VinFast Reports Unaudited Second Quarter 2023 Financial Results
- Strong Q2 revenues with a 131.2% YoY increase
- Increase in vehicle sales by 147.0% YoY
- Improvement in gross loss by 28.7% QoQ
- Expansion plans in multiple markets
- Successful launch of VF 9 model and North Carolina facility
- Net loss decreased by 8.2% QoQ
Quarterly Revenues reached
Quarterly Vehicle Deliveries were 9,535 units
Operating Highlights for the Second Quarter of 2023
2Q2023 | 1Q2023 | 2Q2022 | |
EV Deliveries1 | 9,535 | 1,780 | 1,789 |
E-scooters Deliveries | 10,182 | 9,757 | 15,299 |
- EV deliveries were 9,535 in the second quarter of 2023, representing an increase of approximately
436% from the first quarter of 2023. - E-scooters deliveries were 10,182 in the second quarter of 2023,
4% increase from the first quarter of 2023. - As of June 30, 2023, the Company had 122 showrooms globally for EVs and 245 showrooms and service workshops for e-scooters.
Financial Highlights for the Second Quarter of 2023
- Vehicle sales were
VND7,487,874 million (US ), representing an increase of$314.6 million 147.0% from the second quarter of 2022 and an increase of387.3% from the first quarter of 2023. - Total revenues were
VND7,952,531 million (US ), representing an increase of$334.1 million 131.2% from the second quarter of 2022 and an increase of303.3% from the first quarter of 2023. Total revenues primarily comprise of revenue from selling EVs. - Gross loss was
VND2,714,622 million (US ), representing an increase of$114.1 million 7.5% from the second quarter of 2022 and a decrease of28.7% from the first quarter of 2023. - Gross margin improved to negative
34.1% in the second quarter of 2023, compared to negative73.4% in the second quarter of 2022 and negative193.2% in the first quarter of 2023. - Loss from operations improved to
VND9,230,423 million (US ) in the second quarter of 2023, representing a decrease of$387.8 million 20.0% from the second quarter of 2022 and a decrease of17.2% from the first quarter of 2023. - Net loss improved to a loss of
VND12,535,202 million (US ), representing a decrease of$526.7 million 8.2% from the second quarter of 2022 and a decrease of11.2% from the first quarter of 2023. - Cash and cash equivalents were
VND1,600,653 million (US ), as of June 30, 2023.$67.3 million
______________________________________ |
1 Includes VF e34, VF 5, VF 8, VF 9 and e-bus |
Key Financial Results for the Second Quarter of 2023
(in VND millions, except for percentages and basis points ("bp"))
2023 Q2 | 2023 Q1 | 2022 Q2 | QoQ | YoY | |
Vehicle Sales | 7,487,874 | 1,536,619 | 3,031,170 | 387.3 % | 147.0 % |
Total Revenues | 7,952,531 | 1,971,626 | 3,439,302 | 303.3 % | 131.2 % |
Gross Loss | (2,714,622) | (3,808,770) | (2,524,537) | (28.7 %) | 7.5 % |
Gross Margin | (34.1 %) | (193.2 %) | (73.4 %) | 15,904bp | 3,927bp |
Loss from Operations | (9,230,423) | (11,142,273) | (11,540,423) | (17.2 %) | (20.0 %) |
Net Loss | (12,535,202) | (14,120,825) | (13,651,818) | (11.2 %) | (8.2 %) |
Second Quarter of 2023 Business Updates
Business Combination with Black Spade Acquisition Co ("Black Spade")
- On May 12, 2023, the Company announced a business combination with Black Spade, at an approximate
enterprise value.$27 billion - The business combination was completed on August 11, 2023, and VinFast's ordinary shares began trading in the
U.S. on Nasdaq under the ticker symbol "VFS" on August 15, 2023.
Chairman and Vingroup Support Commitment
- In April 2023, VinFast entered into a capital funding agreement (as amended from time to time, the "Capital Funding Agreement") that provides a framework for VinFast to receive up to approximately
in grants and loans from its Chairman, Mr. Pham Nhat Vuong, and Vingroup to facilitate VinFast's ongoing growth. Up to$2.5 billion would be provided as a grant from its Chairman or two of VinFast's key shareholders, Vietnam Investment Group Joint Stock Company ("VIG") and Asian Star Trading & Investment Pte. Ltd. ("Asian Star"), which are each controlled by the Chairman. The remainder would be provided in the form of a grant of up to approximately$1 billion and a loan of up to$504 million from Vingroup. Disbursements are subject to the parties agreeing to enter into a definitive loan agreement, the financial resources of the Chairman, the relevant VinFast shareholders and Vingroup and necessary approvals from the relevant governing bodies of Vingroup.$1 billion
Filing of registration statement on Form F-1
- On September 12, 2023, the Company filed a registration statement on Form F-1 to register the offer and sale from time to time of ordinary shares by certain selling securityholders, including by Black Spade Sponsor LLC (the "Sponsor") and other persons associated with Black Spade and our key shareholders, VIG and Asian Star. The registration statement has not yet been declared effective by the Securities and Exchange Commission.
- The ordinary shares being registered for resale by VIG and Asian Star represent approximately
2.0% of our outstanding shares and have been released from lock-up restrictions. VIG, Asian Star and Vingroup together will continue to hold96.6% of VinFast's outstanding shares that are subject to lock-up restrictions. - The Company also registered for 15,000,000 ordinary shares issued to Gotion Inc. ("Gotion") pursuant to the terms of the ordinary shares subscription agreement, dated as of June 30, 2023.
- In total, ordinary shares representing
3.1% of VinFast's outstanding ordinary shares are being registered for resale (including VIG's and Asian Star's ordinary shares). Ordinary shares held by the Sponsor and other persons associated with Black Spade have been released from lock-up restrictions, except ordinary shares held by the Sponsor pursuant to its earlier exercise of warrants and by the backstop subscription investor, which continue to be subject to lock-up restrictions reduced from 12 to six months. - The Company will receive all of the proceeds from the sale of ordinary shares pursuant to the registration statement by VIG and Asian Star, net of any sales commissions, fees, brokerages and taxes. Such proceeds will be provided to the Company by VIG and Asian Star on behalf of our Chairman in relation to our Chairman's aforementioned commitment under the Capital Funding Agreement. Any additional proceeds will be provided to the Company by VIG and Asian Star as a further grant on behalf of our Chairman.
Market Expansion
- For VinFast's next phase of development ("Phase II") beginning in 2024, it plans to adopt a multi-channel distribution strategy and differentiated model for each market category:
- Model 1 – VinFast Directed Distribution: Under this model, VinFast plans to act as its own distributor and may initially open showrooms to introduce the VinFast brand. Shortly thereafter, VinFast plans to roll out dealership networks in market clusters such as
Vietnam ,North America ,Europe (France ,Germany ,Netherlands ), and other new markets, including, but not limited to,Indonesia ,India , the rest ofEurope and theMiddle East .
VinFast has identifiedIndonesia from among seven new market clusters as a key potential market for the potential establishment of manufacturing facilities for its EVs and batteries due to the relatively low cost and availability of domestic raw materials. Based on the Company's evaluation of the market opportunity inIndonesia , a preliminary investment target of up to approximately has been set for$1.2 billion Indonesia in the long-term. The target includes approximately to$150 that the Company envisions applying toward the establishment of a CKD factory with production capacity in the range of 30,000 and 50,000 cars per year and a target production start date no later than in 2026.$200 million - Model 2 – 3P Distribution: The Company has identified an additional 40-50 markets for which it plans to engage high-quality distributors to import and distribute VinFast cars into local markets
- Model 1 – VinFast Directed Distribution: Under this model, VinFast plans to act as its own distributor and may initially open showrooms to introduce the VinFast brand. Shortly thereafter, VinFast plans to roll out dealership networks in market clusters such as
VinFast VF 9 Received EPA-Rated Ranges of 330/291 Miles (Eco/Plus Trim)
- In August 2023, the VF 9 model received a certified EPA range of 330 miles for the Eco trim and 291 miles for the Plus trim when fully charged.
- The VF 9 is a full-size, seven-passenger, all-electric SUV, with an MSRP of
and$83,000 for the Eco and Plus trims, respectively.$91,000 - VF 9 deliveries have been made to customers in
Vietnam and the model is available for reservations globally.
VinFast Broke Ground at North Carolina Facility
- On July 28, 2023, VinFast broke ground at our electric vehicle manufacturing site in
Chatham County, North Carolina . - Planned annual production capacity of 150,000 in Phase I.
Showroom Openings
- During the quarter, VinFast added 10 showrooms in strategically central locations across
Vietnam ,North America andEurope .
GSM Launch
- Earlier this year, GSM, a Vietnamese EV-only taxi operator and an affiliate of VinFast, officially launched in
Hanoi andHo Chi Minh City. - GSM has since entered into vehicle sale agreements with VinFast for up to 200,000 e-scooters and 30,000 EVs, of which approximately 7,100 EVs have been delivered through June 30, 2023.
Management Commentary
Madam Thuy Le, Global Chief Executive Officer of VinFast, said: "It has been a remarkable journey since we started our company back in 2017. I could not be more proud of what we have accomplished in our short history. We are excited for the tremendous global opportunity in the EV space and believe we are well positioned to deliver on our strategic goals and achieve our mission of creating a greener future for everyone."
Mr. David Mansfield, Chief Financial Officer, added, "We are pleased to report a strong second quarter marked by high growth and progress towards profitability. Our EV deliveries saw a
Financial Results for the Second Quarter of 2023
Revenues
- Total revenues were
VND7,952,531 million (US ), representing an increase of$334.1 million 131.2% from the second quarter of 2022 and an increase of303.3% from the first quarter of 2023. - Vehicle sales were
VND7,487,874 million (US ), representing an increase of$314.6 million 147.0% from the second quarter of 2022 and an increase of387.3% from the first quarter of 2023. The increase in vehicle sales over the second quarter of 2022 and the first quarter of 2023 was mainly due to a significant increase in EV sales volume inVietnam in the second quarter of 2023, including the VF e34, VF 8, VF 5 and VF 9. This increase over the second quarter of 2022 was partially offset by our phasing out of production of ICE vehicles in furtherance of our plan to fully transform into a pure EV player, which resulted in minimal revenue from sales of ICE vehicles in the second quarter of 2023, and a decrease in sales of e-scooters, which was attributable to a decline in the sales volume of our older e-scooter models, including the Feliz, Klara-A2, Tempest, and Ludo.
Cost of Sales and Gross Margin
- Cost of sales was
VND10,667,153 million (US ), representing an increase of$448.2 million 78.9% from the second quarter of 2022 and an increase of84.5% from the first quarter of 2023. The increase over the second quarter of 2022 and the first quarter of 2023 was primarily attributable to increases in cost of vehicles sold as the Company delivered more EVs to customers in the second quarter of 2023 and charges to write-down the carrying value of our inventories that exceeded its estimated net realizable value attributable to an increase in inventories reserved for EV production and certain promotion programs for VinFast's customers. This increase was partially offset by a decrease in the cost of e-scooters sold in line with a decrease in e-scooter sales, a decrease in the total cost of ICE vehicles sold, due to the decrease in ICE vehicle sales volume in furtherance of our plan to fully transform into a pure EV player and a decrease in accelerated amortization and depreciation expenses due to the ICE production phase out. - Gross loss was
VND2,714,622 million (US ), representing an increase of$114.1 million 7.5% from the second quarter of 2022 and a decrease of28.7% from the first quarter of 2023. - Gross margin was negative
34.1% , as compared with to negative73.4% in the second quarter of 2022 and negative193.2% in the first quarter of 2023, due to a strong increase in sales volume in the second quarter of 2023 and the lower base in the second quarter of 2022 and first quarter of 2023. In addition, there were significant charges to write down the carrying value of inventories in the first quarter of 2023 due to the increase in the balance of inventories to reserve for our EV production and promotion programs carried out for VinFast's customers.
Operating Expenses
- Research and development (R&D) costs were
VND3,613,061 million (US ), representing a decrease of$151.8 million 47.4% from the second quarter of 2022 and a decrease of27.8% from the first quarter of 2023. The decrease over the second quarter of 2022 and the first quarter of 2023 was mainly attributed to the decrease in R&D costs paid to external suppliers (including taxes on expenses paid out to suppliers) and other costs relating to our R&D activities for EVs given certain EV models were in start of production from 2022 to the beginning of 2023. - Selling and distribution expenses were
VND1,291,284.0 million (US ), representing an increase of$54.3 million 33.1% from the second quarter of 2022 and an increase of1.1% from the first quarter of 2023. The increase over the second quarter of 2022 and the first quarter of 2023 was primarily attributable to an increase in labor costs and rental costs, which are primarily attributable to our efforts to scale our sales operations in theNorth America andEurope , including opening new showrooms. - Administrative expenses were
VND1,457,018 million (US ) representing an increase of$61.2 million 148.3% from the second quarter of 2022 and an increase of32.0% from the first quarter of 2023. The increase over the second quarter of 2022 and the first quarter of 2023 was primarily due to an increase in labor costs and impairment charges in relation to our battery leasing activities under the automotive segments where the carrying value of certain long-lived assets may not be recoverable from impairment testing, as well as an increase in depreciation and amortization expenses and other costs.
Loss from Operations
- Loss from operations was
VND9,230,423 million (US ), representing a decrease of$387.8 million 20.0% from the second quarter of 2022 and a decrease of17.2% from the first quarter of 2023.
Net Loss and Earnings Per Share
- Net loss was
VND12,535,202 million (US ), representing a decrease of$526.7 million 8.2% from the second quarter of 2022 and an increase of11.2% from the first quarter of 2023. - Net loss attributable to controlling interest was
VND12,513,485 million (US ), representing a decrease of$525.8 million 8.3% from the second quarter of 2022 and a decrease of11.2% from the first quarter of 2023. - Basic and diluted net loss per ordinary share/ADS were both
VND5,431 (US ), compared with$0.23 VND5,933 (US ) in the second quarter of 2022 and$ 0.25 VND5,841 (US ) in the first quarter of 2023.$ 0.25
Balance Sheet
- Cash and cash equivalents were
VND1,600,653 million (US ), as of June 30, 2023.$67.3 million
Business Outlook
The Company expects:
- Deliveries of vehicles to be between 40,000 and 50,000 vehicles in FY2023.
- Capex for 2023-24 to maintain at 1H2023 incurred level.
- On track to commence delivery of the VF 9 in
North America and the VF 6 inVietnam by end of this year. VF 7 and VF 3 expected to commence deliveries in 2024.
The Company believes that it has sufficient runway to grow in the coming years while continuing to look for opportunities to strengthen its balance sheet.
This outlook reflects the Company's current and preliminary view on the business and existing market conditions, which is subject to change.
Conference Call
The Company's management will host its inaugural earnings conference call at 8:00 AM
Live Webcast: https://edge.media-server.com/mmc/p/p26bwgdm
Q&A Participation: https://register.vevent.com/register/BIddbc93f688224008aec1b49339eb1f6c
VinFast Auto Ltd. |
Unaudited Interim Condensed Consolidated Balance Sheets |
As of December 31, | As of June 30, | As of June 30, | ||
VND million | VND million | USD | ||
(Unaudited) | (Unaudited) | |||
ASSETS | ||||
CURRENT ASSETS | ||||
Cash and cash equivalents | 4,271,442 | 1,600,653 | 67,254,328 | |
Trade receivables | 652,922 | 355,683 | 14,944,664 | |
Advances to suppliers | 8,968,752 | 5,334,949 | 224,157,521 | |
Inventories, net | 21,607,277 | 24,022,069 | 1,009,330,630 | |
Short-term prepayments and other receivables | 6,457,169 | 6,678,594 | 280,613,193 | |
Short-term derivative assets | 532,718 | 440,425 | 18,505,252 | |
Current net investment in sales-type lease | 5,448 | 21,117 | 887,269 | |
Short-term investments | 3,902 | 3,989 | 167,605 | |
Short-term amounts due from related parties | 1,978,097 | 391,784 | 16,461,513 | |
Assets classified as held for sale | 360,893 | 353,049 | 14,833,992 | |
Total current assets | 44,838,620 | 39,202,312 | 1,647,155,966 | |
NON-CURRENT ASSETS | ||||
Property, plant and equipment, net | 57,188,667 | 63,322,217 | 2,660,597,353 | |
Intangible assets, net | 1,461,071 | 1,515,011 | 63,655,924 | |
Goodwill | 272,203 | 272,203 | 11,437,101 | |
Operating lease right-of-use assets | 4,558,983 | 6,905,579 | 290,150,378 | |
Long-term derivative assets | 696,332 | 309,614 | 13,008,992 | |
Long-term advances to suppliers | 29,082 | - | - | |
Long-term prepayments | 7,611 | 37,920 | 1,593,277 | |
Non-current net investment in sales-type lease | 82,062 | 225,277 | 9,465,420 | |
Long-term amounts due from related parties | 44,533 | 47,445 | 1,993,487 | |
Other non-current assets | 4,426,135 | 4,990,736 | 209,694,790 | |
Total non-current assets | 68,766,679 | 77,626,002 | 3,261,596,723 | |
TOTAL ASSETS | 113,605,299 | 116,828,314 | 4,908,752,689 |
VinFast Auto Ltd. |
Unaudited Interim Condensed Consolidated Balance Sheets (continued) |
As of December 31, | As of June 30, | As of June 30, | ||
VND million | VND million | USD | ||
(Unaudited) | (Unaudited) | |||
DEFICIT AND LIABILITIES | ||||
CURRENT LIABILITIES | ||||
Short-term and current portion of long-term interest-bearing loans and | 14,579,553 | 15,170,731 | 637,425,672 | |
Trade payables | 16,636,820 | 15,953,666 | 670,322,101 | |
Deposits and down payment from customers | 1,572,537 | 487,920 | 20,500,840 | |
Short-term deferred revenue | 107,448 | 127,053 | 5,338,361 | |
Short-term accruals | 11,056,666 | 12,307,182 | 517,108,487 | |
Other current liabilities | 4,177,978 | 4,134,982 | 173,738,739 | |
Current operating lease liabilities | 768,883 | 1,296,743 | 54,485,000 | |
Amounts due to related parties | 17,325,317 | 42,208,018 | 1,773,446,134 | |
Total current liabilities | 66,225,202 | 91,686,295 | 3,852,365,336 | |
NON-CURRENT LIABILITIES | ||||
Long-term interest-bearing loans and borrowings | 41,624,960 | 40,730,992 | 1,711,386,218 | |
Long-term financial liability | 15,180,723 | 16,083,583 | 675,780,798 | |
Other non-current liabilities | 606,429 | 6,432,066 | 270,254,874 | |
Non-current operating lease liabilities | 3,256,351 | 5,091,287 | 213,919,622 | |
Long-term deferred revenue | 499,395 | 721,011 | 30,294,580 | |
Deferred tax liabilities | 947,981 | 920,955 | 38,695,588 | |
Long-term accruals | 16,007 | 24,188 | 1,016,303 | |
Amounts due to related parties | 21,918,710 | 18,461,814 | 775,706,471 | |
Total non-current liabilities | 84,050,556 | 88,465,896 | 3,717,054,454 | |
DEFICIT | ||||
Ordinary shares – VinFast Auto (2,299,999,998 shares issued and | 871,021 | 871,021 | 36,597,521 | |
Accumulated losses | (127,188,455) | (153,785,023) | (6,461,555,588) | |
Additional paid-in capital | 12,311,667 | 12,311,667 | 517,296,933 | |
Other comprehensive loss | (104,065) | (101,456) | (4,262,857) | |
Deficit attributable to equity holders of the parent | (114,109,832) | (140,703,791) | (5,911,923,992) | |
Non-controlling interests | 77,439,373 | 77,379,914 | 3,251,256,891 | |
Total deficit | (36,670,459) | (63,323,877) | (2,660,667,101) | |
TOTAL DEFICIT AND LIABILITIES | 113,605,299 | 116,828,314 | 4,908,752,689 |
VinFast Auto Ltd. |
Unaudited Interim Condensed Consolidated Statements of Operations |
For the three months ended June 30, | For the six months ended June 30, | |||||
2022 | 2023 | 2023 | 2022 | 2023 | 2023 | |
VND million | VND million | USD | VND million | VND million | USD | |
(Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |
Revenues | ||||||
Sales of vehicles | 3,031,170 | 7,487,874 | 314,616,555 | 6,080,498 | 9,024,493 | 379,180,378 |
Sales of merchandise | - | - | - | 46,414 | 38,269 | 1,607,941 |
Sales of spare parts and components | 328,841 | 180,793 | 7,596,345 | 1,035,409 | 372,338 | 15,644,454 |
Rendering of services | 59,431 | 98,266 | 4,128,824 | 109,059 | 172,987 | 7,268,361 |
Rental income | ||||||
Revenue from leasing activities | 19,860 | 185,598 | 7,798,235 | 46,318 | 316,070 | 13,280,253 |
Revenues (*) | 3,439,302 | 7,952,531 | 334,139,958 | 7,317,698 | 9,924,157 | 416,981,387 |
Cost of vehicles sold | (5,638,988) | (10,199,944) | (428,569,076) | (11,329,856) | (15,439,163) | (648,704,328) |
Cost of merchandise sold | - | - | - | (46,245) | (38,533) | (1,619,034) |
Cost of spare parts and components sold | (216,277) | (49,953) | (2,098,866) | (896,153) | (230,826) | (9,698,571) |
Cost of rendering services | (74,858) | (215,130) | (9,039,076) | (133,703) | (388,596) | (16,327,563) |
Cost of leasing activities | (33,716) | (202,126) | (8,492,689) | (44,412) | (350,431) | (14,723,991) |
Cost of sales | (5,963,839) | (10,667,153) | (448,199,706) | (12,450,369) | (16,447,549) | (691,073,487) |
Gross loss | (2,524,537) | (2,714,622) | (114,059,748) | (5,132,671) | (6,523,392) | (274,092,101) |
Operating expenses | ||||||
Research and development costs | (6,871,280) | (3,613,061) | (151,809,286) | (10,447,838) | (8,620,764) | (362,216,975) |
Selling and distribution costs | (969,914) | (1,291,284) | (54,255,630) | (2,291,600) | (2,569,141) | (107,947,101) |
Administrative expenses | (586,689) | (1,457,018) | (61,219,244) | (1,123,315) | (2,560,861) | (107,599,202) |
Net other operating expenses | (588,003) | (154,438) | (6,488,992) | (615,488) | (98,538) | (4,140,252) |
Operating loss | (11,540,423) | (9,230,423) | (387,832,899) | (19,610,912) | (20,372,696) | (855,995,630) |
Finance income | 36,015 | 26,050 | 1,094,538 | 79,618 | 41,263 | 1,733,739 |
Finance costs | (1,880,423) | (2,749,685) | (115,532,983) | (3,426,910) | (5,072,547) | (213,132,227) |
Net (loss)/gain on financial instruments at | (273,370) | (607,610) | (25,529,832) | 660,286 | (1,279,073) | (53,742,563) |
Loss before income tax expense | (13,658,201) | (12,561,668) | (527,801,176) | (22,297,918) | (26,683,053) | (1,121,136,681) |
Tax income/(expense) | 6,383 | 26,466 | 1,112,017 | (1,014,237) | 27,026 | 1,135,546 |
Net loss for the period | (13,651,818) | (12,535,202) | (526,689,160) | (23,312,155) | (26,656,027) | (1,120,001,134) |
Net loss attributable to non-controlling interests | (10,932) | (21,717) | (912,479) | (22,737) | (49,338) | (2,073,025) |
Net loss attributable to controlling interest | (13,640,886) | (12,513,485) | (525,776,681) | (23,289,418) | (26,606,689) | (1,117,928,109) |
(*) Including sales to related parties in the three months ended June 30, 2022 and 2023 and six months ended June 30, 2022 and 2023 of |
VinFast Auto Ltd. |
Unaudited Interim Condensed Consolidated Statements of Comprehensive Loss |
For the three months ended June 30, | For the six months ended June 30, | |||||
2022 | 2023 | 2023 | 2022 | 2023 | 2023 | |
VND million | VND million | USD | VND million | VND million | USD | |
(Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |
Net loss for the period | (13,651,818) | (12,535,202) | (526,689,160) | (23,312,155) | (26,656,027) | (1,120,001,134) |
Other comprehensive (loss)/income | ||||||
Other comprehensive (loss)/income that will be reclassified | ||||||
Exchange differences on translation of foreign operations | (38,509) | 21,433 | 900,546 | (8,709) | 2,609 | 109,622 |
Net other comprehensive (loss)/income that will be | (38,509) | 21,433 | 900,546 | (8,709) | 2,609 | 109,622 |
Total comprehensive loss for the period, net of tax | (13,690,327) | (12,513,769) | (525,788,613) | (23,320,864) | (26,653,418) | (1,119,891,513) |
Net loss attributable to non-controlling interests | (10,932) | (21,717) | (912,479) | (22,737) | (49,338) | (2,073,025) |
Comprehensive loss attributable to controlling interest | (13,679,395) | (12,492,052) | (524,876,134) | (23,298,127) | (26,604,080) | (1,117,818,487) |
Net loss per share attributable to ordinary shareholders | VND | VND | USD | VND | VND | USD |
Basic and diluted | (5,933) | (5,431) | (0.23) | (10,130) | (11,567) | (0.49) |
Unit: Shares | ||||||
Weighted average number of shares used in loss per | ||||||
Basic and diluted | 2,298,963,211 | 2,299,999,998 | 2,299,999,998 | 2,298,963,211 | 2,299,999,998 | 2,299,999,998 |
VinFast Auto Ltd. |
Unaudited Interim Condensed Consolidated Statements of Cash Flows |
For the six months ended June 30, | |||
2022 | 2023 | 2023 | |
VND million | VND million | USD | |
(Unaudited) | (Unaudited) | (Unaudited) | |
OPERATING ACTIVITIES | |||
Net loss for the period | (23,312,155) | (26,656,027) | (1,120,001,134) |
Adjustments to reconcile net loss to net cash flows: | |||
Depreciation of property, plant and equipment | 1,806,904 | 2,511,264 | 105,515,294 |
Amortization of intangible assets | 1,479,172 | 113,261 | 4,758,866 |
Impairment of assets and changes in fair value of held for sale assets | 39,259 | 862,561 | 36,242,059 |
Changes in operating lease right-of-use assets | 187,207 | 570,103 | 23,953,908 |
Provision related to compensation expenses, assurance-type warranties and net realizable value of inventories | 2,779,274 | 4,636,460 | 194,809,244 |
Deferred tax expenses/(income) | 1,014,237 | (27,026) | (1,135,546) |
Unrealized foreign exchange losses | 592,844 | 167,064 | 7,019,496 |
Investment losses | 18,962 | - | - |
Net (gain)/losses on financial instruments at fair value through profit or loss | (660,286) | 1,279,073 | 53,742,563 |
Change in amortized costs of financial instruments measured at amortized cost other than nominal interest | 917,271 | 1,582,016 | 66,471,261 |
Change in working capital: | |||
Trade receivables and advance to suppliers | 1,086,977 | 4,053,598 | 170,319,244 |
Inventories | (3,956,198) | (6,418,463) | (269,683,319) |
Trade payables, deferred revenue and other payables | 2,654,005 | (3,640,389) | (152,957,521) |
Operating lease liabilities | (160,284) | (565,412) | (23,756,807) |
Prepayments, other receivables and other assets | (67,887) | 345,613 | 14,521,555 |
Net cash flows used in operating activities | (15,580,698) | (21,186,304) | (890,180,840) |
VinFast Auto Ltd. |
Unaudited Interim Condensed Consolidated Statements of Cash Flows (continued) |
For the six months ended June 30, | |||
2022 | 2023 | 2023 | |
VND million | VND million | USD | |
(Unaudited) | (Unaudited) | (Unaudited) | |
INVESTING ACTIVITIES | |||
Purchase of property, plant and equipment, and intangible assets | (5,530,036) | (15,727,008) | (660,798,655) |
Repayment under a business investment and cooperation contract | (968,773) | - | - |
Proceeds from disposal of property, plant and equipment | 170,017 | 922,675 | 38,767,857 |
Disbursement of bank deposit | (5,654) | - | - |
Collection of loans | 1,017,000 | 545,400 | 22,915,966 |
Proceeds from disposal of equity investment (net of cash held | (2,240) | - | - |
Net cash flows used in investing activities | (5,319,686) | (14,258,933) | (599,114,832) |
FINANCING ACTIVITIES | |||
Capital contribution from owners | 6,000,000 | - | - |
Deemed contribution from owners | 646,655 | - | - |
Proceeds from borrowings | 31,634,689 | 42,914,466 | 1,803,128,824 |
Cash received under a business cooperation contract | - | 5,875,000 | 246,848,739 |
Repayment of borrowings | (18,482,853) | (15,372,426) | (645,900,252) |
Net cash flows from financing activities | 19,798,491 | 33,417,040 | 1,404,077,311 |
Net decrease in cash and cash equivalents and restricted cash | (1,101,893) | (2,028,197) | (85,218,361) |
Cash, cash equivalents and restricted cash at beginning of the period | 3,024,916 | 4,271,442 | 179,472,353 |
Net foreign exchange difference on cash, cash equivalents and | 3,473 | 24,422 | 1,026,134 |
Cash, cash equivalents and restricted cash at end of the period | 1,926,496 | 2,267,667 | 95,280,126 |
Supplement disclosures of non-cash activities | |||
Non-cash property, plant and equipment additions | 2,591,952 | 5,512,701 | 231,626,092 |
Establishment of right-of-use assets and lease liabilities at | 1,232,320 | 2,968,837 | 124,741,050 |
Forward Looking Statements
Forward-looking statements in this press release, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1955. These statements include statements regarding our future results of operations and financial position, planned products and services, business strategy and plans, objectives of management for future operations of VinFast, market size and growth opportunities, competitive position and technological and market trends and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "may," "will," "shall," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," "goal," "objective," "seeks," or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans, or intentions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: (i) the effect of the consummation of the business combination and the public listing of the Company's securities on its business relationships, performance, financial condition and business generally, (ii) the risk that the Company's securities may experience a material price decline and volatility in the price of such securities due to a variety of factors, (iii) the adverse impact of any legal proceedings and regulatory inquiries and investigations on the Company's business, (iv) the Company's potential inability to maintain the listing of its securities on Nasdaq, (v) the risk associated with the Company's limited operating history, (vi) the ability of the Company to achieve profitability, positive cash flows from operating activities and a net working capital surplus, (vii) the ability of the Company to fund its capital requirements through additional debt and equity financing under commercially reasonable terms and the risk of shareholding dilution as a result of additional capital raising, if applicable, (viii) risks associated with being a new entrant in the EV industry, (ix) the risks of the Company's brand, reputation, public credibility and consumer confidence in its business being harmed by negative publicity, (x) the Company's ability to successfully introduce and market new products and services, (xi) competition in the automotive industry, (xii) the Company's ability to adequately control the costs associated with its operations, (xiii) the ability of the Company to obtain components and raw materials according to schedule at acceptable prices, quality and volumes acceptable from its suppliers, (xiv) the Company's ability to maintain relationships with existing suppliers who are critical and necessary to the output and production of its vehicles and to create relationships with new suppliers, (xv) the Company's ability to establish manufacturing facilities outside of
All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above. You are cautioned not to place undue reliance on any forward-looking statements, which are made only as of the date of this press release. VinFast does not undertake or assume any obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable law. If VinFast updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those or other forward-looking statements. The inclusion of any statement in this press release does not constitute an admission by VinFast or any other person that the events or circumstances described in such statement are material. Undue reliance should not be placed upon the forward-looking statements.
Exchange Rates
This announcement contains translations of certain Vietnam Dong amounts into
About VinFast Auto Ltd.
VinFast – a subsidiary of Vingroup JSC – is
View original content to download multimedia:https://www.prnewswire.com/news-releases/vinfast-reports-unaudited-second-quarter-2023-financial-results-301935465.html
SOURCE VinFast