Hoa Phat reports Q1 after-tax profit at VND8.2 trillion

Its steel production and related products contributed 90 percent to the group's overall results.

Hoa Phat Group has a crude steel capacity of over 8 million tons a year, equivalent to about 700,000 tons a month. In the first quarter of 2022, the COVID-19 pandemic was still complicated, making the prices of input materials for steel production such as coke coal and iron ore increased.

However, Hoa Phat Group's factories always operate at full capacity to meet market demand. Hoa Phat Group has produced 2.16 million tons of crude steel, increasing 8 percent over the same period last year.

Sales volume of finished construction steel, steel billet and hot-rolled coil (HRC) reached 2.17 million tons, representing 12 percent year-on-year increase. In which, finished construction steel was 1.34 million tons, up 57 percent over the corresponding period last year. Hoa Phat Group's hot-rolled coil in the first 3 months of the year reached 763,000 tons, up 15 percent over the same period in 2021. HRC downstream products such as steel pipes and galvanized steel were 207,000 tons and 105,000 tons, respectively, an increase of 13 percent and 43 percent over the same period in 2021.

In the agricultural sector, Hoa Phat Group maintains an appropriate output level, saving costs in order to optimize costs when input material prices was on the rise. In the field of real estate, Hoa Phat Group's industrial parks such as Pho Noi A and Yen My II continue to be expanded.

The occupancy rate reaches 100 percent of the areas which were invested in technical infrastructure. The group also actively researched and implemented a number of urban real estate projects with high liquidity in a number of provinces and cities.

In the field of household electrical appliances, in addition to refrigerators, freezers and air conditioners, Hoa Phat Group started supplying air coolers from the first quarter of 2022. The group is investing in building two more new production plants in Hanoi and Ba Ria - Vung Tau Province.

The main products of these factories are water purifiers, air purifiers, refrigerators, etc. It is expected that in the third quarter of the year, the first electrical household products will be introduced to the market.

In 2022, Hoa Phat Group will celebrate its 30 years of development, creating jobs and stable income for nearly 28,000 employees. In which, the labor force in the field of iron and steel and related steel products accounts for 88 percent, mainly local people.

Hoa Phat Group is implementing many projects such as Hoa Phat Dung Quat 2 Steel Integrated Production Complex (Quang Ngai Province), Container Factory (Ba Ria - Vung Tau Province) etc. They are expected to recruit thousands of additional workers, making an important contribution to economic development and social security in localities across the country.