DIGIWORLD REVENUE IN 2022 REACHED VND 22,059 BILLION, UP 5% OVER THE SAME PERIOD OF LAST YEAR
Ho Chi Minh City, February 3, 2023, Digiworld Coporation (DGW) announced its income for the fourth quarter of 2022 with net revenue and profit after tax reaching VND 4,075 and 156 billion, respectively.
Thus, for the whole year of 2022, Digiworld’s revenue reached VND 22,059 billion and profit reached 684 billion dong, a growth of 5.2% and 4.1% respectively over the same period in last year. The company has completed 84% of its revenue plan and 85% of its profit plan – 26.3 trillion in revenue and 800 billion in profit. Specifically, the income of the fourth quarter of 2022 of the various segments can be broken down as follows:
Laptop & tablet segment: In the fourth quarter of 2022, this segment recorded a revenue of VND 1,188 billion – a decrease of 64% compared to the same period of 2021. This decrease is due to the fact that fourth quarter of 2021 saw a high revenue that benefited from the impact of the Covid-19 pandemic. The peak in revenue in the fourth quarter of 2021 also mark the saturation of this segment from 2022. Furthermore, bad changes in the macro economy make more consumers tighten their spending. This is the second reason for the decrease in revenue of this segment. At the end of 2022, the laptop and tablet segment recorded a total revenue of VND 7,027 billion, equivalent to 72% of the year plan.
Mobile phone segment: This is the segment that always contributes the largest revenue to Digiworld in the previous quarters and also the fourth quarter of 2022, specifically, VND 1,777 billion. This is due to, besides the context of 2021, China's Zero Covid policy leads to supply chain bottlenecks from Apple factories to other countries, which reduced iPhone sales. However, from the first quarter of 2023, China has loosened its epidemic prevention measures, Apple factories have returned to operation, new shipments have arrived many countries including Vietnam. So Apple sales in the first quarter will be improved. By the end of 2022, this segment has a revenue of VND 10,759 billion, up 9% compared to 2021 and equivalent to 87% of the 2022 plan.
Office equipment and home appliance segment: Revenue in the fourth quarter of this segment reached VND 973 billion, down 2% over the same period. Specifically, office equipment reached VND 794 billion, home appliances brought in VND 179 billion. In Q4 in general, PC & TV saw impressive sales thanks to the driving force from the 2022 World Cup season. Regarding Home Appliance segment (Joyoung and Whirlpool), Digiworld is still continuing to build and improve its warehouse and distribution system, research and market process to prepare for business development in the future. For the whole year of 2022, the office equipment and home appliance segment earned VND 3,876 billion, up 36% compared to 2021 and equivalent to 103% of the year plan.
Consumer goods segment: This segment achieved VND 137 billion in revenue - 47% up as pharmaceutical products such as Genacol, Regenflex, Stent saw good growth from last year's low base in ETC, hospital, clinic as it is completely blocked by the pandemic. By the end of the fourth quarter of 2022, Digiworld has completed the project with the necessary conditions (licenses and warehouse system) to serve the goal of becoming the Top pharmaceutical distributor in Vietnam. By the end of 2022, this segment reached VND 397 billion in revenue, up 5.6% compared to 2021 and equivalent 85% of the 2022 plan.
Unit: VND billion
Laptops and tablets
Profit after tax
The whole year 2022
Unit: VND billion
Máy tính xách tay và máy tính bảng
Điện thoại di dộng
Thiết bị văn phòng và gia dụng
Hàng tiêu dùng
Doanh thu thuần
Lợi nhuận sau thuế
In general, for the whole year of 2022, Digiworld still recorded growth compared to 2021 in terms of both revenue and profit. However, the fourth quarter of 2022 saw many fluctuations from the macro economy, the saturation of the segments and due to the peak in the same period of 2021, leading to a decrease in revenue and profit. The market is expected to see difficulties until at least mid-2023, consumers will still tend to tighten their spending, the demand for non-essential items may decrease significantly. Given this situation, Digiworld in 2023 will be cautious in its business planning.
The year of 2023 is predicted to bring many difficulties with Digiworld's core products when the peak of ICT consumption like the Covid season has passed. However, Digiworld firmly believes that although ICT products are no longer that essential, in the era of digital transformation and 5G networks, they are still trending and will continue to have good growth potential. In addition, Digiworld with its horizontal and vertical development orientation will bring more new brands, new categories, products in new segments from ICT to Home Appliance and FMCGs to achieve the growth as well as completing the set plans and targets in the new business year.