VCG Flash note – BUY

VIET NAM CONSTRUCTION AND IMPORT – EXPORT JSC (VCG VN)

VCG held its 2026 Annual General Meeting with the following key points:

– 2026 Business plan: VCG adopts a prudent outlook for 2026, targeting revenue of VND15.4 tn (-22% YoY) and NPAT of VND1.04 tn (-73% YoY) given a significant one-off gain at the Cat Ba Amatina project in 2025. Core growth drivers:

+Construction & public investment: Backlog remains robust at ~VND16.8 tn, including ~VND10.9 tn from public infrastructure, while the company is positioning to participate in large-scale national projects such as the North–South high-speed railway and Ninh Thuan nuclear power.

+ Real estate: Earnings visibility is supported by remaining revenue recognition at Cho Mo project (~VND540 bn in 2026), of which VND300 bn was recorded in 1Q2026 and the remainder is expected to be recorded in 2Q2026. Key projects are progressing, including Dong Anh Industrial Park (site clearance from May 2026), Son Dong cluster (completion of site clearance by end-2026), and Hoa Binh Boulevard (Mong Cai), which has begun generating sales of over VND200 bn. Additionally, the planned acquisition of 24% stake in Giay Thuong Dinh provides optionality for residential project development in prime locations in Hanoi.

2025 Dividend policy: 16% in total which includes 8% of stock dividend and 8% of cash dividend.

1Q2026 performance: VCG reported revenue of VND3.7 tn (+43% YoY) and NPAT of VND381 bn (+197% YoY). Newly signed contracts included Tu Lien bridge access road (~VND110 bn) and power works for Ha Giang – Tuyen Quang expressway (~VND50 bn). For 2026, new contract value is targeted at VND4–6 tn (public investment) and VND 2–3 tn (FDI projects).

Quick comment: We forecast 2026 revenue of VND16.5 tn (+3% YoY) and NPATMI of VND1.05 tn (-69% YoY), driven by construction, real estate, and financial investments. We maintain our BUY recommendation with a target price of VND28,000 per share by end-2026.