Ho Chi Minh City, on April 20, 2018, Digiworld Corporation (“DGW”) held Annual General Meeting of Shareholders 2018 and announced the 1st Quarter business result report.
Digiworld achieved excellent results in the first quarter of 2018 with impressive figures:
- Net revenue: reached VND1,264 billion; up 66% year on year. This is considered the highest quarter revenue since listed in 2015.
- Profit after tax: reached VND 19.5 billion; up 127% year on year
Detailed year on year data comparison table:
|Laptops and tablets||463||499||(7%)|
|Profit after tax||19.5||8.6||127%|
Note: Component revenue and total amount may be different due to rounding to VND billion unit.
The 1st Quarter earning achieved impressive growth in most of the product lines, in which:
- Mobile phones: increased as added more revenue from Xiaomi brand and Sharp brand.
- Office equipment: growing well quarterly, thanks to emerging new brands and emergin product portfolio in each current brand.
- Consumer goods: increased as the contribution of the fast-moving consumer goods revenue (acquisition of Cam Ly Co., Ltd.-CL) and Healthcare products revenue (Kingsmen) were recorded from the 3rd Quarter of 2017.
- Laptops and tablets: decreased slightly, mainly due to lower sales of tablets. This is also the general downward trend of the global market.
In line with strong revenue growth, short term receivables also increased 31% against the beginning of 2018, but still lower than the 66% increase in revenue. This shows that Digiworld still manages debt and cash flow.
Besides, the profit in the first quarter of 2018 increased sharply over the same period last year because:
- Optimizing General & Administrative and Sales expenses.
- Revenue contribution from Xiaomi, Sharp and the new product lines “Consumer goods” including FMCG and Healthcare.
The year 2017 witnessed an over-performed Digiworld’s profit by 42%, alongside with VND 3,820 billion of revenue and VND 78.34 billion of earnings after taxes. Before that, since the 3rd Quarter of 2017 Digiworld had achieved its expected annual revenue of VND 55 billion.
For 2018, Digiworld expected turnover of VND 4,700 billion, up 23% year on year, and earnings after taxes of VND 101 billion, up 29% year on year.
|Turnover (Unit: VND bn.)||2017||2018 (exp.)||YoY|
|Laptops and tablets||2,266||2,300||1.5%|
The significant growth of the 1st Quarter of 2018 is an advantageous incentive and encouragement for Digiworld to overtake the targeted 2018 financial performance.