Hoa Sen was the largest supplier of galvanized steel sheets in November with its sales amounting to 127,995mt or 36pc of the market share.
According to the Vietnam Steel Association (VSA), in November, its member companies sold a total of 356,027mt of galvanized steel sheet, up nearly 5pc from the previous month.
Out of total sales, the largest proportion of around 73,200mt was exported market on strong overseas demand. In the domestic market, demand from the southern region was the highest, where 33,000mt of steel was consumed.
In November, Hoa Sen produced 143,583mt of corrugated iron, containing 68,100mt of galvanized steel, followed by 50,343mt Al-Zn alloy consisting of 25,146mt of color coated steel. The total inventory of steel sheet at the end of November was nearly 85,000mt.
Along with corrugated iron, Hoa Sen sold more than 47,600mt of steel pipes in November, up 48pc from October. In terms of steel production, Hoa Sen is the second-largest group. Hoa Phat group remains the largest while Minh Ngoc and Nam Kim companies are below Hoa Sen.
In the first 11 months of 2020, the steelmaker sold over 1.18mn mt of galvanized steel sheet, with a 33.4pc market share in the Vietnamese market. The group’s market share in November rose than the previous months of 2020. Out of total sales in Jan-Nov, Hoa Sen sold 388,477mt of steel pipes accounting for 16.7pc market share.
The steelmaker saw increased profits with inventories declining and receivables going up in the second half of 2020. From Oct 1, 2019, to Sept 30, 2020, net revenue reached VND27,531bn, 98pc of what was forecasted by the company. The cost of goods sold decreased by 8pc, and gross profit increased by 45pc to VND4,627bn. By the end of November, the ratio of debt to total capital reached 63pc, down from 68pc a year ago.
In October 2019, Hoa Sen announced expected net revenue of VND27,538bn, and profit after tax is to reach VND1,100bn. Consumption is estimated to reach over 1.62mn mt in 2020, up by 9pc compared to the previous year.
In the July-Sept quarter, sales by Hoa Sen reached 525,300mt, up 46pc over the same period; net revenue was VND8,349bn, up by 31pc, and profit after tax was VND400bn, up 376pc.
Recently, Danieli Centro has completed the up-gradation project for continuous galvanizing line #2 at Hoa Sen Dong Hoi plant in the Nghe Non-province of Vietnam. The project looked to enhance overall line performances, strip coating quality, and reduce operational costs.