According to documents for the annual shareholders' meeting late this month, Pomina Steel Joint Stock Company (stock code: POM) plans to achieve 8,511 billion VND in revenue, a significant increase from last year's 2,200 billion VND. Next year's figure is projected to reach nearly 13,200 billion VND, the highest since 2021.
The company has not yet announced its after-tax profit target, but it expects EBITDA (earnings before interest, taxes, depreciation, and amortization) to be around 473 billion VND this year and over 940 billion VND next year. This indicates positive signals from core business operations after four consecutive years of losses.
Pomina announced these positive financial targets after signing a contract with VinMetal, a Vingroup subsidiary, late last year and resuming production early this year. VinMetal supports the company with a working capital loan for up to two years at a 0% interest rate, which helps improve cash flow, restore the supply chain, ensure stable production, and gradually recover financial indicators. In addition to funding, VinMetal prioritizes Pomina as a steel supplier for member units within the Vingroup ecosystem, such as VinFast, Vinhomes, and VinSpeed.
Pomina was established in 1999 and was once the largest construction steel enterprise nationwide in 2010. In its prospectus for listing on the Ho Chi Minh City stock exchange at that time, the company stated it held approximately 29,37% of the market share.
The company incurred losses for four consecutive years from 2022 to 2025, increasing its accumulated undistributed losses to 3,660 billion VND and resulting in negative equity of over 800 billion VND.
In the shareholder meeting documents, Do Tien Si, a Board Member and General Director of Pomina, stated that the company "entered an extremely difficult period" from 2023 to present. The Covid-19 pandemic erupted during the construction of the blast furnace project in Ba Ria - Vung Tau, leading to extended completion times and increased investment capital for the project.
The company had to halt production in September 2022, then reorganized the business operations of its member units and branches. The restructuring process, according to management, has shown positive changes but also faced difficulties related to legal regulations and investor caution.
Pomina previously planned to transfer capital to strategic investor Nansei (Japan). This partner had worked with the company for over 10 years and was serious about the share transfer deal, having invested significant time and costs in deposits and investment appraisals. However, the deal was subsequently hindered by regulations stipulating that the transfer ratio to foreign enterprises could not exceed 50% of the capital.
"Pomina had to pivot to seek other cooperation opportunities with domestic investors and investment funds," Mr. Si wrote, listing several domestic organizations they had worked with, such as Thaco Industries, VNSteel, and VinMetal.
After finalizing the cooperation with VinMetal, the company's management stated it is continuing financial restructuring to gradually overcome its negative working capital situation.
In the first Quarter of this year, Pomina recorded over 465 billion VND in revenue and an after-tax loss of nearly 190 billion VND. By the end of March, the company's total capital amounted to over 10,200 billion VND, an increase of about 1,400 billion VND compared to early this year. Liabilities also rose by 1,600 billion VND, reaching over 11,000 billion VND.
Phuong Dong
