In the first quarter of the year, Novaland experienced a 15% increase in revenue, largely due to the successful completion of key projects in Ho Chi Minh City and suburban areas. However, the company reported negative profits due to unfavorable exchange rate developments. The consolidated financial statements of No Va Real Estate Investment Group Joint Stock Company (Novaland – NVL) revealed that net revenue from sales and service provision exceeded 697 billion VND, marking a more than 15% increase compared to the same period last year.
The increase in revenue was primarily driven by the successful completion of projects such as NovaWorld Phan Thiet, NovaWorld Ho Tram, Aqua City, Palm City, and Lakeview City. Novaland achieved a gross profit of nearly 190 billion VND, equivalent to a gross profit margin of over 27%. However, financial revenue decreased by more than 30% to about 640 billion VND, with the biggest deficit coming from profit decrease in investment cooperation contracts by 29%.
Despite the revenue increase, Novaland reported an after-tax loss of nearly 601 billion VND, representing a 46.5% increase from the same period in 2023. Exchange rate differences accounted for more than 452 billion VND of the loss, mainly due to unfavorable exchange rate developments in the first three months of the year compared to the previous year-end.
As of the end of March, Novaland’s total assets exceeded 236,480 billion VND, with inventories totaling nearly 140,900 billion VND. The company has been actively engaging in financial restructuring activities, such as securing an international convertible bond package worth 300 million USD.
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