HSG reported a Q4 FY2018 loss of VND102bn (USD4.4mn) despite 24% growth in revenue. The large divergence between the performance of top and bottom lines continued to be due to a collapsing gross margin, high interest expenses and a high FX loss despite healthy sales volume growth. With this result, HSG finished full-year FY2018 with revenue up 32% YoY (VND34.4tn/USD1.4bn) while NPAT-MI plummeted 69% YoY (VND410bn/USD17.8mn). Given the weak result, we see downside risk to our current forecasts.