In a notable revival, the company posted profits of VND10 billion (approximately US$382,500), with revenues soaring 31% year-on-year to reach VND46.9 billion, a peak not seen in over five years. This impressive performance was attributed to the economic rebound, particularly within the service and tourism sectors, which had experienced significant downturns in recent years.
Last year, the same period saw Royal International grapple with a loss of VND2 billion. It’s worth noting that the firm last enjoyed profitable waters back in the third quarter of 2019, when the cards were evidently in their favor.
Looking forward, Royal International Corporation sets ambitious targets for the full year, aiming for revenues of VND187 billion and post-tax profits of VND34 billion. To achieve these goals, the company plans to exercise tight control over fixed and financial costs, particularly interest expenses, while also boosting revenues through strategic initiatives.
Established in 1994, Royal International Corporation comprises a casino, hotel, and luxurious villas in the scenic Ha Long Bay area of Quang Ninh Province, which shares a border with China. Notably, the company made its debut on the Ho Chi Minh Stock Exchange in 2007. However, in May 2022, it faced delisting after three consecutive years of losses, which led to its shift to the Unlisted Public Company Market. Yet, there’s a silver lining: its stock is currently trading at VND5,500, experiencing a remarkable increase of over 57% since the start of the year—employment definitely wasn’t the only thing rising lately.
Questions & Answers
What factors contributed to Royal International Corporation’s recent profitability?
The improved profitability stemmed from a recovery in the service and tourism sectors, which are vital for the company’s operations, alongside a significant increase in revenues by 31% year-on-year.
What are the future financial targets for Royal International Corporation?
For the full year 2025, the company aims to achieve revenues of VND187 billion and post-tax profits of VND34 billion, focusing on cost control and increasing revenue streams.
What challenges has Royal International Corporation faced in recent years?
The company dealt with six consecutive years of losses, culminating in its stock being delisted in May 2022 after three years of declining performance, before being transferred to the Unlisted Public Company Market.
