Vinfast Trading And Production Joint Stock Company (Vietnam)

Since its establishment, the subject has constantly expanded scale by increasing charter capital in consecutive years. So far, the capital has increased strongly to VND 129.064 trillion. In particular, VINFAST JSC stopped gasoline-powered car production to focus on electric car production in late 2022 with 6 car models VF5, VF6, VF e34, VF7, VF8, and VF9.Additionally, on 28 July 2023, the subject officially kicked off the electric vehicle factory in the US. VINFAST's first factory in the US has a total investment capital in phase 1 of USD 2 billion, with an expected capacity of 150,000 vehicles/year.Updated in the third quarter of 2023, VINFAST JSC (including VINFAST and dealers) had 126 showrooms and 669,000 charging points worldwide. In Vietnam, the subject's products are distributed by VINFAST COMMERCIAL AND SERVICES TRADING LIMITED LIABILITY COMPANY, which has 83 showrooms and over 1,500 charging points throughout 63 provinces and cities nationwide.As reported, the total consumed VINFAST electric cars in the first nine months of 2023 reached 21,342 units. In which, the firm delivered 10,027 electric cars in the third quarter of 2023, an increase of 5% compared to the previous quarter. Additionally, it also started having a slight increase in sales in the North American market, especially Canada.As the Mass Media in October 2023, VinES (VINES ENERGY SOLUTIONS JOINT STOCK COMPANY) will be merged into VINFAST. After the merger, VINFAST will inherit all patents for battery cells, battery packs, factories, technology, partnerships, as well as contracts with VinES's suppliers.Because of having absolute control (with direct voting rights of 99.9%) in the subject, VINFAST AUTO LTD has continued including VINFAST JSC in its consolidated financial statements. For the nine months ended September 30, 2023, the consolidated revenue of vehicles of VINFAST AUTO LTD reached VND 16.722 trillion, soaring by 90.5% over the same period last year. Meanwhile, mainly due to incurring higher finance costs and unimproved gross profit margin, the consolidated loss in the first nine months of 2023 still increased by 20.06%, to VND 41.593 trillion. Through those consolidated indicators of VINFAST AUTO LTD, the possibility of heavier losses for VINFAST JSC in 2023 could be predicted.Generally, VINFAST is still a young car brand so the subject needs more time to expand market shares. The company reported heavier losses in the last few years. In the stage of development, its business performance was still low. Despite having strong support from the parent company, VINGROUP, with fierce competition from giants in the automobile industry in the world, the company needs more time to expand market shares, strengthen its brand position, as well as achieve profit goals.