VTP – Strong Q4 earnings growth exceeds expectation – Earnings Flash
  • 2025-02-03T00:00:00
  • Company Research

* 2024 results:

- VTP announced its 2024 results with net revenue of VND20.8tn (USD830.2mn; +6% YoY) and NPAT-MI of VND383bn (USD15.3mn; flat YoY), fulfilling 101% and 107% of our respective full-year forecasts. Given this stronger-than-expected performance and recent positive developments not yet incorporated in our projections, we see potential upside to our forecasts for VTP from 2025F onwards, pending a more comprehensive review.

* Q4 2024 results:

- Net revenue increased 12% YoY to VND5.7tn (USD228.3mn), driven by significant 26% YoY revenue growth of the services segment (mainly delivery services) despite 8% YoY lower trading revenue. Additionally, NPAT-MI increased 22% YoY to VND130bn (USD5.2mn), supported by a 0.9 ppts YoY improvement in services GPM. This growth was partly offset by 42% YoY higher SG&A expenses (attributed to VTP spending on developing its customer base) and 87% YoY lower net financial income (due to lower bank deposit balances).

- Services segment:

+ Services net revenue increased 26% YoY in Q4 2024, primarily driven by strong YoY growth in parcel volume ahead of the 2025 Lunar New Year.

+ Services GPM expanded 0.9 ppts YoY to 8.7% in Q4 2024, which we attribute to lower gasoline prices, proxied by an 11% YoY decline in the average Vietnamese RON-95 gasoline retail price.

- The trading segment recorded net revenue declining 8% YoY in Q4 2024 due to VTP scaling down its mobile phone card selling business starting from the beginning of 2024.

VTP’s Q4 2024 and 2024 results 

VND bn

Q4 2024

YoY

2024

YoY

2024/

Vietcap’s 2024F

Net revenue

5,707

12%

20,756

6%

101%

Services

3,783

26%

12,842

27%

100%

Trading

1,924

-8%

7,915

-16%

101%

Gross profit

344

40%

1,013

15%

116%

Services

328

40%

988

15%

114%

Trading

16

49%

26

29%

326%

SG&A expenses

-180

42%

-561

21%

113%

EBIT

164

39%

452

8%

119%

Net financial income

3

-87%

31

-56%

46%

PBT

167

22%

484

0%

107%

NPAT-MI

130

22%

383

0%

107%

Gross profit margin

6.0%

1.2 ppts

4.9%

0.4 ppts

 

Services

8.7%

0.9 ppts

7.7%

-0.8 ppts

 

Trading

0.8%

0.3 ppts

0.3%

0.1 ppts

 

EBIT margin

2.9%

0.6 ppts

2.2%

0.1 ppts

 

NPAT-MI margin

2.3%

0.2 ppts

1.8%

-0.1 ppts

 

Source: VTP, Vietcap

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