Fecon CorporationHOSE: FCN

Financial Statements (Separate) Q2.2025

Jul 30, 2025 at 3:56 PM UTC · Issued by Fecon Corporation

FECON CORPORATION

15"' Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liem Commune, I-Ianoi City, Viet Nain

FINANCIAL STATEMENTS

For the accounting period from 1" January 2025 to 30'h June 2025

GÖN( G0 P

FE(

Security symbol: FCN

This report includes: Balance Sheet Income Statement Cash Flow Statement

Notes to Financial Statements

Hanoi, July 2025

FECON CORPORATION

15"' Floor CEO Tower, Plot HH2-1, Me Tri Ha					Form B 01 - DN
Urban Area, Pham Hung Road, Tu Liem Commune, Hanoi City, Viet Nam			Issued under Circular No. 200/2014/TT-BTC December 22"d, 2014 of the Ministry of Finance
	BALANCE SHEET As at 30"' June 2025
ASSETS		Code	Note	30/06/2025 VND	01/01/2025 VND
A - CURRENT ASSETS		100			4.605.302.061.720	4.216.414.231.306
	(100 = 110+120+130*140+150)
I-	Cash ana cash equivalents	110	5.1	157.414.077.737	173.235.794.964
1	Cash	111		117.165.6 16.302	158.404.023.931
2	Cash equivalents	11.2		40.248.461.435	14.831.771.033
II-	Short-term financial investments	120		15.219.898.975	19.579.802.760
3	Held-to-maturity investments	123		15.219.898.975	19.579.802.760
III- Short-term receivables		130		2.976.218.942.198	2.697.922.401.859
I	Slion-term receivables from customers	131		1.735.778.498.940	1.509.186.468.409
2	Short-tern advances to suppliers	132		711.895.401.256	746.264.471.263
5	Short-tenn loan receivables	135		63.050.000.000	28.050.000.000
6	Other short-term receivables	136	5.2	468.855.431.749	4.17.781.851.934
7	Short-term allowances for doubtful debts	137		(3.360.389.747)	(3.360.389.747)
lV- Inventories		140		1.416.590.913.093	1.299.879.812.978
l	Inventories	141	5.3	1.416.590.913.093	1.299.879.812.978
V-	other current assets	150		39.858.229.717	25.796.418.745
l	Short-term prepaid expenses	151		19.584.440.709	14.133.258.990
2	Deductible value added tax	152	5.4	3.705.916.473
3	Tax and other receivables from government budget	153	5.4	16.567.872.535	11.663.159.755
B -	LON G-TERM ASSETS	200		1.603.372.785.304	1.625.905.428.186
	(200 = 210+220+230+240+250+260)
I	Long-term receivables	210		15.678.754.335	16.127.276.531
6	Other long-term receivables	216	5.5	15.678.754.335	16.127,276.531
II	Fixed assets	220		228.734.805.918	251.142.575.J06
I	Tangible fixed assets	221	5.6	93.880.302.026	104.174.867.199
	Hisiort'cals costs	222		228.960.609.837	241.830.218.861
-	Accumulated depreciai ion	223		(135.080.307,811)	(137.655.351.662)
2	Finance lease fixed assets	224	5.7	130.244.649.921	140.515.548.321
-	Histoi-icals costs	225		161.764.213.300	167.623.868.167
	Acc'iiniiilatecl depreciation	226		(31.519.5 63.379)	(27.108.319.846)
3	Intangible fixed assets	227	5.8	4.609.853.971	6.452.159.586
-	Hisioi-i'cals costs	228		30.858.535.939	30.858.535.939
-	Accumiilulc•J amortization	229		(26.248.681.968)	(24.406.376.353)
IV	Long-term assets in progress	240		1.043.428.000	1.043.428.000
2	Construction in progress	242	5.9	1.043.428.000	1.043.428.000
V.	Long-term financial investments	250		1.287.398.904.722	1.287.355.874.722
1.	Investments in subsidiaries	251		1.223.094.909.275	1.223.094.909.275
3.	Other 1 s-term investments	253		60.810.027.447	60.810.027.447
5.	Held to maturity investments	255		3.493.968.000	3.450.938.000
VI. O ther long-term assets		260		70.516.892.329	70.236.273.827
1. Long-term prepaid expenses		26.1		70.516.8 92.329	70.236 273.827
TOTAL ASSESTS (270 = I 00+200)		270		6.208.674.847.024	5.842.319.659.492

FECON CORPORATION

15* Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liein

Comm une, Hanoi City, Viet Nam

Form B 01 - DN Issued under Circular No. 200/20l4/TT-BTC December 22"', 2014 of the Ministry of Finance

RESOURCES

BALANCE SHEET (Continued) As at 30* June 2025

Code Note

30/06/2025

VND

01/01/2025 VND

A-

LIABILITIES

300

3.764.407.377.213

3.399.596.965.049

(300 - 310+330)

Short-term liabilities

310

3.617.578.944.552

3.259.229.192.075

Short-term trade payables

311

989.278.359.385

834.947.102.207

Short-term advances from customers

312

591.509.486.895

617.827.651.122

Taxes and other payables to government budget

313

5.11

5.327.299.646

9.917.501.040

Payables to employees

314

1.975.378

10.333.921.002

Sliort-term accrued expenses

315

5.12

178.394.295.039

213.658.096. 181

Other short-term payments

319

5.13

229.125.645.786

227.747.013.509

10.

Sliort-term borrowings and finance lease liab ilities

320

5.10

1.623.94 1.882.423

1.344.797.907.014

11-

Long-ter ni liabilities

330

146.828.432.661

140.367.772.974

Long-term unearned revenue

336

1.910.383.6 53

2.607.506.089

Long-term borrowings and finance lease

liabilities

338

5.14

144.918.049.008

137.760.266.885

B-

OWNERS' EQUITY

400

2.444.267.469.811

2.442.722.694.d43

(400=J*0+430)

I-

Owners' equity

410

5.15

2.444.267.469.811

2.442.722.694.443

Contributed capital

411

1.574.390.050.000

Orr/iiiny shares with voting rigliis

411a

1.574.390.050.000

Share premium

4]2

517.556.564.217

Development and investment funds

418

297.446.985.202

)1.

Undistributed profit after tax

421

54.873.870.392

53.329.095.024

Vii‹lisa il›irre‹f pro{tt after- i‹ix biro ug/itforivut-if

421a

52.665.224.959

46.690.394.377

TOTAL RESOURCES

(440 = 300+400)

Preparer

Trn n Thu Trang

after tax for the current 421h 2.208.645.433

440 6.208.674.847.024

0*502¿

CONG TY

C0 PHAN

FEC0

Chief Accountant

Pham Van Tung

6.638.700.647

5.842.319.659.492

Hanoi, 3d" July 2025

Chxrmau

Pham Viet Khoa

FEC€IN CORPORATION

15* Floor Ct-O Power, Plot HI42-1, Me Tri I4a Urban Area, J°hain hung Road, Tu Liein Commune, Hanoi City, Viet Nam

INCOME STATEMENT

For the period ended 30"' June 2025

Form B 02 - DN Issued under Circular No. 200/2014/TT-BTC Deceiiiber 22"d, 2014 of the Ministry of Finance

ITEMS

Code

Note

2"' Quarter

Accumulated from the beginning of

vear to the end of this quarter

2025

2024

2025

2024

1.Revenues from sales and provision of services

5.16

983.578.392.652

496.291.915.485

1.617.455.037.717

836.923.439.718

2. Revenue deductions

3.Net sales of goods and services (10 - 01 - 02)

953.578.392.652

496.291.915.485

1.617.455.037.717

836.923.439.718

4. Cost of goods sold

1 I

5.17

908.633.201.297

459.219.429.402

I.504.448.679.348

768.333.314.699

5. Gross profit from sales of goods and services (20 = 10 - 11)

74.945.191.355

37.072.486.083

113.006.358.369

68.590.125.019

6.Financial income

5.18

11 .328.034.204

14.497.582.294

21.550.987.155

26.527.415.699

7. Financial expenses

5.19

43.514.879.448

24.488.534.185

79.281.235.304

45.479.904.200

In which. Interest expenses

35.438.887.318

23.630.298.265

67.050.406.633

44.148.324.232

8. Selling expenses

5.20

2.380.138.974

1.777.111.657

4.462.566.424

3.622.537.535

General and administrative expenses
Net profits from operating activities{30 = 20 -t (21 - 22) - (24 +

25)}

5.20

24.766.457.075

15.611.750.062

23.029.204.694

2.275.217.841

47.771.195.404

43.795.493.113

3.042.348.392

2.219.605.870

11. Other income

5.21

295.457.249

2.098.676.069

362.339.910

2.634.148.685

12.Other expenses

5.21

248.091 .089

83.521.156

1.196.042.869

121.894.573

13. Other profit/loss (40 = 31 - 32)

47.396.160

2.015.154.913

(833.702.959)

2.512.254.112

14. Profit from other activities (5fi = 30 40)

15.659.146.222

4.290.372.754

2.208.645.433

4.731.859.982

15. Current corporate income tax

5.22

356.370.999

16. Deferred corporate income tax

17. Profit after tax (60 = 5fi - 51 - 52)

15.659. 146.222

3.934.00,

45.433

4.375.488.983

Preparer

CONGTY

COPHAq C an

FECOff

Hanoi, 3d" July 025

Tran Thu Trang

in Viet Khoa

Chief

ountant

am Van Tung

rEcON CORPORATION

15* Floor CEO Tower, Plot HH2-1, Me Tri Ha Form B 03 - DN Urban Area, Pham Hung Road, Tu Liein Issued under Circular No. 200/2014/TT-BTC Commune, Hanoi City, Viet Nam December 22"', 2014 of the Ministry of Finance

SEPARATE CASH FLOW STATEMENT

(Indirect method)

Fot the period ended 30"' June 2025

ITEMS

Code Note

l'or the period l'rom 01/01/2025

to 30/06/2025

I or the period lrom

01/01/2024

to 30/06/2024

VND VND

Cash flows from operating activities

Profit before tax

2.208.645.433

4.731.859.982

Alljiistmnuts for

- Depreciation and amortization

18.357.151.945

18.382.691. 183

- Ga in, loss from investment activities

(16.481.353.206)

(26.153.635.407)

- Interest expenses

67.050.406.633

44.148.324.232

Operating pre be

ore cltanges in w'orking cuj›ital

71.134.850.805

41.109.239.990

- (Increase) decrease receivables

(234.977.026.996)

(300.270. 7.1.6.744)

- (Increase) decrease inventories

(116.711.100.115)

(43.494.291.662)

- (Increase) decrease accounts payable

78.805.022.464

28.418.095.214

- (Increase) decrease prepaid expenses

(5.731.800.221)

(7.322.936.450)

- Interest paid

(64.256.773.993)

(55.764.966.515)

- Corporate income tax paid

(6.503.280.914)

(5.331.835.919)

- O ther payments fo r operating activities

(183.900.000)

(165.114.000)

be/ cash from opc•rating ‹remarries

(278.424.0 08.970)

(342.822.526.086)

II. Cash flows from investing activities

2	(1.633.735.000)	(1.399.935. 165)
	10.282.83 1.967	79.939.498.486
23	(90.140.096.215)	(3.000.000.000)

1 Payments for acquisition, construction of fixed assets and other long- term assets

2 Receipts from disposal or sale of assets and other long-tenn assets

Recovery of loans, reselling debt instruments of other entities	4	59.500.000.000	5.184.344. 902
Interest income, dividends received	27	7.506.349.465	3.214.510.407
Net cash flow frottt in yc•sting yctivitirs	30	(14.484.649.783)	83.938.418.630
Cash flows from financing activities
Proceeds from borrowings	33	l.395.231.618.1.68	641.709.611.387
Repayment of loan principal	S4	(1.097.565.317.437)	(675.517.449.557)
Payment for finance leasing debts	35	(20.579.359.205)	(31.471.030.371)
Dividends and profits paid to the owner	36		(15.739.345.400)
Ner cu,sli flows front financial activities	40	277.086.941.526	(81.018.213.941)

111.

Payment for lending, purchasing debt insti uinents of other entities

FECON CORPORATION

15"' Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area, Pliam Hung Road, Tu Liens CoiiHnune, Hanoi City, Viet Nano

Form B 03 - DN Issued under Circular No. 200/2014/TT-BTC December 22'd. 2014 of the Ministry of Finance

SEPARATE CASH FLOW STATEMENT (Continued)

(Indirect metlio 1)

For the period ended 30"' June 2025

ITEMS

Net cnsh flows during

20-F30+40)

the period (50 =

Code Note

I or the period Horn f'or the period from

01/01/2025 01/01/2024

		VND	VND
		(15.82J.717.227)	(339.902.321.397)
6		173.235.794.964	446.521.979.042
61
70	5.	157.414.077.737	106.619.657.645

to 30/06/2025 to 30/06/2024

Cash and cash equivalents at beginning of the period

the

Effects of changes in foreign exchange rates

Cush and cash equivalents at the end of the period (70 = 50+60+61)

Preparer

"fran Thu Trang

Chief Accountant

Phnm Van Tung

Hanoi, 3d" July 2025

ONG W

C0PH/

FECON"

Pham Viet Khoa

FECON CORPORATION

15' Floor CEO Tower, Plot HH2-1, Me Tri Ha OfimB 09 - DN

Urban Area, Pham Hung Road, Tu Liem Commune, Issued under Circular No. 200/2014/TT-BTC Hanoi City, Viet Nam December 22*", 2014 of the Ministry of Finance NOTE TO THE SEPARATE FINANCIAL STATEMENT

For the year ended 30"' June 2025

COMPANY INFORMATION
1. Structure of ownership
  FECON CORPORATION was established and operated under Business Registration Certificate No. 0103004661 firstly issued by Hanoi Department of Planning and Investment dated 18" June 2004, registered to change many times, the eighth change dated 17" November 2010 was about the change of company code into 0101502599 and the 20"' change dated 6" May 2016 for change the name from FECON Foundation Engineering and Underground Construction Jolt Stock Company" to "FECON CORPORATION" and the 32"' change dated 14" January 2022 on increasing charter capital.
  Charter capital of the Company according to the 32"dBusiness Registration Certificate dated 14t" January 2022 is VND 1,574,390,050,000 (hi words. One lhousnnd five htinilred anJ seventy four l›illion, three hnndred and ninety million, anal fifty thotisand Vietnnm dongi.
  Foreign Name: FECON CORPORATION; Abbreviations: FECON CORP.
  The Company's stock is currently listed on Ho Chi Minh Stock Exchange with stock code: FCN.
  Registered Address: 15"' Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liem Commune, Hanoi City, Viet Nam.
  L2. Operating industries and principal activities
  - Construction of foundation and underground structure for high building, industrial, transportation, irrigation structures;
  - Construction of engineering infrastructure of Industrial and urban zones;
  - Testing foundation bearing capacity by static load & Pile Dynamic analysis (PDA) method;
  - Testing for integrity and homogeneity of pile, foundation and reinforcement concrete structures by ultra-sonic test (SONIC) and pile integrity test (PIT);
  - Construction geological survey, topographic survey, construction hydrogeological survey;
  - Perfonnance of geotechnical experiments for survey and design service, quality management and monitoring of the foundation construction and underground works (not including construction design services;
  - Business in car renting services;
  - Testing and analysing technique.
  The Company's main activities during the period: Construction of foundation and underground structure for high building, industrial, transportation, irrigation structures.
  1.3. Normal operating cycle
  The Company's normal operating cycle is 12 months.
  1.4 Statement of information comparability on the separate financial statements
  
  The Board of Directors ensures to follow all the requirements of the Vietnamese Accounting Standards and System, which were issued together with the Circular No. 200/2014/TT-BTC dated 22"dDecember 2014 and Circular No. 53/2016/TT-BTC on amending and supplementing a number of articles of Circular No. 200/20 14/TT-BTC dated December 22"', 2014 issued by the Ministry of Finance. Therefore, the information and figures presented in the separate financial statements are comparable.
  FEC ON CORPORATION
  15"' Floor CEO Tower, Plot HH2-1, Me 1"ri Ha Form B 09 - DN Urban Area, Pham Hung Road, Tu Liem Commune, Issued under Circular No. 200/2014/TT-BTC anoi Ci Vie Na D e er 22 2 4 o h M st o F nance
FISCAL YEAR AND ACCOUNTING CURRENCY
Fiscal year
The Company's fiscal year applicable for the preparation of its financial statements starts on 1" January and ends on 31" December of solar year.
Accounting currency
The accompanying separate financial statements are expressed in Vietnam Dong (VND).
ACCOUNTING STANDARDS AND SYSTEM
Accounting System
he Company applied to Vietnamese Accounting System promulgated under Circular No. 200/20 14/TT-BTC dated 22"' December 2014 issued by the Ministry of Finance and Circular No. 53/2016/TT- BTC dated March 21", 2016 amending and supplementing a number of articles of Circular 200/2014/TT- BTC dated December 22'd, 2014.
Statements for the compliance with Accounting Standards and System
The Board of General Directors ensures to follow all the requirements of the Vietnamese Accounting Standards and System, which were issued to guide the preparation and presentation of the Separate Financial Statements.
Accounting form applied
The company uses general journal accounting using ERP SAP FPT Accounting System software.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of preparation of the separate financial statements

The attached separate financial statements are expressed in Vietnam Dong (VND), under the historical cost convention and in accordance with Vietnamese Accounting Standards, Vietnamese Accounting System and legal regulations relevant to the preparation and presentation of separate tincial statements.
4 lie accompanying separate financial statements are the Company's ones, therefore, they do not include the financial statements of subsidiaries. Users of the separate financial statements should read them together with the Company's consolidated financial statements for the year ended 30"' June 2025 to obtain fiull information of the Company's financial position as well as the results of operations and cash flows during the year.
The accompanying separate financial statements are not intended to present the financial position, results ot operations and cash flows in accordance with accounting principles and practices generally accepted in countries and jurisdiction other than Vietnam.
roreign exchange rates applied in accounting Transactions in foreign currencies
Transactions in foreign currencies are translated at the rates ruling at the transaction date, foreign exchange differences arising from these transactions are recognized as income and expenses in the Sepai'ate Income Statement.
Revaluation of monetary items denominated in foreiy currencies at the date of the
1. The items denominated in foreign currencies are classified as assets (cash, receivables, ...): Revaluation under the buying rate of the bank, which the Company opens, its account as at 30"' June 2025.
2. The items denominated in foreign currencies are classified as liabilities (payable, debts, ..): devaluation under the selling rate ot the bank, which the Company opens, its account as at 30* June 2025.
rEcON CORPORATION
15'" Floor CEO Tower, Plot HH2-1, Me Tri Ha Form B 09 - DN Urban Area, Pham Hung Road, Tu Liein Commune, Issued under Circular No. 200/2014/TT-BTC Hanoi City, Viet Nam December 22"', 2014 of the Ministry of Finance
Foreign exchange differences arising from the revaluation are transferred to accounts - 413 Exchange rate differences, the account balance will be transferred to financial income or expense at the time of separate financial statements.
Accounting estimates
The preparation of separate financial statements in conformity with Vietnamese Standards on Accounting, Vietnamese Enterprise Accounting System and other prevailing accounting regulations in Vietnam requires the Board of General Directors to make estimates and assumptions that affect the reported amounts of liabilities, assets and disclosures of contingent assets and liabilities at the date of the separate financial statements and the reported amounts of revenues and expenses during the fiscal year. Actual results iiiay differ from those estimates and assumptions.
Cash and cash equivalents
Cash comprises cash on hand, bank deposits,
Cash equivalents comprise short-term deposits and highly liquid investments with an original iiiaturity of less than 3 months that are readily convertible to known amounts of cash and that are subject to an insignificant risk of changes in value.
ri»«ncia1 investments
ffeld to maturity iiivc•stnieiits
Held to maturity investments includes: term bank deposits with original maturities of more than 3 months. held-to-maturity loans for the purpose of earning periodic interest and other held-to-maturity investments.
Held-to-iaiaturity investiiaents are stated at cost and are measured at fair value based on the recoverability of the investment.
held-to-iaiaturity investments are stated at cost less allowance for bad debts.
Allowance for bad debts of held-to-maturity investments is made in conformity with current accounting regulations.
Loams
Loans under contracts between the parties but not allowed to buy, sell on the stock market.
All loans classified as monetary items denominated in foreign currencies will be revaluated at actual exchange rates at the reporting date.
Allowance for doubtful loans is made for each of the doubtful debts based on the overdue payment of principal under the original debt commitment (regardless of debt extension between parties), or based on expected loss level may occur.
Invc•stiii ents in subsiiliaries arid of/ier investm ents
- Investments in subsidiaries: Investments in subsidiaries over which the Company has control are stated at cost method in the separate financial statements.
  Profit distributions that Company received from the accumulated profits of the subsidiaries after the Company obtains control right are recognized in income statement. Other distributions are considered a recovery of investment and are deducted to the investment value.
- Other investments: are recorded at cost, including purchase price plus directly attributable acquisition costs. After the initial recognition, these investments are measured at cost less allowance for diminution in value of investments.
  Allowuuce for loss o]'in vc•stments
  Allowance for losses of investments in subsidiaries, contributions to joint ventures, investments in associates and investments in equity instruments of other entities is made when there is apparent evidence for impairment in value of the investments as at the balance sheet date.
  FECON CORPORATION
  15"' Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liein Coininune, Hanoi City, Viet Nam
  Recei›'ables
  Form B 09 - DN Issued under Circular No. 200/2014/TT-BTC December 22"d, 2014 of the Ministry of Finance
  The receivables comprise the customer receivables and other receivables. Receivables are recognized at the carrying amounts less allowances for doubtful debts.
  Allowance for doubtful debts is assessed and made for overdue receivables that are difficult to be collected, or the debtor is unable to pay due to dissolution, bankruptcy or similar difficulties.
  Inventories
  Inventories are measured at the lower ot' cost and net realizable value. Cost of inventories comprise costs of direct materials, direct labor, and general operation (if any) incurred in bringing the inventories to their present location and conditions. Net realizable value is the estimated selling price of inventory items less all estimated costs of completion and costs of marketing, selling and distribution. The Company uses the perpetual inventory method. The cost is calculated via specific identification method.
  3 he Company's allowance for impairment of inventories is made when there is reliable evidence of irrlpainiient of the net realizable value compared to the history cost of inventories.
  Ta ngiblc fixed assets and Depreciation
  Tangible fixed assets are stated at history cost less accumulated depreciation. Historical costs of tangible fixed assets include all the expenses paid by the Company to bring the asset to its working condition for its intended use.
  Tangible fixed assets are depreciated using the straight-line method over their estimated useful lives as follows:
  
  Years
  l3uildiiigs, structures 10 - 20
  Machinery and equipment 05 - 20
  Motor vehicles 06 - 10
  Otfice equipment 03 -08
  Others 0-3 10
  When a tangible fixed asset is sold or disposed, its historical cost and accumulated depreciation are wntten off, then any gain or loss arising from such disposal is included in the income or the expenses during the year.
  Intangihle fixed assets and Amortization
  Copyrights, patents, computer sofiware and others are stated at cost less than accumulated amortization.
  Copyrights, patents, computer software and others are amortized on a straight-line basis over their estimated useful lives of 3 - 10 years.
  Finance leases as lessee
  A lease is classified as a finance lease if it transfers substantially all the risks and rewards incident to ownership belonging to the lessee. All other leases are considered operating leases.
  A finance lease is recognized as a finance lease asset or finance lease liability on the balance sheet based on the lower value ot the fair value of the leased asset and the present minimum value of the lease liability at the initial time of the lease.
  Payments for finance leases are divided into finance charges and principal payables. Financial expenses are calculated for each accounting period during the lease term at a fixed rate of interest on the remaining outstanding balance.
  Financial leased assets uie depreciated in accordance with the straight-line method over their estimated useful lives like the Company owned assets or over the leased term in case the leased term is shorter, in details:
  rEcON CORPORATION
  15* Floor CEO Power, Plot HH2-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liein Commune, Hanoi City, Viet Nam
  Machinery and equipment Motor vehicles
  Business cooperation contract (BCC)
  The Coiiipanv as capital contributor
  rorm B 09 - DN Issued under Circular No. 200/20 14/TT-BTC December 22"d, 2014 of the Ministry of Finance
  Years
  08-20
  09-10
  Cash and asset contributions under BCC are recognized as receivables in the financial statements.
  Recognition of revenue and expenses according to BCC: One-time revenue recognition upon the expiration of the business cooperation term as prescribed in the contract.
  Prepaid expenses
  Prepaid expenses comprise actual expenses arising but relevant to financial performance in several accounting periods and the transfer of these expenses to operating expenses of subsequent accounting periOds.
  Prepaid expenses are stated at cost and are classified under short-term and long-term on the balance sheet based on time payment up front of each contract.
  Prepaid expenses are amortized on a straight line basis over the lease term (for the cost of rent, lease
  or an operating lease, ...), according to the useful time but no more than 3 years.
  Land use right value at office building in Tower CEO, Lot HH2-1, Me Tri Ha New Urban Area, Pham Hung Road, Tu Liem Commune, Hanoi in 48 year iS amortized over 48 years..
  Construction in progress
  Construction in progress reflects the Properties in progress for production, leasing, administrative , purposes, or for any other purposes are recognized at the historical cost. This cost includes relevant , service fees, interest fees in accordance with the Company's accounting policies. Depreciation of • these assets is the same as the other assets, commencing from these assets are ready for their
  intended use. ,
  Payables
  3 lie account payables are monitored in details by payable terms, payable parties, original currency a net other factors depending on the Company's management requirement.
  l'lie account payables include payables as trade payables, loans payable, intercompany payable and other payables which are determined almost certainly about the recorded value and term, which is not carried less than amount to be paid. They are classified as follows:
- Trade payables: includes commercial payables arising from the purchase of goods, services and assets between the Company and the seller (independent entity with the Company, including amounts payable between the Holding company and its subsidiaries).
- Other payables reflect payables of non-commercial nature and irrelevant to purchase, sales of goods or provisions of services.
Borrowings and financial leasing liabilities
Borrowings and financial leasing liabilities include loans, financial leases, excluding loans in the fonn of bonds or preference shares with terms that the issuer is required to repurchase at a certain point in the future.
The Coiripany monitors loan amounts and financial liabilities in details by each type and classifies them into short-term and long-term according to repayment term.
Expenses directly related to the loan are recognized to financial expenses, except for expenses incurred from a separate loan for investment, construction or production in progress, which are capitalized according to Accounting Standard "Borrowing costs".
FECON CORPORATION
15* Floor CEO Tower, Plot HH2-1, Me Tri Ha Form B 09 - DN Urban Area, Pham Hung Road, Tu Liem Commune, Issued under Circular No. 200/2014/TT-BTC Hatioi City, Viet Nam December 22"', 2014 of the Ministry of Finance
Recognition and capitalization of Borrowing costs
All other borrowing costs are recognised in the Income statement when incurring, except for the bori owing cost capitalized under Vietnamese Accounting Standards "Borrowing cost".
Accrued expenses
Accrued expenses are those already recorded in operating expenses in the period/year but not actually paid to ensure that when these expenses actually occur, they will not have a significant influence on operating expenses based on matching principle between income and expenses.
The Company recognizes Accrued expenses as follows: For construction works when having voluiiies acceptance.
Unrealized revenues
Unearned revenue includes: the difference between the selling price and the sublease price of the financial leased asset amortized on a straight-line basis over the lease term.
Owners' equity
Capital is recorded according to the actual amounts invested by shareholders.
Share premium is recognised by the difference between the actual price and face value of the shares when firstly issued, additionally issued or when the Company reissue treasury share.
Treasury shares are recognized at actunl value and presented in the Balance Sheet as a decrease in equity.
Protit alter tax of the Company is used to pay dividends to shareholders after having the approval of the Shareholders at the Annual General Meeting and after allocations to the reserve fund under the
Company's Charter. '
Dividends are recognized as a liability when approved by the General Meeting of Shareholders/ Members' Council.
Revenue and other income
4 he Company's revenue includes revenue from sales of goods, revenue from construction and installation, provision.
Revenue J'roni sale of gooJs
Revenue from sale of goods shall be recognized when it satisfies all the five (5) conditions below:
- The Company has transferred to the buyer the significant risks and reward of ownership of the goods;
» Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
« The amount of revenue can be measured reliably;
- The company will benefit economically from the sales transaction; and
- Costs related to transactions can be determined.
  Aeveriire from services
  Revenue from services is recognized when the outcome of that transaction can be reliably determined. Where a transaction involving the rendering of services is attributable to several periods, revenue is recognized in the year by reference to the percentage of completion of the transaction at the balance sheet date of that period. The outcome of a transaction can be measured reliably when all four (4) following conditions are satisfi ed:
  - The amount of revenue can be measured reliably;
  - lt is probable that the economic benefits associated with the transaction will flow to the Company;
  - lrlentily the completed work as at the balance sheet date; and
    FECON CORPORATION
    15* Floor CEO Tower, Plot HH2-1, Me Tri Ha Form B 09 - DN Urban Area, Pham Hung Road, Tu Liem Commune, Issued under Circular No. 200/2014/TT-BTC Hanoi City, Viet Nam December 22"', 2014 of the Ministry of Finance
  - Detennine the costs incurred for the transaction as well as the cost to complete the transaction to provide that service.
Revenue of construction
Revenues of construction are reliably recognized in the following cases:
« For construction contracts stipulating that the contractor is paid according to the planned schedule, the revenue and expenses related to the contract are recognized in equivalent proportion to the completed work determined by the Company as at the balance sheet date.
- For construction contracts stipulating that the contractor is paid according to the value of the volume pertonned, the revenue and expenses related to the contract are recognized in equivalent proportion to the completed work confirmed by the customer and reflected on the issued invoice.
  lncreases and decreases in construction volume, compensation and other revenues are recognized as revenue only when agreed with the customer.
  Revenues of construction are not recognized in the following Cases:
- Revenue is recognized in equivalent proportion to contract costs which is probable to be paid.
  « The contract costs are recognized to expenses only when they actually incur.
  The di ITerence between the total accumulated revenue of the recognized construction contract and the accumulated amount recoi ded on the payment invoice according to the planned progress of the contract is recorded as a receivable or payable amount according to the planned progress of construction contracts.
  
  Revenue and other income (Continued)
  Iteveuue from interest incom e, dividends and profits received and other income:
  1"he revenue is recognized when the Company can obtain economic benefits from the above activities and when it is reliably measured.
  Cost of goods sold
  Cost of goods sold including of cost of products, goods and services, real estate sold in the period are recognized in accordance with revenue in the period.
  For the cost of direct materials consumed exceeds normal levels, labour costs, fixed general administration expense which are not allocated to finished goods will be recognized in cost of sales (after minus the amount or compensation, if any) even if the goods have not been determined to be consumed.
  Financial expenses
  - Cost borrowing: Recorded monthly based on the loan principles, the interest rate and number of actual borrowing days
  - Foreign exchange loss: Recognized when there is a difi'erence between the actual exchange rate and the bookkeeping rate and when there is a loss when revaluation of monetary items denominated in toreign currencies.
  Current corporate income tax expense and deferred corporate income tax expense/ Current and deferred corporate income tax expenses
  Corporate income tax expenses (or corporate income tax income): is total current and deferred income tax expenses (or total current and deferred tax) in determining profit or loss of a period..
  - Current income tax expenses: are corporate income tax payable calculated on taxable profit during the year and current corporate income tax rate. Current income tax is calculated on taxable income and applicable tax rate during the tax period. Difference between taxable income and accounting profit is front adjustment ot' differences between accounting profit and taxable income in accordance with current tax policies.
FEC ON CORPORATION
15"' Floor CEO Tower, Plot HH2-1, Me Tri Ha Form B 09 - DN Urban Area, Pham Hung Road, Tu Liein Conunune, Issued under Circular No. 200/2014/TT-BTC Hanoi City, Viet Nam December 22"d, 2014 of the Ministry of Finance
« Det"erred income tax expenses: is corporate income tax payable in the future araising from: recognising deferred income tax payable during the year; reversing deferred tax assets recognised in previous years/periods; not recognising deferred tax assets or deferred tax liabilities raising from transactions that directly recorded to equity.
The Company has an obligation to pay corporate income tax at the rate of 20% on taxable profits, The contractor tax rate on CIT for income received from foreign investment is 25%.
The determination of the Company's income tax is based on current tax regulations. However, these regulations change from time to time and the final determination of corporate income tax depends on the examination results of the competent tax authorities..
Itelated parties
A party is considered a related party of the Corporation in case that party is able to control the Corporation or to cause material effects on the financial decisions as well as the operations of the Corporation. A party is also considered a related party of the Corporation in case that party is under the same control or is subject to the same material effects..
When considenng the relationship of related parties, the nature of relationship is focused more than its legal fonn.
FECON CORPORATION
15"' Floor CEO Tower, Plot HI-12-1, Me Tri Ha Urban Area, Pham Hung Road, Tvi Liein Commune, Hanoi City, Viet Nam
NOTES TO THE FINANCIAL STATEMENT

Form B 09 - DN Issued under Circular No. 200/2014/TT-BTC December 22"', 2014 of the Ministry of Finance

5.1	Cash a nd cash equivalents
		30/06/2025		01/01/2025
		VND		VND
	Cash on hand	4.550.192.096		3.244.696.351
	Cash at bank	112.615.424.206		155.159.327.580
	Cash equivalents	40.248.461.435		14.831.771.033
	Total	157.414.077.737		173.235.794.964
5.2	Other short-term receivables
		30/06/2025		01/01/2025
		VND		VND
	Ad vances	379.968.128.491		335.868.482.804
	Short-tenor deposits	20.000.000		20.000.000
	Others	88.867.303.258		81.893.369.130
	Total	468.855.431.749		417.781.851.934
5.3	Inventories
		30/06/2025		01/01/2025
	Raw ma Serials	7.713.562.313		7.900.013.447
	lnstruiiient & tools	799.399.809		717.388.694
	Cost for work in process	1.358.085.676.380		1.258.333.676.176
	Goods	49.992.274.591		32.928.734.661
	Total	I.4J6.590.913.093	_	1.299.879812.978
5.4
		30/06/2025		01/01/2025
		VND		VND
	Deductible value added tax	3.705.916.473
	Value added tax	I 6.567.872.535		I 1.663.159.755
	Total	20.273.789.008		11.663.159.755
5.5	O ther long-term receivables
		30/06/2025		01/01/202S
		VND		VND
	Long ierm deposits, olher receivables	I 5.678.754.335		16.127.276.531
	Total	15.678.754.335		16.127.276.531

FECON CO R PORATION

15"' Ploor CI/O Tower, l°lot Ill 12-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liein Commune, Hanoi City, Viet Nain

Tangible fixed assets

Form B 09 - DN Issued under Cir cular No. 200/2014/TT-BTC December 22"', 2014 of the Ministry of Finance

Buildings and Structures

Machinery, equipment

Transportation means

Office equipment Others

Total

HISTORY COST

As at 01/01/2025 23.780.948.400

182.573.682.679

14.I54.444.231

1.997.395.854

19.323.747.697

241.830.218.861

Increase

13.645.088.900

304.500.000

13.949.588.900

Purchase

85.069.000

304.?00.000

389.569.000

Acquisition of financial lease assets

13.560.019.900

Decrease

24.317.982.496

89.000.000

2.412.215.428

26.819.197.924

Transfer to financial lease assets

13.645.088.900

Disposals -

10.672.893.596

89.000.000

2.412.215.428

13.174.109.024

As at 30/06/2025 23.780.948.400

171.900.789.083

14.065.444.231

1.997.395.854

17.216.032.269

228.960.609.837

ACCUMULATED DEPRECIATION

As at 01/0J/2025 6.832.180.976

102.707.715.21S

10.821.216.S76

1.471.353.565

15.822.885.330

137.655.351.662

Increase 525.269.954

10.602.122.577

410.304.797

94.896.788

471.008.681

12.103.602.797

Depreciation 525. 269.954

4.885.055.950

410.304.797

94.896.788

471.008.681

6.386.536.170

Acquisition of financial lease assets

5.717.066.627

Decrease

12.832.555.315

50.894.822

1.795.196.51 I

14.678.646.648

Transfer to financial lease assets

5.768.226.413

Disposals

7.064.328.902

50.894.822

1.795.196.511

8.910.420.235

As at 30/06/2025 7.357.450.930

100.477.282.477

1 180.626.55t

).566.250.353

14.498.697.500

135.080,307.811

NET BOOK VALUE

As at 01/01/2025 16.948.767.424

79.865.967.464

3.333.227.655

526.042.289

3.500.862.367

104.174.867.199

As at 30/06/2025 16.423.497.470

71.423.506.606

2.884.817.680

431.145.ROI

2.717.334.769

93.880.302.026

FECON CORPORATION

15* Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liem Commune, Hanoi City, Viet Nam

Form B 09 - DN Issued under Circular No. 200/2014/TT-BTC December 22"d, 2014 of the Ministry of Finance

Financial leasing fixed assets
HISTORY COST
Machinery, equipment
Transportation means
Unit.' VND
Total
As at 01/01/2025
Increase Leasing Decrease
Acquisition ot financial lease assets
As at 30/06/2025
ACCUMULATED DEPRECIATION
As at 01/01/2025 Increase Depreciation Decrease
Acquisition of financial lease assets As at 30/06/2025
NET BOOK VALUE
As at 01/01/20t5
As at 30/06/2025
Intangible fixed assets

159.851.024.451

7.700.365.033

13.560.019.900

153.991.369.584

25.231.910.731

9.663.541.247

5.717.066.627

29.178.385.351

134.619.113.720

124.812.984.233

7.772.843.716 167.623.868.167

7.700.365.033

13.560.019.900

- 13.560.019.900

7.772.843.716 J61.764.213.300

1.876.409.115 27.108.319.846

464.768.913 10.128.310.160

464.768.913 10.128.310.160

5.717.066.627

2.341.178.028 31.519.563.379

5.896.434.601 140.515.548.321

5.431.665.688 130.244.649.921

Unit. VND

HisTonv coST

License, patent IT software

Others

Total

As at 01/01/2025 Increase

241.800.000 28.217.343.384 2.399.392.555 30.858.535.939

Decrease - - - -As at 30/06/2025 241.800.000 28.217.343.384 2.399.392.555 30.858.535.939

ACCC MULATED AMORTIZATION

As at 01/01/2025	173.814.452	23.448.882.698	783.679.203	24.406.376.353
Increase	14.988.288	1.723.082.984	i04.234.343	1.842.305.615
Amortization	14.988.288	1.723.082.984	104.234.343	1.842.305.615
Decrease
As at 30/06/2025	188.802.740	25.171.965.682	887.913.546	26.248.681.968
^iET BOOK VALUE
As at 01/01/2025	67.985.548	4.768.460.686	1.615.713.352	6.452.159.586
As at 30/06/2025	52.997.260	3.045.377.702	1.511.479.009	4.609.853.971

FECON CORPORATION

15* Floor CEO Tower, Plot HH2-1, Me Sri Ha Urban Area, Pham Hung Road, Tu Liem Commune, Hanoi City, Viet Nam

Form B 09 - DN Issued under Circular No. 200/20 14/TT-BTC December 22 d, 2014 of the Ministry of Finance

5.9 Construction in progress

30/06/2025

01/01/2025

VND

Purchase of fixed assets

I .043.428.000

1.043.428.000

Total

1.043.428.00

"1.043.428.000

5.10 Short-term borrowings and finance lease liabilities

30/06/2025

01/01/2025

VND

Short-term borrowuigs and finance lease

liabilities

1.623.941.882.423

1.344.797.907.014

5.11 Taxes and payables to the State Budget

30/06/2025

01/01/2025

VND

Corporate income tax

784.244.235

7.287.525.149

Personal income tax

4.543.055.411

2.629.975.891

Total

5.327.299.646

9.917.01.040

5.12 Short-term accrued expenses

30/06/2025

01/01/2025

AND

•

Cost of construction projects

178.394.295.039

213.658.096.181

Total

178.394.295.039

213.658.096.181

5.13 Other short-term Payables

30/06/2025

01/01/2025

VND

Trade union fee

998.457.201

1.148.388.303

Social insurance

Health insurance

2.149.302

Unemployment insurance

Other payables

228.127.188.585

226.596.475.904

Total

229.125.645.786

227.747.013.509

5.14 Long-term borrowings and finance lease liabilities

30/06/2025

01/01/2025

VND

Long-term borrowings and Finance lease liabilities

144.918.049.008

137.760.266.885

Total

144.918.049.008

137.760.266.885

FECOh CO ItPORATION

15* I loor CF/O Tower, Plot 11142 l , Me Tri Ha Urb‹ua Area. Pham Hung Road, u Liem Commune. Hanoi City, Vict Nain

Form B 09 - DN Issued under Circular No. 200/2(114/TT-BTC December 22"', 2014 of the Ministry ot Finance

Owners' equity

Changes of owners' equity

Share capital Share premium Investment and

Development fund

Retained profits

Unit. VND

Total

As at 01/01/2024	1.574.390.050.000	517.556.564.217	297.446.985.202	47.959.956.747	2.437.353.556.166
Net profit for the year				6.638.700.647	6.638 700.647
Appropriate Bonus and welfare funds				(1.269.562.370)	(1.269.562.370)
Payment of dividends in cash
As at 31/12/2024	1.574.30.050.000	517.556.564.217	297.446.985.202	53.329.095.024	2.442.722.694.443
As at 01/01/2025	1.S74.390.050.000	517.556.564.217	297.446.985.202	53.329.095.024	2.442.722.694.443
Net profit for the period				2.208.645.433	2.208.645.433
Appropriate Bonus and welfare funds				(663.870.065)	(663.870.065)
As at 30/06/2025	1.574.390.050.000	517.556.564.217	297.446.985.202	54.873.870.392	2.444.267.469.811

FECON con omTION

15"' Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liem Commune, I-Ianoi City, Viet Nam

Form B 09 - DN Issued under Circular No. 200/2014/TT-BTC December 22"d, 2014 of the Ministry of Finance

5.15 Owners' equity (Continued)

Capital transactions with shareholders and appropriation of profits and dividends

For the period from For the period from 01/01/2025 01/01/2024

to 30/06/2025 to 30/06/2024

Owner's equity
Capital contributed at the beginning of the period	1.574.390.050.000	1.574.390.050.000
Capital contributed at the end of the period	1.574.390.050.000	1.574.390.050.000

Shares
For the period from
01/01/2025
to 30/06/2025
For the period from
01/01/2024
to 30/06/2024
VJ}3
Number of shares registered for issuance
Number of shares sold to the public Coiaiinon shares
Number of outstanding shares Coinlnoii shares
Par value of outstanding share (VND/per share)
Funds

Deve lopinent and investment funds

Total

Revenue from sales of goods and provision of services

157.439.005

10.000

30/06/2025

297.446.985.202

157.439.005

10.000

01/01/2025

297.446.985.202

For the period from

01/01/2025

to 30/06/2025

For the period from

01/01/2024

to 30/06/2024

VND

Sales of goods and provision of services

Total

3.17 Cost of goods sold

Cost of goods sold, construction, services

Tota1

1.617.455.037.717

1 @17.455.037.717

For the period from

01/01/2025

to 30/06/2025

1.504.448.675.348

1.504.448.679.348

836.923.439.718

836.923.43 8

For the period from

01/01/2024

to 30/06/2024

768.333.314.699

76_8.333.314.699

FECON CORPORATION

1 5"' Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area. Pham Hung Road, Tu Liem Commune, Hanoi City, Viet Nam

Form B 09 - DN Issued under Circular No. 200/2014/TT-BTC December 22 d, 201.4 of the Ministry of Finance

5.18 Financial income

For the period from

01/01/2025

01/01/2024

to 30/06/2025

to 30/06/2024

VND

Interest income from deposits and loans

1.493.748.560

714.510.407

Realized gain on exchange difference

4.909.738.5 95

373.780.292

Dividend, profit received

15.147.500.000

25.439.125.000

Interest income from disposal of investments Payment discount

Others

Total

21.550.987.155 26.527.415.699

5.19 Financial expenses

For the period from

01/01/2025

01/01/2024

to 30/06/2025

to 30/06/2024

Interest expenses

67.050.406.633

44.148.324.232

Foreign exchange losses

9.839.460.046

248.422.284

Loss of disposal of financial investments

Others

2.391.368.625

1.083.157.684

Total

79.281.235.304

45.479.904.200

5.20 Selling expenses and General and administrative

expenses

For the period from

01/01/2025

01/01/2024

to 30/06/2025

to 30/06/2024

Selling expenses

4.462.566.424

3.622.537.535

Employee expenses

3.717.338.456

3.252.499.685

Cost of tools and supplies

13.509.410

19.996.199

Depreciation expenses

54.769.336

54.921.459

Outsourcing expenses

605.394.907

195.295. 192

Other expenses in cash

71.554.315

99.825.000

General rind administrative expenses

47.771.195.404

43.795.493.113

Employee expenses

30.774.309.499

29.644.274.688

Material expenses

771.127.438

391.277.804

Office supplies expenses

2.619.468.561

2.097.506.204

Depreciation expenses

2.582.285.110

2.597.783.797

Tax charges and fees

691.593.017

320.283.591

Outsoucing expenses

6.758.289.465

5.665.264.119

Other expenses in cash

3.574.122.314

3.079. 102.910

FECON CORPORATION

15"' Floor CEO Tower, Plot HH2-1, Me Tri Ha Urban Area, Pham Hung Road, Tu Liem Commune, Hanoi City, Viet Nam

Form B 09 - DN Issued under Circular No. 200/2014/TT-BTC December 22"d, 2014 of the Ministry of Finance

Other income/ Other expenses

For the period from

01/01/2025

to 30/06/2025

For the period from

01/01/2024

to 30/06/2024

VND

Other income Gain from disposal of fixed assets Gain troin disposal of Tools and supplies		535.462.864
Coinpen sation and penalties	362.339.835	1.994.932.029
Others	75	103.753.792
Total	362.339.910	2.634.148.685
Other expenses
Loss froin disposals of fixed assets	159.895.354
Net book value of Tools and supplies disposed		29.873.409
Pena lty for breach of contract	960.129.840	29.500.000
Fine of late payment of social insurance and tax, administrative penalty	76.017.611	42.521. 139
Others	64	20.000.025
Total	1.196.042.869	121.894.573

Net other profit

Current corporate income tax expense

(833.702.959) 2.512.254.112

	For the period from	For the period fro
	01/01/2025	01/01/202
	to 30/06/2025	to 30/06/2024
	VND	VN
Accounting profit before tax	2.208.645.433	4.731.859.98
Increased adjustments	1.521.023.523	2.039.620.414
Decreased adjustments	I 5.147.500.000	25.439.125.000
Taxable income	(11.417.831.044)	(18.667.644.604)
Corporate Income Tax rate	20%	20%

Collecting corporate Income Tax arrears from previous year adjusted in this period

Current corporate income tax expense

356.370.999

Preparer

Tran Thu Trang

Chief Accountant

Pham Van Tung

Hanoi, 3d" Jtily 2025

'V'

'°°

O*502

•

C0 PHAN

FEC0

> C

Chairman

Pham Viet Khoa

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