Numerous water companies surpass earning targets

Facilities of Bình Dương Water – Environment Corporation Joint Stock Company (Biwase). Biwase estimates that its total revenue for 2023 will reach nearly VNĐ4 trillion, a 2 per cent increase compared to 2022, successfully meeting 100 per cent of the annual plan. — Photo Biwase

HÀ NỘI — Numerous companies in the water industry have reported surpassing their predetermined revenue and profit targets by the conclusion of 2023.

Two prominent players in the water industry, Thủ Dầu Một Water Joint Stock Company (TDM Water or TDM) and Bình Dương Water – Environment Corporation Joint Stock Company (Biwase or BWE), experienced varied growth in their profits by the end of 2023.

Biwase estimates that its total revenue for 2023 will reach nearly VNĐ4 trillion, a 2 per cent increase compared to 2022, successfully meeting 100 per cent of the annual plan. However, the company has not recorded VNĐ46.8 billion in revenue from the wastewater treatment sector by the end of December 2023 due to ongoing administrative procedures. Once the waste treatment revenue is accounted for, the parent company’s revenue is projected to be around VNĐ4.02 trillion, surpassing the revenue target by VNĐ23.8 billion.

Biwase foresees a post-tax profit of VNĐ601 billion for 2023, a 12 per cent decline compared to 2022, but still exceeding 83 per cent of the annual profit target of VNĐ720 billion. This decrease is attributed to increased financial costs. Biwase stated that despite challenges posed by interest rate and price fluctuations, the achieved profits align with expectations and ensure business stability and dividends.

Conversely, Thủ Dầu Một Water reported a net revenue of VNĐ532.6 billion for 2023, an 11.2-per cent increase compared to the previous year. The majority of this revenue, VNĐ466 billion, comes from clean water supply, accounting for 87.5 per cent of the total, while VNĐ6.8 billion is from raw water supply. Additional material supply revenue of VNĐ59.4 billion was recorded in 2023.

A noteworthy aspect is that despite a decrease in financial revenue during the fourth quarter, TDM Water’s financial revenue for 2023 still rose fivefold to nearly VNĐ124 billion compared to 2022. Dividends contributed significantly to this revenue, with distributed profits amounting to VNĐ118.9 billion.

Consequently, TDM Water received two significant amounts in 2023: VNĐ93.8 billion in dividends and profits distributed from the Bình Dương Water – Environment Corporation Joint Stock Company (Biwase); and VNĐ400 million from the Consulting Joint Stock Company for Water Supply and Environment. TDM Water reported a post-tax profit of VNĐ283 billion for 2023, a 28.6-per cent increase compared to 2022.

Thừa Thiên Huế Water Supply Joint Stock Company (HueWACO or HWS) concluded the fourth quarter of 2023 with a net revenue of over VNĐ150 billion, a 2 per cent decrease compared to the same period the previous year. However, cost of sales increased by 8 per cent to VNĐ107 billion, resulting in a 20 per cent decline in the company’s gross profit compared to the same period last year, amounting to VNĐ43 billion.

The company’s revenue from financial activities also experienced a decline, reaching slightly over VNĐ4 billion, more than halving compared to the same period in 2022. Huewaco faced increased costs, particularly a 65 per cent rise in business management expenses to over VNĐ16 billion.

Consequently, Huewaco reported an after-tax profit of nearly VNĐ16 billion for the fourth quarter, a 45 per cent decrease compared to the corresponding period. However, due to profitable performances in the previous three quarters, Huewwaco reported a post-tax profit of nearly VNĐ127 billion for 2023, a 7 per cent increase compared to the previous year, exceeding the annual plan by 2 per cent (VNĐ124 billion).

Lâm Đồng Water Supply and Sewerage Joint Stock Company (Lawaco or LDW) recorded a net revenue of nearly VNĐ71 billion in the fourth quarter of 2023, a 4 per cent increase compared to the same period in the preceding year. The company reported a quarterly post-tax profit of over VNĐ17 billion, a 44 per cent increase compared to the fourth quarter of 2023.

Throughout 2023, Lawaco achieved a 7 per cent increase in net revenue, surpassing VNĐ297 billion. The company’s gross profit rose from VNĐ64.8 billion in 2022 to nearly VNĐ79 billion. Lawaco successfully reduced costs during the year, with financial costs decreasing by 13 per cent to nearly VNĐ14 billion and sales costs dropping by 16.7 per cent to VNĐ4 billion. Only business management costs saw a slight increase of approximately VNĐ1 billion to VNĐ16.2 billion.

Consequently, Lawaco reported pre-tax and post-tax profits of over VNĐ100 billion and VNĐ80 billion, respectively, a 40-per cent increase compared to 2022, surpassing the annual plan of VNĐ74 billion by 35 per cent.

Nhà Bè Water Supply Joint Stock Company (NBW) recorded net revenue of VNĐ223 billion in the fourth quarter of 2023, a 1.5-per cent increase compared to the revenue of VNĐ219.7 billion in the same period of 2022. The company reported a post-tax profit of VNĐ5.5 billion in the fourth quarter of 2023, a slight 0.5 per cent increase compared to the same period last year.

Overall, in the entirety of 2023, Nhà Bè Water Supply witnessed a 22 per cent increase in post-tax profit compared to the previous year, reaching over VNĐ25 billion. The company experienced improved performance in its core business, with net revenue for the entire year of 2023 amounting to VNĐ889 billion, a 4 per cent increase compared to the previous year. Notably, the company’s financial revenue experienced growth, reaching VNĐ5 billion, nearly three times higher than the previous year.

In 2023, Nhà Bè Water Supply aimed for a total revenue of VNĐ873 billion and a pre-tax profit of VNĐ27.9 billion. Consequently, the company achieved 101 per cent of the revenue plan and 117 per cent of the profit target by the end of the year. — VNS