89% 9.94% CSM 9.68% 7.72% 8.10% SRC 9.11% 8.79% 7.19% Peer average 11.30% 9.13% 8.41% (Source: Computation by authors) 32 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 EBITDA Margin measures how much in earnings a company is generating before interest, taxes, depreciation, and amortization, as a percentage of revenue The ratio strips all of interest, taxes, depreciation, and amortization to compare the relative profitability of two or more companies of varied sizes in the same industry In general, the EBITDA Margin in companies decreased during the period, which shows that the company had profitability problems as well as issues with cash flow Though, DRC still drew more attention because the ratio was higher than that of other companies in the industry 6.4.4 EBIT Margin Figure 3232: EBIT margin of DRC and Peer EBIT Margin DRC 10.00% 8.00% 6.00% 4.00% 2.00% 0.00% CSM SRC Peer average 2020 2021 2022 DRC 9.34% 8.53% 8.27% CSM 5.08% 3.40% 4.07% SRC 7.56% 6.63% 5.64% Peer average 7.33% 6.19% 5.99% (Source: Computation by authors) EBIT and EBITDA are very similar profitability measures EBITDA adds back depreciation and amortization, while EBIT does not Like EBITDA, the gradual drop in the whole industry indicated that the company had profitability problems as well as issues with cash flow Once again, DRC still drew more attention because the ratio was higher than that of the other companies in the industry 6.4.5 Return on Assets (ROA) 33 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 Figure 3333: ROA of DRC and Peer ROA DRC CSM SRC Peer average 12.00% 10.00% 8.00% 6.00% 4.00% 2.00% 0.00% 2020 2021 2022 DRC 9.98% 10.45% 9.37% CSM 2.38% 1.05% 1.90% SRC 6.65% 3.03% 2.24% Peer average 6.34% 4.84% 4.50% (Source: Computation by authors) ROA shows whether a company uses its assets efficiently to generate a profit While DRC’s ratio rose gradually, the other companies’ ratio experienced a drop during the period Which means DRC is more effective and efficient at managing its financial sheet to produce profits 6.4.6 Return on Equity (ROE) Figure 3334: ROE of DRC and Peer ROE DRC 20.00% 18.00% 16.00% 14.00% 12.00% 10.00% 8.00% 6.00% 4.00% 2.00% 0.00% CSM SRC Peer average 2020 2021 2022 15.44% 16.80% 16.68% CSM 7.21% 3.32% 6.19% SRC 18.16% 9.30% 6.36% Peer average 13.60% 9.81% 9.74% DRC (Source: Computation by authors) 34 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 ROE demonstrates how well a company manages the capital that shareholders have invested in it In 2020, SRC’s ratio accounted for the highest figure among industry; however, it declined to about 6% in 2022, which means SRC had some issues in managing the capital Meanwhile, DRC’s ratio was over 15% in 2020, which was not extremely low, then climbed to the highest position in the context after 2022 In sum, DRC has improved too much in controlling the capital, so investors should believe in the company 6.5 Market value ratios 6.5.1 Earnings per share (EPS) Figure 3435: Earnings per share of DRC and Peer Earnings per Share DRC 3000 2500 2000 1500 1000 500 CSM SRC Peer average 2020 2021 2022 DRC 2158 2448 2586 CSM 875 367 554 SRC 2620 1427 989 Peer average 1884 1414 1376 (Source: Computation by authors) The earnings per share of DRC is higher than other companies in the same industry and has grown continuously for years This proves that with share holding, DRC’s shareholders will have better profits than that of CSM and SRC 6.5.2 Price-to-Earnings Ratio (P/E) 35 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 Figure 3536: Price to earnings ratio of DRC and Peer Price-to-Earnings Ratio DRC 50 45 40 35 30 25 20 15 10 CSM SRC Peer average 2020 2021 2022 DRC 12.83 13.00 9.09 CSM 23.11 46.12 18.73 SRC 8.23 13.35 22.51 Peer average 14.72 24.16 16.78 (Source: Computation by authors) The earnings per share of DRC is higher than other companies in the same industry, however, the share price is not superior to these firms, leading to the lowest P/E of DRC in the Vietnamese tire industry Therefore, it can be said that DRC stock is undervalued, which is a potential stock for value investment and long-term holding VII DUPONT ANALYSIS 7.1 Return on assets Table 3: Return on assets of DRC 2020-2022 2020 2021 2022 ROA 9.98% 10.45% 9.37% Net profit margin 7.03% 6.64% 6.27% 1.42 1.57 1.49 Asset turnover (Source: Computation by authors) According to the Dupont model, ROA is the combined result of Net Profit Margin with Asset Turnover Analyzing the impact of factors on ROA in 2020 we have: ROA = Net Profit Margin x Asset Turnover - In 2020: ROA = 7.03% x 1.42 = 9.98% - In 2021: ROA = 6.64% x 1.57 = 10.45% 36 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 - In 2028: ROA = 6.27% x 1.49 = 9.37% The DRC’s return on assets was 9.98% and 10.45% in 2020 and 2021 respectively Certificate in 2021 the company also gradually checks costs, improves profitability, which is a very good condition for the company and its shareholders However, ROA in 2022 compared to 2021 decreased from 10.45% to 9.37% due to the impact of both net profit margin and asset turnover 7.2 Return on common equity Table 4: Return on common equity of DRC 2020-2022 2020 2021 2022 ROCE 15.44% 16.80% 16.68% Adjusted profit margin 7.03% 6.64% 6.27% Asset turnover 1.42 1.57 1.49 Leverage 1.55 1.61 1.78 (Source: Computation by authors) Through the Dupont model, we consider each indicator affecting the company’s ROCE in 2022 as follows: ROCE = Adjusted Profit Margin x Asset Turnover x Leverage The return on common equity of DRC increased from 15.44% (2020) to 16.8% (2021) In 2022, ROCE was 16.68% The total asset turnover ratio has improved markedly compared to 2020, due to a sharp increase in net revenue after the Covid-19 pandemic Besides, financial leverage also increases to invest in current assets However, the net profit margin decreased due to the impact of increased rubber costs and transportation costs VIII CREDIT ANALYSIS 8.1 Liquidity Ratios Table 5: Liquidity ratios of DRC 2020-2022 2020 2021 2022 Current ratio 1.77 1.55 1.63 Quick ratio 0.71 0.50 0.50 37 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 Cash ratio 8.2 0.25 0.07 0.10 Long-term solvency Ratios Table 6: Long-term solvency ratios of DRC 2020-2022 2020 2021 2022 Debt-to-assets ratio 0.31 0.43 0.44 Debt-to-equity ratio 0.44 0.77 0.79 Equity multiplier 1.44 1.77 1.79 Cash coverage ratio 0.25 0.07 0.10 16.88 40.43 21.59 Interest coverage ratio IX CONCLUSION 2022 was a year of many negative influences on the tire industry in general and DRC in particular The sharp increase in the price of input materials and logistics costs seriously affected the gross profit margin of the enterprise Even so, DRC's business results were still very positive when export volume recovered thanks to the post-pandemic economic growth needs of countries around the world, specifically net revenue increased by 11.85 % but profit after tax in 2022 only increased by 5.62% over the same period last year, reaching more than 307 billion VND This is because the cost of input materials has eroded the profit margin of the business In general, in 2022, many fluctuations were affecting the Company's business results On December 31, 2022, the total assets of DRC increased by 8.88% compared to the same period last year, from 3,139 billion VND to 3,418 billion VND; net revenue increased by 11.85%; profit after tax increased from 291 billion VND in 2021 to 307 billion VND in 2022, an increase of 5.62% In general, the results of production and business activities of DRC have achieved very positive results, the main production and business targets have exceeded the set plan 38 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 APPENDIX 2020 2021 TOTAL ASSETS 2,430,709,559,391 3,135,943,084,235 SHORT-TERM ASSETS 1,311,509,477,072 2,114,195,151,163 Cash and cash equivalents 188,810,249,299 89,621,165,826 Cash 41,810,249,299 32,621,165,826 Cash equivalents 147,000,000,000 57,000,000,000 Short-term financial investment 150,000,000,000 320,000,000,000 Short term investment 0 Provision for short-term investment 0 Held-to-maturity investment securities 150,000,000,000 320,000,000,000 Short-term receivables 131,027,127,773 208,132,201,825 Short-term trade receivables 127,427,650,614 193,235,345,019 Short-term repayments to suppliers 1,771,224,000 6,996,027,686 Internal receivables 0 Receivables construction 0 Short-term loan receivables 0 Other receivables 3,166,271,046 9,101,041,294 Short-term allowances for doubtful debts -1,357,876,705 -1,569,985,775 Shortage of assets awaiting resolution 19,858,818 369,773,601 Inventories 787,954,880,563 1,429,218,154,245 Inventory 787,954,880,563 1,437,232,006,012 Allowances for decline in value of inventories -8,013,851,767 Other current assets 53,717,219,437 67,223,629,267 Short-term prepaid expenses 32,138,844,392 47,412,526,628 Deductible vat 21,578,375,045 19,811,102,639 Taxes and other receivables from government budget 0 Government bonds purchased for resale 0 Other liquid assets 0 Non-current assets 1,119,200,082,319 1,021,747,933,072 Long-term receivables 409,748,925 531,198,925 Long-term trade receivables 0 Long-term repayments to suppliers Working capital provided to sub-units 0 Long-term intra-company receivables 0 Long-term loan receivables 0 Other long-term receivables 409,748,925 531,198,925 Long-term allowances for doubtful debts 0 Fixed assets 1,063,601,420,619 975,466,573,368 Value of tangible fixed assets 1,058,688,241,066 969,110,090,272 Original cost of tangible fixed assets 3,224,664,891,173 3,237,790,510,494 Accumulated depreciation of tangible fixed assets -2,165,976,650,107 -2,268,680,420,222 Value of finance lease assets 1,468,035,599 3,618,940,579 Original cost of finance lease assets 1,677,754,970 4,142,518,606 Accumulated depreciation of finance lease assets -209,719,371 -523,578,027 Value of intangible fixed assets 3,445,143,954 2,737,542,517 Original cost of intangible fixed assets 9,593,841,631 9,593,841,631 Accumulated depreciation of intangible fixed assets -6,148,697,677 -6,856,299,114 Investment property 0 Original cost of investment property 0 Accumulated depreciation of investment assets 0 Long-term assets in process 86,922,720 235,138,571 Long-term work in progress 0 Construction in progress Long-term financial investment 3,849,602,111 4,139,216,813 Invest in subsidiaries 0 Invest in a joint venture 0 Other long-term investments 6,069,881,035 6,069,881,035 Allowances for long-term investments -2,220,278,924 -1,930,664,222 Held-to-maturity investment 0 Other non-current assets 51,252,387,944 41,375,805,395 Long-term prepaid expenses 51,252,387,944 41,375,805,395 Deferred income tax assets 0 Long-term equipment and spare parts for replacement 0 Other long-term assets 0 Commercial advantage Downloaded by vú hi (vuchinhhp12@gmail.com) 2022 3,417,798,778,419 2,457,425,816,063 155,305,504,390 40,305,504,390 115,000,000,000 210,000,000,000 0 210,000,000,000 257,142,204,794 247,617,270,398 2,092,463,953 0 8,923,306,738 -1,919,443,849 428,607,554 1,707,695,276,561 1,733,470,222,731 -25,774,946,170 127,282,830,318 70,305,757,323 56,977,072,995 0 960,372,962,356 698,554,850 0 0 698,554,850 900,540,725,831 895,582,263,939 3,226,908,808,804 -2,331,326,544,865 2,928,520,812 4,142,518,606 -1,213,997,794 2,029,941,080 9,593,841,631 -7,563,900,551 0 11,628,344,170 0 4,390,106,264 0 6,069,881,035 -1,679,774,771 43,115,231,241 43,115,231,241 0 0 lOMoARcPSD|22244702 LIABILITIES Short-term liabilities Short-term trade payables Short-term prepayments from customers Taxes and other payables to government budget Payable to employees Short-term accrued expenses Short-term intra-company payables Payables under schedule of construction contract Short-term unearned revenues Other short-term payments Short-term loans Short-term provisions Bonus and welfare Price stabilization fund Government bonds purchased for resale Long-term liabilities Long-term trade payables Long-term repayments from customers Long-term accrued expenses Intra-company payables for operating capital received Long-term intra-company payables Long-term unearned revenues Other long-term payables Long-term loans Convertible bonds Preferred shares Deferred income tax payable Provision for severance allowance Long-term provisions Science and technology development fund Owner’s equity Contributed capital Capital Common shares Preference shares Capital surplus Conversion options on convertible bonds Other capital Treasury shares Differences upon asset revaluation Exchange rate differences Development and investment funds Enterprise reorganization assistance fund Financial provision fund Other Funds Undistributed profit after tax Undistributed profit after tax brought forward Undistributed profit after tax for the current year Non-controlling shareholder interests State budget capital and other funds Bonus and welfare fund (before 2010) State budget capital Sources of funding for the formation of fixed assets Minority shareholder benefits TOTAL LIABILITIES AND OWNER'S EQUITY 743,416,771,218 742,184,476,097 224,126,052,256 62,011,900,013 28,464,308,216 100,699,286,845 1,004,863,874 0 160,697,728 2,024,689,838 305,544,326,381 18,148,350,946 0 1,232,295,121 0 0 0 420,000,000 812,295,121 1,362,012,584,891 1,359,992,836,134 406,180,687,837 142,185,639,068 12,358,674,914 137,703,101,901 4,976,115,172 0 168,732,272 63,506,163,146 572,218,150,996 4,547,663,067 16,147,907,761 0 2,019,748,757 0 0 0 420,000,000 1,599,748,757 1,508,035,857,468 1,506,929,882,468 471,448,554,730 114,867,829,306 23,401,855,236 160,751,331,118 8,689,710,039 0 177,169,090 4,233,473,418 686,306,027,922 2,110,926,199 34,943,005,410 0 1,105,975,000 0 0 0 420,000,000 685,975,000 0 0 1,687,292,788,173 1,687,292,788,173 1,187,926,050,000 1,187,926,050,000 0 0 0 272,513,405,248 0 20,750,746,677 206,102,586,248 9,182,110,595 196,920,475,653 0 0 0 2,430,709,559,391 0 0 1,909,762,920,951 1,909,092,920,951 1,187,926,050,000 1,187,926,050,000 0 0 0 381,942,420,176 0 20,750,746,677 318,473,704,098 11,289,026,842 307,184,677,256 670,000,000 0 670,000,000 3,417,798,778,419 0 1,773,930,499,344 1,773,930,499,344 1,187,926,050,000 1,187,926,050,000 0 0 0 323,776,760,879 20,750,746,677 241,476,941,788 10,044,947,802 231,431,993,986 0 0 3,135,943,084,235 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 Revenue Deduction from revenue Net revenue Cost of Goods sold Gross profit Financial income Financial expenses Include: Interest expenses Profit/(loss) from joint venture Selling expenses General & administration expense Gain/(loss) on operating activities Other income Other expenses Net sundry income Profit/(loss) from joint venture company (since 2015) Net profit/(loss) before taxes Corporate income tax – current Corporate income tax – deferred Cost of corporate income tax Net profit/(loss) after taxes Minority shareholder benefits Profits of Shareholders of the Parent Company Earning per share Earning on diluted share Interest expenses Depreciation expenses EBIT EBITDA 2020 3,818,765,154,762 -172,124,023,201 3,646,641,131,561 -3,047,252,893,348 599,388,238,213 18,032,626,121 -67,881,320,205 -20,188,994,945 -165,424,975,517 -62,018,637,199 322,095,931,413 67,702,115 -1,635,875,082 -1,568,172,967 320,527,758,446 -64,210,980,293 -64,210,980,293 256,316,778,153 256,316,778,153 2,158 2021 4,635,525,403,051 -256,007,166,877 4,379,518,236,174 -3,632,392,425,864 747,125,810,310 37,188,692,933 -51,017,528,139 -9,234,767,876 -303,043,803,506 -65,133,158,428 365,120,013,170 38,326,994 -1,036,198,119 -997,871,125 210,391,671,085 340,716,753,391 551,108,424,476 Downloaded by vú hi (vuchinhhp12@gmail.com) 364,122,142,045 -73,293,845,559 -73,293,845,559 290,828,296,486 290,828,296,486 2,448 2,448 103,791,306,483 373,356,909,921 477,148,216,404 2022 5,139,167,142,537 -240,579,419,618 4,898,587,722,919 -4,087,848,994,369 810,738,728,550 62,020,157,084 -92,250,339,919 -18,773,589,085 -318,162,074,032 -77,030,507,250 385,315,964,433 1,403,070,642 -258,399,628 1,144,671,014 386,460,635,447 -79,275,958,191 -79,275,958,191 307,184,677,256 307,184,677,256 2,586 81,668,132,759 405,234,224,532 486,902,357,291 lOMoARcPSD|22244702 I Cash flows from operating activities Proceeds from sales and services rendered and other revenues Expenditures paid to suppliers Expenditures paid to employees Expenditures for interest paid Expenditures for enterprise income tax Expenditures for value-added tax Other proceeds from operating activities Other expenditures on operating activities Net cash flows from operating activities II Cash flow from investing activities Expenditures on purchase and construction of fixed assets and longterm assets Proceeds from disposal or transfer of fixed assets and other longterm assets Expenditures on loans and purchase of debt instruments from other entities Proceeds from lending or repurchase of debt instruments from other entities Expenditures on equity investments in other entities Proceeds from equity investment in other entities Proceeds from interests, dividends and distributed profits Net cash flow from investing acticities III Cash flow from financing activities Proceeds from issuance of shares and receipt of contributed capital Repayment of contributed capital and repurchase of stock issued Short-term and long-term loans receivable Repayment of principal Expenditures on equity investments in other entities Repayment of financial lease Dividends and profits paid to owners Net cash flow from financing activities Net cash flow during the fiscal year Cash and cash equivalents at the beginning of fiscal year Effect of exchange rate fluctuations Cash and cash equivalents at the end of fiscal year 2020 2021 2022 3,816,524,884,957 -2,462,859,201,380 -270,736,176,630 -20,529,836,312 -64,233,288,628 35,073,896,690 -180,250,259,701 852,990,018,996 4,354,187,696,992 -4,196,443,675,869 -281,342,920,675 -9,004,347,836 -88,519,641,643 4,777,470,439,265 -4,538,541,686,313 -329,036,471,573 -17,982,718,258 -68,225,061,237 329,325,922,177 -176,016,322,158 -67,813,289,012 344,868,638,395 -140,174,550,327 28,378,589,952 -9,147,217,800 -10,469,712,982 -13,203,284,571 200,000 1,500,000 1,290,086,760 -234,000,000,000 -480,000,000,000 -740,000,000,000 84,000,000,000 0 3,681,569,375 -155,465,448,425 310,000,000,000 850,000,000,000 7,021,519,854 -173,446,693,128 22,686,937,871 120,773,740,060 4,004,214,931,370 -3,742,915,867,180 4,066,207,359,386 -3,946,407,452,168 -669,946,364 -118,792,603,100 141,836,514,726 -99,423,467,414 -1,337,921,364 -201,947,425,270 -83,485,439,416 65,666,890,596 188,810,249,298 234,383,941 89,621,165,825 89,621,165,826 17,447,968 155,305,504,390 0 2,447,665,917,858 -2,823,493,924,323 -406,147,576 -178,188,904,650 -554,423,058,691 143,101,511,880 45,704,997,626 3,739,793 188,810,249,299 Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 2020 2021 2022 16.44% 15.11% 9.34% 8.79% 7.03% 9.98% 15.44% 17.06% 10.89% 8.53% 8.31% 6.64% 10.45% 16.80% 16.55% 9.94% 8.27% 7.89% 6.27% 9.37% 16.68% 0.31 0.44 1.44 0.25 16.88 0.43 0.77 1.77 0.07 40.43 0.44 0.79 1.79 0.10 21.59 1.77 0.71 0.25 1.55 0.50 0.07 1.63 0.50 0.10 Efficiency Accounts receivable turnover ratio Average Colletion Period Inventory turnover ratio Days sales in inventory ratio Accounts payable turnover ratio Days payable outstanding Business Cycle Cash Cycle Total asset turnover ratio 27.23 13 3.14 116 13.63 27 130 103 1.42 27.32 13 3.28 111 11.53 32 125 93 1.57 22.22 16 2.61 140 9.32 39 156 117 1.49 Market value EPS P/E 2,158 12.83 2,448 13.00 2,586 9.09 Profitability Gross Profit Margin EBITDA Margin EBIT Margin EBT Margin Profit Margin ROA ROE Solvency Debt-to-assets ratio Debt-to-equity ratio Equity multiplier Cash coverage ratio Interest coverage ratio Liquidity Current ratio Quick ratio Cash ratio Downloaded by vú hi (vuchinhhp12@gmail.com) lOMoARcPSD|22244702 2020 2021 2022 DRC CSM SRC Peer average 16.44% 15.65% 16.07% 16.05% 17.06% 11.37% 18.38% 15.60% 16.55% 11.08% 17.73% 13.82% DRC CSM SRC Peer average 15.11% 9.68% 9.11% 11.30% 10.89% 7.72% 8.79% 9.13% 9.94% 8.10% 7.19% 8.41% DRC CSM SRC Peer average DRC CSM SRC Peer average 9.34% 5.08% 7.56% 7.33% 7.03% 1.93% 5.45% 4.80% 8.53% 3.40% 6.63% 6.19% 6.64% 0.87% 4.19% 3.90% 8.27% 4.07% 5.64% 5.99% 6.27% 1.49% 3.03% 3.60% DRC CSM SRC Peer average 9.98% 2.38% 6.65% 6.34% 10.45% 1.05% 3.03% 4.84% 9.37% 1.90% 2.24% 4.50% DRC CSM SRC Peer average 15.44% 7.21% 18.16% 13.60% 16.80% 3.32% 9.30% 9.81% 16.68% 6.19% 6.36% 9.74% DRC 0.31 0.43 0.44 CSM 0.67 0.7 0.69 SRC 0.7 0.65 0.65 Peer average 0.56 0.59 0.59 Profitability Gross Profit Margin EBITDA Margin EBIT Margin ROA ROE Leverage Debt-to-assets ratio Debt-to-equity ratio DRC 0.44 0.77 0.79 CSM 1.99 2.21 2.23 SRC 2.28 1.86 1.84 Peer average 1.57 1.61 1.62 DRC CSM SRC Peer average 1.44 2.99 3.28 2.57 1.77 3.21 2.86 2.61 1.79 3.23 2.84 2.62 DRC CSM SRC Peer average 16.88 1.91 18.58 12.46 40.43 1.51 5.80 15.91 21.59 1.89 3.84 9.11 DRC CSM SRC Peer average 1.77 1.03 1.51 1.44 1.55 1.05 0.99 1.20 1.63 1.1 1.02 1.25 DRC CSM SRC Peer average 0.71 0.42 1.24 0.79 0.50 0.43 0.43 0.45 0.50 0.41 0.4 0.44 DRC 0.25 CSM 0.07 SRC 0.10 Downloaded by vú hiPeer (vuchinhhp12@gmail.com) average 0.14 0.07 0.03 0.09 0.06 0.10 0.01 0.07 0.06 Equity multiplier Interest coverage ratio Liquidity Current ratio Quick ratio Cash ratio lOMoARcPSD|22244702 Efficiency Accounts receivable turnover ratio DRC CSM SRC Peer average 27.23 7.31 3.87 12.80 27.32 7.36 2.77 12.48 22.22 8.00 8.74 12.99 DRC CSM SRC Peer average 13 49.94 94.33 52.56 13 49.6 131.89 64.95 16 45.62 41.78 34.61 DRC CSM SRC Peer average 3.14 3.09 5.65 3.96 3.28 2.87 3.26 3.14 2.61 2.68 2.47 2.59 DRC CSM SRC Peer average 116 118.06 64.63 99.64 111 126.98 111.99 116.79 140 136.08 147.95 141.36 DRC CSM SRC Peer average 13.63 15.83 8.27 12.58 11.53 16.41 5.32 11.09 9.32 15.38 8.94 11.21 DRC CSM SRC Peer average 27 23.06 44.14 31.33 32 22.24 68.58 40.83 39 23.74 40.85 34.59 DRC CSM SRC Peer average 130 168 158.96 152 125 176.58 243.88 182 156 181.7 189.73 176 DRC CSM SRC Peer average 103 144.94 114.82 121 93 154.34 175.3 141 117 157.96 148.88 141 DRC CSM SRC Peer average 1.42 1.23 1.22 1.29 1.57 1.21 0.72 1.17 1.49 1.28 0.74 1.17 DRC CSM SRC Peer average 2158 875 2,620 1884 2448 367 1,427 1414 2586 554 989 1376 DRC CSM SRC Peer average 12.83 23.11 8.23 14.72 13.00 46.12 13.35 24.16 9.09 18.73 22.51 16.78 Average Colletion Period Inventory turnover ratio Days sales in inventory ratio Accounts payable turnover ratio Days payable outstanding Business Cycle Cash Cycle Total asset turnover ratio Market value EPS P/E Downloaded by vú hi (vuchinhhp12@gmail.com)