Ho Chi Minh City, October 30, 2024 – Coteccons (HoSE: CTD) has published Q1 FY2025 financial report, showing impressive growth and securing several major projects that reinforce Coteccons’ leading position in Vietnam’s construction industry.
By the end of Q1 FY2025, Coteccons achieved outstanding growth figures, with revenue reaching VND 4,759 billion, a 15.4% increase; gross profit at VND 205 billion, up 105%; and after-tax profit at VND 93 billion, a 39.46% year-on-year increase. Notably, the gross profit margin rose by 1.89%, reaching 4.32%, a result of Coteccons’ focus on high-margin projects and operational efficiencies implemented over the past two years.
In recent times, the Debt Recovery Supervision and Risk Management Boards have effectively worked to reverse provisioning and reduce concentration risks. This quarter marks the first time since 2020 that the company has not made any additional provisions for bad debts.
Making strides with major projects in early 2025
Since the start of the 2025 fiscal year, Coteccons and Unicons have secured contracts for numerous large-scale projects across the residential, industrial, and infrastructure sectors, with a total contract value reaching VND 10.3 trillion. This strong start lays a solid foundation for the Company to achieve the business goals for the upcoming period. Notably, repeat sales accounted for 69% of total projects won, particularly with existing clients like Sun Group, Ecopark Group, BWID, and VinFast.
Specifically, after successfully completing the foundation phase of the Sun Ponte Residence project with excellent progress and quality, Unicons has been entrusted with the main construction package. Previously, Unicons has partnered with Sun Group on major projects such as Premier Village Ha Long, Sailing Bay – Hon Thom, Kiss Bridge & Show Vortex, and Sunset Village. Sun Ponte Residence, located in a prime area of Da Nang, will feature 26 floors above ground and three technical floors, spanning over 59,000 square meters. An architectural highlight of the project is a connector between two towers starting from the fourth floor, promising to become an iconic structure along Tran Hung Dao Street in one of Vietnam’s most livable cities.
Following success with the Tay Ho View project in Hanoi and the substructure & superstructure of Han Riverside Tourism Complex (Sun Cosmo), Coteccons continues to earn Sun Group’s trust as general contractor for several large-scale projects. These include the Times and Innovation City in Ha Nam; Olalani Riverside Towers; the Tourism, Entertainment, Multi-Purpose Performance Complex in Da Nang; Sun Cat Hai project; and the MEP package for residential projects along Tran Hung Dao Street and Han Riverside Tourism Complex, with contract values totaling trillions of VND.
The deployment of these projects follows the strategic partnership agreement between Coteccons – Unicons and Sun Group signed in September 2024, marking a long-term commitment between the two parties to build significant projects nationwide. This partnership reinforces Coteccons – Unicons’ leading expertise in managing large and complex projects.
Building on the success of the Yen Phong CN14.1 project at VSIP Bac Ninh, Coteccons is continuing our partnership with BWID on the CN7-CN8 project at Pho Noi A Industrial Park in Hung Yen. As a major foreign direct investment (FDI) developer, BWID maintains stringent standards with the goal of achieving LEED Gold certification upon project completion. With a wealth of experience in large-scale industrial FDI projects, including those for LEGO, Pandora, and Suntory PepsiCo, Coteccons has proven our ability to meet complex technical requirements and uphold international sustainability standards like LEED Gold and LEED Platinum. This blend of technical expertise and dedication to sustainability has solidified Coteccons’ position as a leader in the industrial construction sector, making us the first choice for international developers who prioritize quality and sustainability.
Additionally, the Thuy Van Road Renovation Project for Vung Tau City marks Coteccons’ first achievement in our strategy to diversify revenue streams from public investment projects. This significant project has garnered considerable attention and support from local authorities with the objective of developing Vung Tau as a top-tier, international tourism destination. Coteccons is proud to serve as the general contractor for this project.
Cultivating New Partnerships
Leveraging extensive industrial construction expertise, Unicons recently outcompeted other contractors to win Phase 3 of the Cheng Loong Binh Duong Paper Factory. For this project, Unicons will construct the G3 main power station and water treatment facilities in Zones 1 and 2.
Most recently, Unicons held the groundbreaking ceremony for Hung Ha General Hospital, which will include 18 floors above ground and two basement levels with areas for in-patient services, treatment, administration, and specialized facilities. Unicons has previously handled prominent hospital projects like Vinmec, Hong Ngoc, and Phenikaa University Hospital.
“Coteccons – with our guiding principle and slogan ‘Building Futures,’ we aim not only to build iconic structures that stand the test of time but also to create positive impacts for society where Coteccons operates. We hope that each fresh collaboration with clients serves as the beginning of future projects that go beyond construction to include contributions to communities and society,” shared Mr. Vo Hoang Lam, General Director of Coteccons Business Unit 1.
In Q1 FY2025, Coteccons has also marked collaborations with several other new clients, including Capital Land for the Sycamore High-Rise project (B9, B10) and Newton Hanoi (B6-CT02, B6-CT03), Phuong Thanh for Park Royal Hotel in Hanoi, KDI Holdings for Champarama Resorts and Spa, Xingyu Vietnam for the Xingyu Vietnam Safety Technology Factory, and Kita Group for the Stella 360 Complex, etc.
The “client-centric” strategy has become one of the key differentiators for Coteccons in securing new clients. By focusing deeply on clients’ needs and long-term objectives, Coteccons has built a flexible work process based on the Own It culture, empowering project directors with high levels of autonomy; at the same time fosters transparency, exceeds rigorous standards for progress and quality, and optimizes cost efficiency. Understanding the unique nature of each project and offering comprehensive solutions from design to construction have positioned Coteccons as a trusted partner, expanding our market presence and solidifying our reputation with leading and prospective clients.
With significant achievements from the start of the year, Coteccons enters the upcoming quarters with strong momentum and a long-term vision toward sustainable development, maintaining our pioneering position in the construction industry.
For more details, please see the full Q1 FY2025 financial report at: https://www.coteccons.vn/investor-relations-vn/
About Coteccons
Coteccons is Vietnam’s leading construction company, with over 20 years of experience in construction and project management. Coteccons is committed to delivering world-class, high-quality, and sustainable projects, contributing to bright futures for the community and the country.
