According to its Quarter I financial report, Vietnam Exhibition Fair Center Joint Stock Company (VEFAC) recorded 121 billion dong in revenue, a 99% decrease compared to the same period last year. Despite this sharp decline, the company achieved a post-tax profit of nearly 140 billion dong. This profit exceeded its revenue, though it also represented a 99% decrease from Quarter I of the previous year. The significant profit stemmed primarily from financial activities rather than its core business.

The sharp decrease in first-quarter revenue was due to the absence of real estate transfer activities, as explained in VEFAC's submission to the Hanoi Stock Exchange. In Quarter I last year, VEFAC generated over 44,000 billion dong from the sale of 75 hectares of land for high-rise and low-rise residential construction at the Vinhomes Global Gates project to Thoi dai moi T&T company. For the current Quarter I, revenue from real estate leasing contributed 60%, totaling over 72 billion dong, with the remaining income derived from other service activities. After deducting the cost of goods sold, VEFAC's gross profit reached over 10 billion dong.

VEFAC's substantial profit in Quarter I was primarily fueled by its lending operations. As of 31/3, the company reported loans to several organizations totaling 12,344 billion dong, marking a 166% increase compared to the beginning of the year. This lending segment, with an annual interest rate of 12%, generated over 225 billion dong in profit for VEFAC, significantly contributing to its overall financial performance.

The National Exhibition Center (VEC) on 27/6/2025. Photo: Giang Huy

VEFAC is a subsidiary of Vingroup Group, which holds an ownership stake exceeding 85%. The company is the investor of an urban area in Dong Anh ward, Hanoi, known commercially as Vinhomes Global Gates. This urban area spans over 261 hectares and has a total investment capital of nearly 34,880 billion dong. However, VEFAC transferred a portion of the project in Quarter I last year. Furthermore, VEFAC owns the National Exhibition Fair Center (VEC), the largest in Southeast Asia, also located in Dong Anh ward.

Beyond its existing portfolio, VEFAC is actively expanding its development pipeline. According to its 2025 annual report, the company is currently constructing a commercial, service, and mixed-use complex project at 148 Giang Vo, Giang Vo ward, Hanoi.

VEFAC's financial position at the end of Quarter I showed overall growth. Total assets reached over 30,500 billion dong, an increase of nearly 30% compared to the beginning of the year. The most significant improvement was in the amount loaned to other organizations. Financial debt stood at nearly 1,400 billion dong, while owner's equity reached over 6,815 billion dong.

Trong Hieu