Chairman of the Board of Directors Tran Huu Dong: "HVC Group is entering a new chapter on its development journey"

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(DTCK) Becoming an investor in a real estate project in Hoa Binh not only brings a new business field but also opens a new chapter for HVC Group's journey to reach new heights.

In the atmosphere of the new spring, Mr. Tran Huu Dong - Chairman of the Board of Directors of HVC Investment and Technology Joint Stock Company (HVC Group) shared interesting things about the company's breakthrough journey in 2024.

Hello! 2024 is a difficult but proud journey for HVC Group. Could you please share with us the achievements that the company has achieved in the past year?

2024 is truly a difficult year for construction businesses in general and electromechanical general contractors in particular.

However, with the determination of employees, HVC still has regular and stable work, the average income of employees increased by nearly 15%. In particular, in 2024, HVC was approved by the People's Committee of Hoa Binh province to be the investor of the project of garden villas, afforestation combined with eco-tourism in Mong Hoa commune, Hoa Binh city. This is an important event opening up a new business field and is a premise for HVC to enter a new chapter in the process of construction and development.

Last year, HVC set a target revenue and profit of VND386 billion and VND30 billion, respectively. With the positive business situation, will HVC Group successfully reach the finish line, sir?

With preliminary results, HVC has achieved revenue of about 390 billion, exceeding the revenue target and is likely to reach the profit target. Thus, compared to 2023, HVC has grown by nearly 58% and profit increased by about 170%. It can be assessed that this production and business result is truly impressive compared to companies in the same industry. This result will also motivate HVC to continue to develop sustainably.

2024 is a difficult year but HVC still completed the plan and the financial situation is stable. Can you reveal some experiences to help HVC maintain financial stability over the years?

Firstly, our view is to minimize the use of financial leverage in general contracting activities. Up to now, HVC's borrowing rate is very low, sometimes even no borrowing, because in the condition that the profit margin of the general contracting industry is not high, if we bear additional interest, it will be pulled down very low, even break even.

Second, in the cooperation process, HVC always chooses investors who are large, reputable corporations and are fair in payment. In addition, with an absolute view on quality, ensuring construction progress, and very tight documentation, HVC's contracts are basically settled neatly.

In 2024, HVC Group will continue to be in the Top 10 prestigious electromechanical contractors. What do you think is the significance of this event for the company's electromechanical general contractor activities?

That is the recognition of customers and the market for HVC's construction capacity. I think this is an encouragement but also a pressure for HVC to continue to maintain its brand reputation, continuously improve to provide better products and solutions to the market.

Last year, HVC also left its mark in the field of General Contractor of high-end entertainment equipment with large projects on swimming pools, water music, and water parks. This is a start-up product and is currently contributing greatly to HVC's revenue. With the orientation of being a pioneer in the Vietnamese market, in 2025, HVC will have a number of equipment products applying new technology with many solutions for customers to have more choices and experiences.

Last year, HVC officially became an investor in a real estate project in Hoa Binh province. Could you share more about this project?

This project has been prepared by HVC for 2 years now. You know, to complete the legal procedures of a real estate project requires a lot of time, effort, brainpower… With determination, we have completed more than 80% of the procedural journey. Currently, the project has reached the stage of land acquisition and site clearance to proceed to land allocation and construction commencement.

The project has a very beautiful location when located next to National Highway 6, the travel process is extremely convenient, from the National Convention Center to the project only takes about 45 - 50 minutes drive. With the orientation of being the starting product for a new business field, we will invest in building the project to become a 5-star resort urban area, an attractive destination of Hoa Binh province in the coming years.

It must also be said that when we decided to move into real estate investment, we determined that this would be the company's strategic business in the medium and long term. We also determined that this business is very difficult but if successful, it will bring great efficiency. Therefore, in every decision, we are cautious, calculating meticulously and in detail to minimize risks.

In 2025, what business orientations and plans do you and the HVC Board of Directors have?

2025 is the year that begins the era of national development according to the direction of the Party and State leaders. We believe that the State will have many major policies to create conditions for businesses to develop faster and more sustainably.

With very good business results in 2024, we expect HVC to continue to grow by double digits or more in 2025, creating a more solid foundation for take-off in the following years.