Vinhomes, one of the leading real estate developers in Vietnam, is expected to launch three major new projects in the second half of 2024 which is forecasted to significantly boost the company's sales and profits for the year.

According to the 2024 strategy report of VNDirect Research, the analysts predict that Vinhomes' revenue in 2024 will increase 10.5% year-on-year to VND 119,261 billion while net profit for the full year 2024 is estimated to rise 15.1% compared to 2023 to reach nearly VND 43,538 billion. This optimistic outlook is underpinned mainly by the planned launch of three major new townships - Vinhomes Vu Yen project in Hai Phong covering 877 hectares, Vinhomes Co Loa project in Hanoi spanning 385 hectares, and Vinhomes Wonder Park also in Hanoi over 133 hectares during the second half of 2024. 

VNDirect Research also expects Vinhomes' contract sales to jump 29.4% in 2024 contributed by the new projects as well as remaining low-rise homes in Vinhomes Ocean Park 2 and 3 townships. Among the existing projects, Vinhomes Ocean Park 2 and 3 are estimated to account for 14% and 37% of Vinhomes' total contract value respectively in 2024. Encouragingly, Vinhomes achieved a record-high quarterly contract sales of over VND 30,300 billion in Q4/2023, rising impressively 68.3% year-on-year, driven by various block sales during the period.

Financially, Vinhomes is judged to be in a robust position compared to peers in the industry. As of the end of Q3/2023, the company's net debt-to-equity ratio stood at a moderate 0.2 times only, much lower than the industry average of 0.5 times. Vinhomes has consistently maintained its net debt-to-equity at 0.1-0.2 times in the past 3 years. In addition, its interest coverage ratio was as high as 21.2 times in the first 9 months of 2023, far higher than the industry average of 2.1 times.

In 2023, Vinhomes posted consolidated revenue of VND 103,334 billion, up 65.6% year-on-year but below target by 3.7% due to lower-than-expected sales in Q4. However, its full-year net profit increased 14.9% to VND 33,126 billion, in line with guidance. Total contract sales in 2023 fell 32.1% to VND 87 trillion from a record-high base in 2022 when Vinhomes Ocean Park 2 was first launched. Looking ahead, with three new large-scale townships to be launched in the second half of 2024, Vinhomes is well-positioned to accelerate its top and bottom line growth next year.