Hoa Sen Group (HSG) Hits 104% of High-Case Plan With VND 623B Profit

Overview

Hoa Sen Group (HOSE: HSG) reported consolidated after-tax profit of VND 623 billion for fiscal year 2025-2026, equal to 104% of the high-case profit plan set by the company, according to its audited-period business update. Consolidated revenue reached VND 37,736 billion, or 102% of plan, while consolidated output of 1,794,500 tonnes met 97% of target. The result matters for HSG shareholders because it shows the steel maker clearing its most ambitious internal target in a year of surplus domestic supply and rising trade protectionism abroad.

Key Facts

• Consolidated after-tax profit of VND 623 billion for fiscal 2025-2026, equal to 104% of the high-case plan.
• Consolidated revenue of VND 37,736 billion, meeting 102% of the revenue plan.
• Consolidated output of 1,794,500 tonnes, reaching 97% of the volume plan.
• Fiscal year runs from 1 October 2025 to 30 September 2026.
• Book value per share of approximately VND 14,735 as of 30 September 2026.
• Operating footprint of 9 factories and more than 400 branches and stores nationwide, with exports to 100 countries and territories.
• Hoa Sen Home was formally incorporated as a joint stock company in January 2026.

What Happened

Công ty Cổ phần Tập đoàn Hoa Sen disclosed the figures in its quarterly and full-year business results announcement covering the fourth quarter and the cumulative fiscal year from 1 October 2025 to 30 September 2026. The company said the steel market remained difficult through the period: domestic construction-material demand improved on public investment and infrastructure spending, but surplus domestic steel supply, elevated raw-material and energy costs and high interest rates kept pressure on producers. Export operations faced rising trade protectionism, trade-defence measures and tougher international competition.

Against that backdrop, HSG said it ran production flexibly, controlled costs, managed inventory and optimised operating efficiency. The group credited its network of 9 factories and more than 400 branches and stores for defending domestic market share, and its presence in 100 countries and territories for diversifying export markets. Separately, HSG is building out the Hoa Sen Home building-materials and furniture supermarket chain, with the formal establishment of Công ty Cổ phần Hoa Sen Home in January 2026 framed as a step in restructuring and specialising the group’s retail operations.

Market Context

HSG trades on HOSE and last closed at VND 10,850 on 30 October 2026, a level that sits below the reported book value of roughly VND 14,735 per share at fiscal year-end. The stock sits in the Vietnamese steel sector alongside larger peers, a group that has contended with Chinese export oversupply, anti-dumping actions in several export markets and soft domestic construction demand. The company’s ability to exceed its high-case profit plan despite missing its volume target points to margin and cost control rather than volume-led growth as the driver of the result.

Strategic Significance

The core thesis for HSG is no longer coated-steel volume alone. Meeting 104% of a high-case profit plan while delivering only 97% of planned tonnage implies the earnings came from pricing, cost discipline and inventory management rather than from shipping more steel into a crowded market. The Hoa Sen Home build-out is the second leg: converting a 400-plus outlet distribution network into a modern building-materials and furniture retail platform could lift returns on assets HSG already owns and reduce reliance on cyclical export margins. Execution risk is real, since retail carries different working-capital and inventory dynamics than manufacturing, but the January 2026 incorporation shows the group is committing structure, not just branding, to the shift.

What to Watch

• The FY2026-2027 business plan and profit target, expected at the next annual general meeting, to gauge how much of the VND 623 billion base management expects to hold.
• Segment disclosure on Hoa Sen Home revenue and losses in the next quarterly filing, to test whether the retail arm is scaling or draining cash.
• Export volume and market mix by destination, given trade-defence actions in key markets.
• Domestic steel prices and construction demand tied to public-investment disbursement.
• Any anti-dumping or safeguard ruling in HSG’s major export markets that would affect the 100-country network.