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FECON : FCN - Explanation for Variances in Profit After Tax Q1.2025
FECON : FCN - Explanation for Variances in Profit After Tax
About this update from Fecon Corporation
[{"type":"text","content":"\n FECON CORPORATION\n \n \n \n -----o0o-----\n \n \n No: 224/2025/CV-TCKT.FECON\n \n \n V/v: Explanation for Variances in Profit After Tax of the Consolidated and Parent Company Financial Statements for Q1/2025\n \n \n SOCIALIST REPUBLIC OF VIETNAM INDEPENDENCE - FREEDOM - HAPPINESS\n \n \n -----o0o-----\n \n \n Ha Noi, April 29, 2025\n To: - STATE SECURITIES COMMISSION OF VIETNAM\n \n \n HOCHIMINH STOCK EXCHANGE\n \n \n SHAREHOLDERS AND INVESTORS\n \n \n \n Company Name : FECON CORPORATION\n \n \n Head Office : 15th Floor, CEO Tower, Lot HH2-1, Me Tri Ha Urban Area, Pham Hung Street, Me Tri Ward, Nam Tu Liem District, Hanoi, Vietnam.\n \n \n Stock Code : FCN\n \n \n FECON CORPORATION (\"FECON\") hereby provides an official explanation regarding the discrepancy in the post-corporate income tax profit figures in the Consolidated and Parent company income statements between Q1/2025 and Q1/2024 as follows:\n \n Indicator\n \n \n \n Q1/2025\n \n \n \n Q1/2024\n \n \n Change (Q1/2025 vs. Q1/2024)\n \n \n Variance (VND)\n \n \n Percentage Change (%)\n \n \n Profit After Tax (Parent Company)\n \n \n \n (13.450.500.789)\n \n \n \n 441.487.228\n \n \n \n (13.891.988.017)\n \n \n \n (3.146,63)\n \n \n Profit After Tax (Consolidated)\n \n \n 1.048.589.896\n \n \n 635.441.931\n \n \n 413.147.966\n \n \n 65,02\n \n The Parent Company's Profit After Corporate Income Tax decreased by VND 13,89 billion.\n \n \n Although the Parent Company's gross profit increased by VND 6,54 billion, the profit after tax still declined by VND 13,45 billion, primarily due to the following reasons:\n \n \n Financial expenses during the period rose by VND 14,77 billion, equivalent to an increase of 70,39%, in which interest expenses increased by VND 11,09 billion (up 54,07%). The main reason is that in Q1/2024, the Company received large amounts of construction advance payments, which significantly reduced\n bank borrowings. The average loan balance at the beginning and end of Q1/2024 was VND 1.062,86 billion, while in Q1/2025, it increased to VND 1.476,53 billion.\n \n \n Additionally, selling expenses and general & administrative expenses recorded slight increases of VND 237 million and VND 2,24 billion, respectively, due to increased personnel costs to support the Company's revenue growth objectives.\n The Consolidated Profit After Corporate Income Tax inc...