Steelmaker Hoa Phat Group targets 2.42 billion USD in revenue hinh anh 1Illustrative image (Source: VNA)

Hanoi (VNA) - Steelmaker Hoa Phat Group targets revenue of 55 trillion VND (around 2.42 billion USD) and after-tax profit of 8.05 trillion VND (354.6 million USD) in 2018.

The information was released at the group’s annual shareholder meeting held recently in Hanoi with the participation of 368 shareholders, who together hold 77 percent of ordinary shares.

Hoa Phat’s management board chairman Tran Dinh Long said the group sees 2018 as a crucial year. The firm would take drastic measures to ensure the progress of the Hoa Phat Dung Quat steel and iron production complex and make it the priority target for this year, Long said.

He added that the management board had carefully considered the targets before submitting them to the meeting.

The group would implement many big projects this year in their main steel business. In addition, it would be alert for changes in the material market. In other sectors such as agriculture, construction equipment and interiors, Hoa Phat would continue to maintain its market share.

Tran Tuan Duong, Hoa Phat’s general director, said there was no steel firm in Vietnam as competitive as Hoa Phat. With a low rate of investment and a competitive price, Hoa Phat can directly compete with big firms around the world, he said.

Speaking on the progress of the Hoa Phat Dung Quat steel and iron production complex, Duong said the group had begun installing the first long steel rolling equipment, building a deep water port and undertaking other constructions. Hoa Phat employed around 3,000 workers for the project, providing training at its complex in the northern province of Hai Duong.

Last year, Hoa Phat notched a record high business result in its 25 years of operation despite instability in the global and national economies.

Its accumulated revenue in 2017 reached 46.8 trillion VND (some 2 billion USD), posting an increase of 38 percent year-on-year. After-tax profit also hit a record high to reach 8 trillion VND (352.4 million USD), surpassing the set target by 33 percent and increasing 21 percent over the previous year.

The group’s steel business played the key role, contributing some 90 percent of its total revenue and after-tax profit.

Hoa Phat last year exported some 200,000 tonnes of steel products. They included 161,000 tonnes of steel bars and rolled steel to the US, Canada, Australia, Malaysia and Cambodia.

With its positive business results, the group contributed 5 trillion VND (220 million USD) to the State budget in 2017, an increase of 40 percent from 2016.-VNA