VietNamNet Bridge – The number of profitable businesses managed by Nguyen businessmen was five times higher than the unprofitable ones. However, not all of them felt satisfactory about the business performance in the first three months of the year.

The businessmen with “Nguyen” last name are the most successful

Mrs Nguyen Thi Nhu Loan from Quoc Cuong Gia Lai Group

With the profit of VND4,375 billion in the first quarter of 2013, Nguyen Thi Lan, President of the Vietnam Gas Corporation (GAS), has fulfilled half a yearly business plan assigned by the shareholders before she retires in mid April.

The satisfactory business result has helped maintain the upward trend of the GAS share price starting from the beginning of the year, despite the ups and downs of the stock market. GAS price has reached the highest peak since the day the shares entered the bourse, at VND60,500 per share.

REE shares of the Refrigeration Engineering Enterprise run by Nguyen Thi Mai Thanh have also seen increasing steadily. The share price has increased by 50 percent, thus making Thanh’s and her daughter’s stock assets increase by VND107 billion and VND34 billion, respectively to VND272 billion and VND87 billion.

The share prices truly reflect the enterprise’s stable business operation. By the end of the first quarter of 2013, the net turnover of the corporation from the main business field had seen a slight increase to VND513 billion. However, since REE had no more income from the financial investments (in 2012, REE earned money from selling STB shares), the profit has decreased to VND110 billion, equal to 43 percent of the same period of the last year.

The number of unprofitable businesses run by the businessmen with Nguyen family name amounted to 20 percent of the profitable enterprises in the first quarter of 2013.

However, even the businessmen of the profitable businesses also felt unsatisfactory about the sharp falls in the profits made by their enterprises.

Masan Group of President Nguyen Dang Quang made a profit of VND35 billion in the first quarter of 2013, but the figure was 90 percent lower than that of the same period of the last year. The profit decline has been attributed to the higher expenses on branding and the expenses in buying Proconco’s shares. Besides, the investments in the banking sector brought less satisfactory business results.

Nevertheless, despite the profit decreases, Masa shares remain valuable on the  market with the prices having increased by VND9,000 to VND111,000 per share. Masan’s capitalization value has increased by VND6 billion to VND76,228 billion.

Some other businesses also keep worried, though they made profit in the first quarter. Quoc Cuong Gia Lai Group of President Nguyen Thi Nhu Loan and Xuan Thanh Securities Company of Nguyen Duc Thuy President were two of them.

The former made a profit of VND1 billion in the first quarter, after it took a loss of VND4 billion in 2012. However, the profit has been attributed to the tax refund, not to the prosperity in its main business field – real estate development.

Quoc Cuong Gia Lai has recently admitted that it is seriously lacking capital, since it’s very difficult to seek capital from banks. The big group has set up modest targets for the 2013 business year with the turnover of VND1.1 trillion and the pretax profit of VND50 billion, the low levels if noting that the company’s has a huge capital of VND6.6 trillion.

VNE