- 2025-04-28T00:00:00
- Company Research
- PLC reported Q1 2025 revenue of VND1.9tn (+20% YoY) and reported NPAT-MI of VND32bn (+106% YoY). The strong NPAT-MI growth was mainly driven by (1) 22% YoY growth in gross profit and (2) a 109% YoY surge in financial income, reflecting FX gains during the period.
- Robust growth in gross profit was driven by the asphalt and lubricants segments. Lubricants remained the largest gross profit contributor, with gross profit growth of 29% YoY, supported by 10% YoY growth in revenue, supported by sales volume through Petrolimex channels rising 9% YoY and non-Petrolimex retail up 20% YoY, while GPM improved significantly (+3.7 ppts YoY) to 25.9%, due to lower input costs following an 8% YoY lower Brent oil price. Additionally, asphalt gross profit increased 23% YoY, mainly driven by revenue increasing 31% YoY, with market share recovering to 29.5%, and the accelerated disbursement of public investment projects.
- We foresee insignificant changes to our earnings forecasts, as Q1 revenue and reported NPAT-MI achieved 25% and 28%, respectively, of our 2025 forecasts, in line with our expectations.
- We currently have a BUY rating with a target price of VND29,050/share, implying TSR of 25.2%. Please see our Initiation Report for more details.
Figure 1: PLC’s Q1 2025 results
VND bn | Q1 2024 | Q1 2025 | YoY | % of Vietcap’s |
Revenues | 1,599 | 1,912 | 20% | 25% |
COGS | -1,395 | -1,663 | 19% | 26% |
In which, Depreciation expense | -24 | -28 | 17% | 28% |
Gross profit | 204 | 248 | 22% | 25% |
Sales & marketing exp | -133 | -164 | 24% | 27% |
General admin exp | -30 | -40 | 32% | 27% |
Operating profit (EBIT) | 41 | 44 | 8% | 18% |
Financial income | 10 | 22 | 109% | 45% |
Financial expenses | -30 | -26 | -15% | 19% |
In which, interest expenses | -18 | -24 | 32% | 26% |
Share profit/loss from associates | 0 | 0 | N.M. | N.M. |
Net other income/loss | 0 | 0 | 86% | N.M. |
PBT | 21 | 40 | 91% | 26% |
Income tax expense | -5 | -8 | 51% | 22% |
NPAT | 15 | 32 | 106% | 28% |
Minority interest (MI) | 0 | 0 | N.M. | N.M. |
NPAT-MI, reported | 15 | 32 | 106% | 28% |
Source: PLC, Vietcap
Figure 2: PLC’s revenue, gross profit, and gross margin breakdown in Q1 2025
VND bn | Q1 2024 | Q1 2025 | YoY | % of Vietcap’s |
Revenue | 1,599 | 1,912 | 20% | 25% |
Lubricants | 419 | 462 | 10% | 26% |
Asphalt | 702 | 919 | 31% | 30% |
Chemicals & solvents | 465 | 517 | 11% | 26% |
Others | 13 | 14 | 4% | 28% |
Gross Profit | 204 | 248 | 22% | 25% |
Lubricants | 93 | 120 | 29% | 23% |
Asphalt | 77 | 94 | 23% | 23% |
Chemicals & solvents | 33 | 33 | 1% | 38% |
Others | 1 | 1 | -7% | 37% |
|
|
| Δ ppts |
|
Gross profit margin % | 12.7% | 13.0% | +0.2 |
|
Lubricants | 22.2% | 25.9% | +3.7 |
|
Asphalt | 10.9% | 10.3% | -0.7 |
|
Chemicals & solvents | 7.1% | 6.4% | -0.7 |
|
Others | 10.0% | 9.0% | -1.0 |
|
Source: PLC, Vietcap
Powered by Froala Editor