GELEX Group Joint Stock Company (HoSE: GEX) has just released its financial report for the first quarter of 2024, showing that business results have had positive changes compared to the same period in 2023.

According to the report, GELEX Group recorded net revenue and consolidated profit before tax of VND 6.660 billion and VND 385 billion, respectively, an increase of 3.9% and 167.7% over the same period. Gross profit this quarter reached 1.200 billion, down 5.4% over the same period due to the market of electrical equipment & construction materials still facing many difficulties.

At the end of the first quarter, GELEX realized 20.6% of the revenue plan and 20.0% of the profit plan for 2024.

The real estate and industrial parks continued to make a strong impression when recording VND 1.239 billion in net revenue, an increase of 0.5% over the same period in terms of business segments. Although net revenue was equivalent to the same period last year, gross profit margin in this segment increased sharply, reaching 50% compared to 37.8% in the same period, so gross profit reached 619 billion VND, an increase of 32.8%.

This is the segment that always stands firm, records positive growth and continues to be GELEX’s investment focus in the coming time. Viglacera, a member unit of GELEX Group, was also approved for investment projects in Doc Da Trang Industrial Park (288 hectares) and Song Cong II Industrial Park (296 hectares). Previously, the unit also announced Green & Smart Industrial Park – “Thuan Thanh Eco-Smart IP” in Bac Ninh province.

In addition to developing industrial park infrastructure at Viglacera, GELEX continues to promote cooperation with Frasers Property Vietnam to deploy ready-built factory and warehouse projects as well as start construction on two more high-end real estate projects that meet green building standards, that is Industrial Centre Yen My (started 21 March 2024) and Industrial Centre Dong Mai (starting construction March 23, 2024).

These industrial parks are built with customer-focused criteria, meeting green building standards (LEED) and aiming for sustainable development. This is also a stepping stone for GELEX’s real estate and industrial park segments to move towards growth in the near future.

In the electrical equipment segment, net revenue this quarter reached VND 3.605 billion, up 12.2% over the same period. And utility infrastructure (including energy & clean water projects) recorded revenue of VND 389 billion, down 3.3%; The construction materials segment reached VND 1.416 billion in revenue, down 7.9% over the same period.

Another positive point in the quarter is that interest rates decreased compared to the first quarter of 2023, leading to a decrease in financial costs, and an increase in financial revenue during the period also contributed to the profit growth of the first quarter of 2024 compared to the same period.

Previously, on March 28, 2024, GELEX Group held its annual General Meeting of Shareholders, approving the targets of consolidated net revenue of 32.303 billion VND, consolidated profit before tax of 1.921 billion VND, an increase of 7.7% and 37.5% respectively compared to 2023 implementation.

Regarding development orientation, GELEX will restructure its investment portfolio, in which electrical equipment, industrial park infrastructure development and industrial real estate, and renewable energy are still the top priorities in the investment strategy of Group.

The company will also invest in R&D activities; Develop a partner ecosystem with leading multinational corporations and always pay attention to sustainable development through building a business strategy consistent with core competencies and gradually applying effectively the integrated management framework of ESG (Environment – Society – Governance).