SCL Q3 2026: Song Da Cao Cuong Profit Up 136%, Beats 2026 Target

Overview

Song Da Cao Cuong (ticker SCL, UPCOM) reported Q3/2026 net revenue of more than VND 263B, up nearly 98% year-on-year, and net profit of VND 38B, up 136%, according to its quarterly financial statements. Nine-month net profit of roughly VND 94B has already surpassed 110% of the company’s full-year 2026 profit plan, even though revenue is only about 67% of target.

Key Facts

• Q3/2026 net revenue: more than VND 263B, up nearly 98% year-on-year.
• Q3/2026 net profit after tax: VND 38B, up 136% year-on-year.
• Q3/2026 gross profit: VND 109B, up 129%; gross margin improved to 41% from about 36%.
• 9M/2026 revenue: nearly VND 666B, up 81% year-on-year, equal to about 67% of the annual revenue plan.
• 9M/2026 net profit: nearly VND 94B, about 2.3x the prior-year period and above 110% of the full-year 2026 profit target.
• Chairman Kieu Van Mat said several newly invested plants are scheduled to begin operating in November 2026.
• Customers cited include Vingroup, Sun Group, Masterise, Coteccons, Delta and Ricons; the company supplies concrete and dry mortar.

What Happened

Song Da Cao Cuong, a construction-materials producer listed on UPCOM, published its Q3/2026 financial statements showing revenue of more than VND 263B and net profit of VND 38B. Gross profit rose 129% to VND 109B, pushing the gross margin from roughly 36% to 41%. For the nine months to September 2026, revenue reached nearly VND 666B (+81%) and net profit nearly VND 94B, about 2.3 times the same period last year.

Chairman of the Board Kieu Van Mat attributed the result to a multi-year process rather than a single factor: technology upgrades, production-line optimisation to cut costs, factory capacity expansion, and a broader product and customer base. He said the incremental revenue booked in Q3 is only a starting point, since several newly invested plants are not expected to commence operations until November 2026. The company frames its core business as reprocessing industrial by-products such as ash and gypsum into construction materials, a circular-economy model it says lowers input costs and supports carbon-reduction goals.

Market Context

SCL trades on UPCOM, the Hanoi-based unlisted public company market, and closed at VND 30,300 on 19 October 2026. The stock sits in the construction-materials sector, which is sensitive to residential and industrial construction activity and to input costs. The company’s customer roster, which includes Vingroup, Sun Group, Masterise, Coteccons, Delta and Ricons, ties its order book to large private developers and contractors rather than to public infrastructure spending. The article does not provide a year-to-date share price comparison or valuation multiple.

Strategic Significance

The investment case rests on whether SCL’s margin expansion is structural or cyclical. Gross margin rising five percentage points while revenue nearly doubles suggests operating leverage from line optimisation and higher plant utilisation, not merely higher selling prices. The November 2026 plant start-ups are the key variable: if they ramp on schedule, they add capacity against an order book already anchored by demanding developers, and the company’s stated policy of reinvesting profit into plant upgrades implies capital spending will stay elevated. The circular-economy angle, converting ash and gypsum into green materials, is a cost advantage as much as an environmental one, since it substitutes for mined inputs.

What to Watch

• Q4/2026 financial statements, to confirm whether the November 2026 plant start-ups contribute revenue within the year.
• Full-year 2026 revenue attainment, given nine-month revenue is only about 67% of plan while profit is already above target.
• Gross margin trend in Q4, to test whether the 41% level holds as new capacity adds depreciation.
• Capital expenditure and debt disclosures tied to the new plant investments.
• Any customer or contract announcements involving Vingroup, Sun Group, Masterise, Coteccons, Delta or Ricons.