CC1 2024 Net Profit Falls 17% Despite Record Revenue, Stock Restricted
This Aveluro analysis covers CC1 on UPCOM in the Construction & Materials sector. The classified event type is earnings miss, with negative sentiment and a deterministic market-impact score of 4.9/10. Aveluro classifies this story as a negative catalyst and risk signal for the affected stock. Source coverage came from VnExpress - Kinh doanh, classified as a primary/top-tier source.
Key Facts
Caveat: Not investment advice. · How Aveluro computed this: Aveluro combines extracted event facts, source credibility, ticker context, and market data. Scores are deterministic research signals, not recommendations.
Overview
CC1 (Tổng công ty Xây dựng số 1) reported audited 2024 net profit of nearly 190 billion VND, down 17% year-on-year and below its self-prepared figures, despite record revenue of 11,820 billion VND (+16%). The stock is now restricted to weekly trading on UPCoM due to a delayed audit filing, and the company faces margin pressure from rising costs.
Key Facts
- Audited 2024 net profit: nearly 190 billion VND, down 17% year-on-year, the lowest in five years.
- Record consolidated revenue: 11,820 billion VND, up 16% year-on-year, driven by construction (9,160 billion VND).
- Net profit margin fell to 1.6% from 2.2% in 2023.
- Audited net profit was 37 billion VND lower than the company’s self-prepared report, due to auditor adjustments at subsidiaries and provisions.
- Stock restricted to weekly trading (Fridays only) on UPCoM from early June 2026 due to delayed audit filing (over 45 days late).
- 2025 targets: revenue of 18,607 billion VND and pretax profit of 492 billion VND.
- Major projects include Cát Lái Bridge, Long Hưng Bridge, and Ring Road 4 in Hà Nội.
What Happened
CC1 released its audited 2024 financial statements, revealing a net profit of nearly 190 billion VND, down 17% from the prior year and below the company’s own preliminary figures. The decline came despite record revenue of 11,820 billion VND, as interest expenses and administrative costs rose sharply. The net profit margin contracted to 1.6% from 2.2%.
Management attributed the 37 billion VND gap between audited and self-reported profit to auditor adjustments at subsidiaries and associates, as well as additional provisions for financial investments and bad debts. The company noted that 2025 was the first year working with the new auditor, and disagreements over certain accounting treatments caused the delay in filing.
Market Context
CC1 trades on UPCoM at around 34,000 VND per share, giving a market capitalization of approximately 13,500 billion VND. The stock recently closed at 34,000 VND (+3.03%) on low volume of 2,200 shares. The trading restriction (weekly only) due to the late audit filing adds liquidity risk. The construction sector in Vietnam faces margin pressure from rising input costs, though infrastructure spending remains a government priority.
Strategic Significance
CC1’s earnings miss highlights execution challenges in a high-growth phase: revenue is scaling rapidly, but cost control and audit alignment lag. The company’s 2025 targets imply a sharp profit recovery (pretax profit of 492 billion VND vs. 270 billion VND in 2024), contingent on large infrastructure projects like Cát Lái Bridge and Ring Road 4 contributing. Success would demonstrate improved operational leverage, but the audit delay and trading restriction raise governance concerns for institutional investors.
What to Watch
- Q1 2025 earnings release (expected by mid-2026) to see if profit recovery is on track.
- Resolution of the trading restriction: lifting requires timely submission of audited reports.
- Progress on major projects: Cát Lái Bridge, Long Hưng Bridge, and Ring Road 4 contract awards.
- Any further auditor disagreements or adjustments in 2025 filings.
- Sector-wide infrastructure spending trends and government budget disbursement.