Vinachem: The reporting production and business conference of First 6 months and deploying the target of the last 6 months 2020.

08:46 AM @ Saturday - 11 July, 2020

On July 10, 2020, in Da Nang, Vietnam National Chemical Group (Vinachem) held a periodical conference to appraise producting and businessing result of quarter II and the first 6 months, deploying the task of the rest of year. Attending and directing the Conference were: Mr. Ho Sy Hung, Vice Chairman of Commission for the Management of State Capital at Enterprises (CMSC); Mr. Nguyen Phu Cuong, Secretary of the Party Committee, Chairman of the Board of members; Mr. Phung Quang Hiep, Deputy Secretary of the Party Committee, Member of the Board of Members, General Director and CEO of the Group; Representative of Group and unit members. Conference preside over by Mr. Phung Quang Hiep.

In the first six months of 2020, the productivity of production and business of Vinachem faced many difficulties due to the impact of the Covid-19 and the difficult of weather (hail in the North; drought in the Highlands, saline intrusion in the Mekong Delta region) impact on farming, reducing fertilizer demand. Input materials, capital and production conditions, as well as the product consumption market. Therefore, production and business results in the second quarter of 2020 of the whole Group achieved not high compared to the same period last year, specifically: industrial production value calculated at current prices in the quarter II was estimated 9,559 billion VND, by 86% of the plan; Accumulated 6 months was estimated 18,443 billion VND, by 41.5% of the year plan. Revenue was estimated 10,432 billion VND, by 91% of the plan; Accumulated 6 months was estimated 19,971 billion VND, as 43.4% of the plan. The Gross profit was estimated 442 billion VND; The Lost was estimated 1,025 billion VND. There was 04 unit members in the 1468 project , the lost estimated 1,907 billion VND, increased 1,326 billion VND; the rest of unit members estimated profit about 882 billion VND, up 36% over the same period in 2019. The State's budget payment estimated 300 billion VND in quarter II; accumulated of first 6 months was estimated 670 billion VND. In the second quarter and the first 6 months, the Group always ensures enough employment for 20,000 employees with average salary is 8.7 million VND / person / month.

In the first 6 months, the Group produced and supplied 1.5 million tons of fertilizer to the market; 1.4 million automobile tires; more than 2.3 million motorcycle tires and inner tubes; 137 thousand tons of detergents and many chemical products for demand of production and social life. Some products have output increased comparing the same period are: bicycle inner tubes increased 19.1%, welding rods increased 83.1%, washing detergents increased 11.6% but there are still products reduced output such as phosphate fertilizer, NPK, urea, apatite ores.

For construction investment, the value implemented in the quarter II reached 134 billion VND; Accumulated 6 months reached 198 billion VND, by 33.7% of the plan. During the quarter II, the Group complied with the direction of competent authorities on the settlement of contracts of the Lao Mining Salt Processing Project; continue to focus on important projects such as the construction of Lan Van Dien Plant in Thanh Hoa of VADFCO... and preparing the investment in projects such as: Expansion project of Tuyen Bac Nhac Son Factory (of Apatit Vietnam Co., Ltd.), Investment project of new chlorine products (Viet Tri Chemical Joint Stock Company), Factory Nhon Trach Chemical project (Southern Basic Chemicals Joint Stock Company), etc.

In quarter II/2020, the Group striving production and business with the targets: Industrial production value calculated at current prices reaches 9,622 billion VND, Accumulated in 9 months reaches 28,065 billion VND; Revenue reached 10,210 billion VND, Accumulated 9 months reached 30,181 billion; Gross profit in quarter III will loss about 546 billion VND, of which the unit members in 1468 Project will lose 930 billion VND; Profit of the rest of unit members will be 384 billion VND; Accumulated in 9 months of the rest unit members reach 1,266 billion VND (Estimated profit increase 157 billion VND, up 14% compared to 9 months of 2019).

And hoped that in the future unit members of Group will try to maintain production in the context of the present economic crisis in Covid-19 epidemic disease,, strive to complete the 2020 plan, and building investment and development strategies of all unit members in the future.