A report from the State Capital Management Committee at Enterprises shows that, amid the Covid-19 pandemic, the US-China trade war, the price of crude oil dropping sharply and natural disasters led to most enterprises under the Committee being severely affected, especially PVN, Petrolimex, Vietnam Airlines.

Many enterprises under the Capital Management Committee are
negatively affected in 2020. Source: Internet.

Profit before tax equal to 33% compared to 2019

On the afternoon of January 11, the Committee for State Capital Management at Enterprises organized a review of its work in 2020 and directions and tasks for 2021.

Regarding the results of the performance of production and business tasks of 19 groups and affiliated corporations, the Committee's report stated that total export turnover of some major products in 2020 enterprises of nearly US$1,340 billion.

Regarding the results of production and business activities, with electricity, production and import of the whole system was estimated at 245.1 billion kWh, up 2.14% over the same period a year earlier.

Raw coal production was estimated at 38.5 million tons, reaching 95% of the year plan, up by 95% over the same period, down 1.9 million tons over the same period. Crude oil exploitation is expected to reach 11.29 million tons, exceeding 6.3% of the year plan.

For transportation, the aviation industry is estimated to transport 14.2 million passengers, equaling 98.3% of the year plan and 62.2% compared to 2019; transporting 189.6 tons of goods, equaling 92.6% of the year plan and 54.6% over the same period.

Coffee bean exports totalled 9,778.54 tons, equal to 48.89% of the year plan and by 22.43% over the same period. Rice exports reached 973,187 tons.

Regarding the sale of capital, in 2020, SCIC has divested seven enterprises with a total value of VND826 billion on the total book value of VND392 billion, surplus of VND434 billion, 2.1 times the cost of goods.

Regarding the financial ratios of the parent companies of groups and corporations, the Capital Management Committee also said that the total revenue of 19 enterprises was estimated at VND767,844.37 billion, equal to 87.36% of the plan by 2020 and by 85.72% compared to 2019.

Profit before tax of 19 enterprises was estimated at VND21,068.51 billion, equal to 69.9% of the plan in 2020 and equal to 32.91% compared to 2019.

Total payment to the state budget of 17 out of 19 enterprises is estimated at VND56,387.14 billion, equal to 112% of the plan in 2020 and equal to 79.3% compared to 2019.

Total assets of parent companies of 15 out of 19 enterprises were estimated at VND1,543,867.06 billion, an increase of 4.59% compared to 2019. Parent company equity of 15 out of 17 groups and corporations was estimated at VND825,595.26 billion, down 1.19% compared to 2019.

Some enterprises with high rate of return/equity (ROE) in 2020 such as: VNPT, Mobifone; SCIC. Some enterprises with high growth rates of profit compared to 2019 such as: SCIC, VNPT; VRG.

Low investment disbursement

The report of the Committee also shows that, on investment and development, investment implementation value, the disbursement rate of investment plans of all groups and corporations is low compared to the plan due to the delay of implementation and payment of projects to focus resources to cope with the effects of the Covid-19 pandemic and other factors.

Some groups and corporations have good investment value amid the Covid-19 pandemic, such as EVN is estimated at VND82,500 billion (88.5% of the plan); VNPT is estimated at VND9,350 billion (85% of the plan); MobiFone disbursed 74%; TKV is estimated at VND10,700 billion (68% of the plan).

Although the target of development investment plan in 2020 has not been achieved, many key investment projects have been approved and implemented.

Assessing the existence and limitation of production, business and development investment activities of 19 groups and corporations, the Capital Management Committee emphasized that, due to the impact of the pandemic, the majority of corporations have not fulfilled the targets of revenue, profit, payment to the State budget and the 2020 investment and development plan assigned by the Committee. Many key investment projects are behind schedule by 6 months - 1 year compared to the plan.

The restructuring, equitization, and divestment of capital in groups and corporations are generally still slow compared to the requirements. Rearranging houses and land still faces many difficulties and problems. The transfer of the rights to represent the owners of state capital in enterprises to SCIC is still slow.

One of the difficulties and problems mentioned by the Committee is that of the unclear and unspecific regulations on equitization, divestment, and corporate restructuring, the number of houses and land establishments by enterprises management and use throughout the country leads to no further guarantee of equitization as prescribed.

Besides, problems related to legal regulations related to the implementation of investment projects using ODA and concessional loans; the policy on investment in gas, LNG, and hydropower projects to expand is not specific and clear.