Both revenue and pre-tax profit of GELEX recorded double-digit growth, with pre-tax profit soaring by 67.8% compared to the same period last year, continuing the Group’s decade-long compound growth trajectory. 

GELEX Group Joint Stock Company (stock code GEX) has just released its Q1/2025 financial report, showing many impressive financial indicators. Accordingly, GELEX’s consolidated net revenue reached VND 7,916 billion, an 18.9% increase year-on-year. Specifically, the electrical equipment sector achieved revenue of VND 5,108 billion, growing by 41.7%, while the construction materials sector recorded VND 1,425 billion in revenue, a 0.6% increase compared to the same period. The industrial park (IP) and real estate segment, the utility infrastructure segment reached VND 1,164 billion and VND 184 billion respectively, showing a decline compared to the same period.

The growth driver for GELEX came from the strong performance of the electrical equipment sector, which contributed 64.5% to the Group’s net revenue.

Notably, GELEX’s gross profit surged by 33.2% to VND 1,598 billion, lifting the gross margin to 20.2% compared to 18% in the same period last year.

GELEX also control over financial, administrative, and selling expenses during the quarter, contributing to increased operational efficiency.

By the end of Q1/2025, GELEX’s consolidated pre-tax profit reached VND 646 billion, up 67.8% year-on-year.

With these positive results, GELEX has completed 21.1% of its 2025 revenue plan and 21.2% of its profit target. Previously, the Annual General Meeting of Shareholders approved the 2025 business plan, targeting consolidated net revenue of VND 37,600 billion, up 11.4% and pre-tax profit of VND 3,041 billion.

As of March 31, 2025, GELEX’s total assets reached VND 56,518 billion, up 5.1% from the beginning of the year, mainly due to an increase in current assets, including a 4.4% rise in cash and cash equivalents, an 18.8% rise in short-term receivables, and a 9.3% rise in inventories.

Debt increased by 17.8% compared to the beginning of the year, stemming from loans from HSBC and other joint-stock commercial banks. The Group continuously supplements its capital to support business activities and deepen investments across business sectors. GELEX’s debt and liquidity ratios remain at safe levels.

During the quarter, the electrical equipment sector continued its strong performance, with GELEX Electric – a member company of GELEX – achieving revenue of VND 5,281 billion and pre-tax profit of VND 608 billion, four times higher than the same period last year. This is the highest profit from core business activities in the same quarter of GELEX Electric.

Member companies in the electrical equipment sector, such as CADIVI, EMIC, THIBIDI, and CFT, etc have actively developed high-tech products catering to the premium segment of the market. Among them, CADIVI launched a new product line of fire-retardant, lead-free cables, meeting international standards for safety, energy efficiency, and environmental protection.

In the IP and real estate segment, GELEX’s member company Viglacera commenced several key projects, including: The CT3 social housing project 3.7 hectares, comprising 4 buildings with 1,100 apartments in the Kim Chung Urban Area (Dong Anh – Hanoi), Song Cong IP Phase II (296 hectares), Doc Da Trang IP (288 hectares), etc In the water supply sector, Hanoi’s People’s Committee approved the price increase of wholesale clean water from VND 5,069/m³ to VND 7,767/m³ for Song Da Water Investment JSC (Viwasupco) after 11 years of price stability.

GELEX’s flexible, proactive business strategy and purposeful investments have been reflected in its strong financial performance in Q1 this year. The strong growth in gross profit and gross margin demonstrates the effectiveness of its management model, enhancing GELEX’s resilience against market fluctuations.

Amid ongoing uncertainty regarding U.S. reciprocal tariff policies, Mr. Le Tuan Anh – Deputy CEO of GELEX stated that GELEX and its member units closely monitor market developments and proactively build timely response scenarios, based on two core factors: production capacity and brand reputation. GELEX’s strength lies in its healthy balance sheet, providing opportunities to access low-cost capital, reduce expenses, and enhance investment efficiency.

Data for 2024 shows that the proportion of export revenue to foreign markets to GELEX Electric’s total net revenue is just over 1.5%. With revenue from the U.S. market making up less than 0.5%. Thus, U.S. reciprocal tariff policies have minimal direct impact on the electrical equipment manufacturing segment. However, GELEX, like many Vietnamese enterprises, is indirectly affected in terms of FDI capital flows.

Mr. Le Tuan Anh emphasized that GELEX would focus on the domestic market, increase the proportion of high-tech, high-value products to strengthen its domestic market position, enhance corporate value, and contribute to raising the local manufacturing content in line with the Government’s policies.

“For the IP and construction materials segment, GELEX will proactively adapt by restructuring, streamlining operations, focusing investments, and striving to seize breakthrough opportunities,” Deputy CEO of GELEX added, in 2025 the Group will tighten investment discipline, aiming for deeper, long-term investments.

Source: CafeF