Latest news with #PhamNhatVuong
Business Times
04-07-2025
- Automotive
- Business Times
Deutsche Bank, SeaTown join VinFast's US$510 million private debt: sources
[SINGAPORE] Deutsche Bank and SeaTown Holdings International are among the lenders providing a US$510 million private credit loan to VinFast Auto, according to people familiar with the matter. The facility for VinFast, an electric vehicle maker owned by Vietnamese conglomerate Vingroup, pays high-single digit returns, the people said, who asked not to be identified discussing private matters. Jefferies Financial Group was the sole financial adviser for VinFast and Vingroup for the deal, according to a LinkedIn announcement. A Vingroup representative confirmed the fundraising, saying it helps support VinFast's business operations. 'The loan has been secured on favourable commercial terms, given the current market conditions,' the representative said, without elaborating on the details of the deal. Meanwhile, spokespeople for Deutsche Bank and SeaTown declined to comment. VinFast has been tapping the loan market to fund its expansion plans regionally as it looks to compete with other global EV makers. The sector has become highly competitive with deep price cuts that are eating into earnings. Vingroup founder and chairman, Pham Nhat Vuong, who's also VinFast's chief executive officer, said last year that the company will continue to have his support until he runs 'out of money', Bloomberg News reported. VinFast is in talks with local Indian lenders for a US$200 million loan, as it looks to expand in the world's third-biggest car market, Bloomberg News reported. It also secured a 1.84 trillion rupiah (S$145 million) syndicated facility in April from Bank Negara Indonesia and Maybank Indonesia to fund its factory development in Indonesia's West Java province. BLOOMBERG
Time of India
10-06-2025
- Automotive
- Time of India
EV maker VinFast's Q1 loss widens on higher spending as deliveries rise
Vietnamese electric vehicle maker VinFast reported on Monday its sixth consecutive quarterly net loss as it continues to ramp up spending to boost sales volumes. VinFast reported a net loss of $712.4 million for the first quarter, less than the $1.3 billion loss in the previous quarter but 20% more than a year earlier. Analysts' average forecast was for a $616.3 million loss, according to LSEG data. Revenue jumped 150% to $656.5 million in January-March, compared with analysts' average estimate of $520 million. Deliveries leapt nearly 300% to 36,330 vehicles in the quarter, mainly driven by sales in Vietnam, its biggest market. VinFast shares were up 10.53% in pre-market trade. Backed by Vietnam's largest conglomerate, Vingroup, VinFast continues to face challenges due to weak consumer demand, stiff competition, and a 25% tariff the U.S. has imposed on imported vehicles. VinFast previously identified the U.S. as a key growth market. The company reported a gross margin of minus 35.2% in the quarter, compared with minus 58.7% a year earlier. The firm is intensifying promotional efforts domestically, shifting to a dealership model from the costlier option of its own showrooms, and redirecting its focus to Asia , with its new assembly plant in India set to begin operations in July. Research and development expenses fell 22.3% year on year in the quarter, while the cost of sales more than doubled over the same period, it said. VinFast, which has reported a loss every quarter since it went public in August 2023, has received around $2 billion in financial support from its founder and CEO Pham Nhat Vuong and Vingroup, as of May. ELECTRIC BUSES VinFast's affordable, small VF 3 and VF 5 models were its best-selling vehicles, accounting for 68% of its domestic deliveries, chair Thuy Le said on an earnings call. The company is also looking to expand in the bus market. "We are exploring opportunities in Asia and Europe with plans to offer electric buses in 6, 8, 10, and 12 meter sizes," Le said. "We set up in Indonesia and Europe already and very soon in the Middle East and the U.S.," Le said, noting that VinFast already delivered buses in big volumes in Vietnam. The company said it would introduce its next-generation platform and an electrical architecture with the Limo Green model in the third quarter. This will underpin existing EV models next year. "While its VF3 subcompact SUV is driving volumes, the company is still losing money on every car it sells," research firm Third Bridge noted in a pre-earnings report. "The bill of materials is estimated to be significantly higher than those of Tesla and BYD , partly because VinFast lacks scale and still pays a premium to suppliers who are wary of its short track record," it said.
Yahoo
09-06-2025
- Automotive
- Yahoo
VINFAST REPORTS UNAUDITED FIRST QUARTER 2025 FINANCIAL RESULTS
SINGAPORE, June 9, 2025 /PRNewswire/ -- VinFast Auto Ltd. ("VinFast" or the "Company") (Nasdaq: VFS), a pure-play electric vehicle ("EV") manufacturer with the mission of making EVs accessible to everyone, today announced its unaudited financial results for the first quarter ended March 31, 2025. EV deliveries were 36,330 in the first quarter of 2025, representing an increase of 296% from the first quarter of 2024. Despite the typically slow first quarter for the automotive market, VinFast delivered more vehicles in Q1 2025 than in the entire first half of 2024. E-scooter deliveries were 44,904 in the first quarter of 2025, representing an increase of 473% from the first quarter of 2024. Strong Revenue Growth, Significantly Improved Margins Total revenues were VND16,306.4 billion (US$656.5 million) in the first quarter of 2025, representing an increase of 149.9% from the first quarter of 2024. VinFast recorded gross and net losses of VND5,736.5 billion (US$231.0 million) and VND17,693.8 billion (US$712.4 million), respectively. Significantly, gross profit margin improved substantially to negative 35.2%, a notable improvement compared to both Q1 2024 (negative 58.7%) and Q4 2024 (negative 79.1%). This improvement in gross margin indicates its increased operational efficiency driven by revenue growth and cost optimization. To support VinFast's continued growth, Vingroup intends to provide VinFast with additional borrowings of up to VND35,000.0 billion (US$1.4 billion) during a period from November 12, 2024 until 2026. As of May 31, 2025, Vingroup has disbursed VND30,571.3 billion (US$1.2 billion) in loans to VinFast. Pursuant to a grant agreement dated November 12, 2024, VinFast's Founder and CEO, Mr. Pham Nhat Vuong ("Mr. Pham") has committed to provide up to VND50,000.0 billion (US$2.0 billion) in free grants to VinFast and its subsidiaries. A total of VND20,500.0 billion (US$825.4 million) has been disbursed pursuant to the grant agreement as of May 31, 2025. Leading Vietnam's Green Transformation with a Diverse Product Ecosystem To drive the green revolution in cargo transport, VinFast officially launched its EC Van, a compact electric cargo vehicle. With a payload capacity exceeding 600 kg and a compact design, the EC Van offers agile operation, making it an ideal solution for short-distance deliveries for businesses and a suitable livelihood vehicle for households. The EC Van features a two-seat cabin and a rear cargo compartment with a storage volume of up to 2,600 liters. Its 17kWh usable battery capacity provides a range of 150 km per full charge. Deliveries are expected to begin in November 2025, with a starting MSRP of VND285 million (US$11,500). VinFast also announced the third addition to its portfolio of electric buses - the EB 6, a 6-meter electric bus platform with a battery capacity of 179.5kWh. The 30-occupant city bus model is expected to be available on the market in September 2025, followed by a 20-occupant shuttle/school bus model in the fourth quarter of 2025. Furthermore, VinFast plans to introduce its next-generation platforms and new Electrical/Electronic ("E/E") architecture starting with the Limo Green model in the third quarter of 2025, and extending to various existing EV models starting in 2026. Progress on Overseas Markets Indonesia: VinFast is significantly expanding its presence with a growing product lineup and a widespread sales and service network. The Company has launched sales of the VF 6, its fourth model in the market, following the VF 3, VF 5, and VF e34. The first VF 6 deliveries to customers are expected to begin in Q2 2025. To further facilitate customers' transition to green mobility, VinFast is continuously expanding its network of dealerships and service workshops through partnerships with leading reputable partners such as Amarta, Otoklix, and BOS. The Philippines: The Company signed collaboration agreements with Goodyear Philippines, Tire King and Rubber Products, Power Tread Services, and Marcjan Cavite to establish and operate service centers across the Philippines. The partnerships are expected to add over 70 authorized service workshops in 2025. India: VinFast officially launched its brand at the Bharat Mobility Global Expo 2025, introducing two electric SUV models, the VF 6 and VF 7. VinFast's CKD facility in Tamil Nadu, India, is slated to start operations in July 2025. Ongoing Operational Optimization Strategy North America and Europe: VinFast is adhering to its strategy of optimizing business operations. In Canada, the Company will close five direct-to-consumer (DTC) stores located in shopping malls and suburban areas. This decision aims to reallocate resources and enhance long-term operational efficiency. VinFast will continue to operate key showrooms in British Columbia, Ontario, and Quebec, as well as partner with reputable aftermarket service providers to ensure an excellent customer experience. In Germany and the Netherlands, the Company has started transitioning to dealers' showrooms and closed its DTC showrooms. The Company currently has two dealerships in Germany, namely Schachtschneider Automobile and Autohaus Hübsch, and has also signed an agreement with its first dealership in France, ASTRADA SIMVA. Customers in Europe can also access a network of authorized service workshops provided by VinFast partners, including ATU (Germany), Norauto (France), and LKQ (Netherlands). As of April 30, 2025, the Company had 388 showrooms globally for EVs, including VinFast's showrooms and dealer showrooms. Madam Thuy Le, Chairwoman of VinFast, said: "Despite Q1 typically being our slowest quarter, deliveries for the first quarter of 2025 exceeded our total deliveries for the first half of last year—an encouraging start to 2025 amid ongoing global uncertainties. We are beginning to see improved operating leverage as volume growth and a streamlined footprint translate into a more efficient cost structure. Looking ahead, our next-generation EV platform and E/E architecture is intended to further BOM cost optimization, enhancing product quality, performance, and affordability across our lineup." Ms. Lan Anh Nguyen, Chief Financial Officer of VinFast, added: "Our business is at an inflection point, with economies of scale beginning to drive stronger operating leverage. We have made progress in reducing both costs of vehicles sold (COGS) and operating expenses, and continue to streamline our footprint while identifying further cost-saving opportunities." Business Outlook In 2025, VinFast remains steadfast in its goal to at least double global vehicle deliveries. The Company will continue to closely monitor the evolving macroeconomic landscape to adapt its strategies accordingly. Its focus remains on key markets including Vietnam, Indonesia, the Philippines, India, North America, and Europe. Simultaneously, VinFast is actively evaluating potential new markets across Europe, Asia, the Middle East, and Africa. Beyond its diverse range of SUVs, from compact to E-SUV segments, VinFast is continuously assessing the potential for other vehicle types. This commitment underscores its mission to make electric mobility more accessible to everyone./. VinFast's management will hold a live webcast to discuss the Company's business performance and strategy. Details for the call are below: What: VinFast Q1 2025 Financial Results and Q&A Webcast When: Monday, June 9, 2025 Time: 8:00 a.m. Eastern Standard Time Live webcast: A replay of the webcast will also be made available on the Company's website. Industry and Market Data This press release contains market and industry data obtained from third-party sources and industry reports, publications, websites, and other publicly available information, including but not limited to information regarding the Company's market position and its performance compared to historical performance of other industry players. VinFast has not independently verified such third-party information, and makes no representation as to the accuracy of such third-party information. While the Company believes that the market and industry data and related statements presented in this press release are accurate, there can be no assurance as to the accuracy or completeness of such data or statements. The Company does not undertake to update or revise such data or statements. Industry and market data are subject to variations and cannot be verified due to limitations on the availability and reliability of data inputs, the nature of third-party data-gathering processes and other inherent limitations and uncertainties. Forward Looking Statements Forward-looking statements contained herein, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1955. These statements include statements regarding our future results of operations and financial position, planned products and services, business strategy and plans, objectives of management for future operations of VinFast, market size and growth opportunities, competitive position and technological and market trends and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "may," "will," "shall," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," "goal," "objective," "seeks," or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans, or intentions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: (i) the risk associated with being a growth-stage company in the EV industry; (ii) the unavailability, reduction or elimination of government and economic incentives or government policies that are favorable for EV manufacturers and buyers; (iii) Significant changes or developments in U.S. laws or policies, including changes in U.S. trade policies and tariffs and the reaction of other countries; (iv) the Company's ability to adequately control the costs associated with its operations; (v) the risks of the Company's brand, reputation, public credibility, and consumer confidence in its business being harmed by negative publicity; (vi) competition in the automotive industry; (vii) the ability of the Company to obtain components and raw materials according to schedule at acceptable prices, quality, and volumes from its suppliers;(viii) the demand for, and consumers' willingness to adopt, EVs; (ix) the availability and accessibility of EV charging stations or related infrastructure; (x) failure to remediate the Company's material weaknesses and produce timely and accurate financial statements; (xi) the ability of the Company to achieve profitability, positive cash flows from operating activities, and a net working capital surplus; (xii) the Company's ability to obtain commercially reasonable capital to support its business growth; (xiii) the risk of future restatements to the Company's Financial Statements; (xiv) the Company's reliance on financial and other support from Vingroup and its affiliates and the close association between the Company and Vingroup and its affiliates; (xv) the Company's reliance on its affiliates for its EV deliveries; (xvi) the ability of the Company's controlling shareholder to control and exert significant influence on the Company; and (xvii) other risks discussed in our reports filed or furnished to the SEC. All forward-looking statements attributable to us or people acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above. You are cautioned not to place undue reliance on any forward-looking statements, which are made only as of the date hereof. VinFast does not undertake or assume any obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions, or changes in other factors affecting forward-looking statements, except to the extent required by applicable law. If VinFast updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those or other forward-looking statements. The inclusion of any statement herein does not constitute an admission by VinFast or any other person that the events or circumstances described in such statement are material. Undue reliance should not be placed upon the forward-looking statements. Exchange Rates This announcement contains translations of certain Vietnam Dong amounts into U.S. dollars at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from Vietnam Dong to U.S. dollars were made at the rate of VND24,837 to US$1.00, representing the central exchange rate quoted by the State Bank of Vietnam Operations Centre as of March 31, 2025. The Company makes no representation that the Vietnam Dong or U.S. dollars amounts referred could be converted into U.S. dollars or Vietnam Dong, as the case may be, at any particular rate or at all. VinFast Investor Relations and Media Contacts For more information, please visit: About VinFast Auto Ltd. VinFast (NASDAQ: VFS), a subsidiary of Vingroup JSC, one of Vietnam's largest conglomerates, is a pure-play electric vehicle ("EV") manufacturer with the mission of making EVs accessible to everyone. VinFast's product lineup today includes a wide range of electric SUVs, e-scooters, e-bikes, and e-buses. VinFast is currently embarking on its next growth phase through rapid expansion of its distribution and dealership network globally and increasing its manufacturing capacities with a focus on key markets across Asia, North America and Europe. Learn more at View original content to download multimedia: SOURCE Vinfast Auto LLC Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-06-2025
- Automotive
- Yahoo
Vietnam's VinFast Burns More Cash To Spur EV Growth
Vietnamese automaker VinFast Auto (NASDAQ:VFS) shares are trading higher on Monday after the company reported its first-quarter results. The company reported a quarterly loss per share of 30 cents, which missed the analyst consensus estimate of 28 cents loss. The quarterly sales of $656.54 million (up 149.9%) beat the street view of $520.01 million. Also Read: Vehicle sales were $612.6 million, up by 164.4% Y/Y. As of April 30, 2025, the company had 388 showrooms globally for EVs and 357 showrooms and service workshops for e-scooters, including VinFast's and dealer showrooms. The company delivered 36,330 electric vehicles, representing a 296% Y/Y increase. E-scooter deliveries were 44,904 in the quarter, representing an increase of 473% Y/Y. The gross margin loss in the quarter was 35.2%, compared to the 58.7% margin loss Y/Y, which was primarily driven by the low base resulting from the recognition of a one-time expense related to VinFast's free charging program. Loss from operations was $485.6 million in the quarter of 2025, representing an increase of 20.3% Y/Y. The company burned $607.38 million in operating cash flow, up 21.39% Y/Y. The company held $180.98 million in cash and equivalents as of March 31, 2025. In its overseas operations, VinFast is optimizing its retail strategy in Europe and North America by closing some direct-to-customer showrooms and transitioning towards a dealership model, having recently signed new partners in France and Germany. The company is also expanding its service network through partnerships in Germany, France, and the Netherlands. In Asia, VinFast is strengthening its presence by launching the VF 6 in Indonesia with deliveries starting in the second quarter of 2025, and is set to significantly grow its service network in the Philippines by adding over 70 authorized workshops. Furthermore, its assembly plant in Tamil Nadu, India, is scheduled to begin operations in July 2025. To support this growth, VinFast continues to receive substantial funding from its parent company, Vingroup, and its Founder, Pham Nhat Vuong. As of May 31, 2025, Vingroup has disbursed over $1.2 billion in loans, and Pham has provided $825.4 million in grants. The company maintained its target of at least double its global deliveries in 2025 and will continue to monitor the evolving macroeconomic situation. Price Action: VFS shares are trading higher by 12.0% to $3.83 premarket at last check Monday. Read Next:Photo via Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? This article Vietnam's VinFast Burns More Cash To Spur EV Growth originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Business Times
09-06-2025
- Automotive
- Business Times
EV maker VinFast's Q1 loss widens on higher spending as deliveries rise
[BENGALURU] Vietnamese electric vehicle maker VinFast on Monday (Jun 9) reported its sixth consecutive quarterly net loss as it continues to ramp up spending to boost sales volumes. VinFast reported a net loss of US$712.4 million for the first quarter, less than the US$1.3 billion loss in the previous quarter but 15 per cent more than a year earlier. Analysts' average forecast was for a US$616.3 million loss, according to LSEG data. Revenue jumped 150 per cent to US$656.5 million in the January-to-March period, compared with analysts' average estimate of US$520 million. Deliveries leapt nearly 300 per cent to 36,330 vehicles during the quarter, mainly driven by sales in Vietnam, its biggest market. Backed by Vietnam's largest conglomerate, Vingroup, VinFast continues to face challenges due to weak consumer demand, stiff competition, and a 25 per cent tariff the US has imposed on imported vehicles. VinFast previously identified the US as a key growth market. 'Despite Q1 typically being our slowest quarter, deliveries for the first quarter of 2025 exceeded our total deliveries for the first half of last year – an encouraging start to 2025 amid ongoing global uncertainties,' said VinFast chair Thuy Le. The firm is intensifying promotional efforts domestically, shifting to a dealership model from the costlier option of its own showrooms, and redirecting its focus to Asia, with its new assembly plant in India set to begin operations in July. VinFast, which has reported a loss every quarter since it went public in August 2023, has received around US$2 billion in financial support from its founder and CEO Pham Nhat Vuong and Vingroup, as of May. REUTERS
