Report

Analyst Pin-board DPR – Expect abnormal income in Q4 2021 but stable results in 2022

  • 9M 2021 revenue reached VND 727 billion and NPAT-MI was VND 161 billion (+23% yoy). We forecast DPR to record NPAT-MI of 184 billion in Q4 (+142% yoy) and 345 billion in 2021 (+94% yoy) respectively. The sharp increase in earnings is attributed to non-core earnings from the handover of 200 hectares of land, which contributed VND160 billion to NPAT-MI). Growth in revenue and NPAT-MI in 2022 is expected to slow down, estimated at VND1.241 billion (+2% yoy) and VND350 billion (+2%).
  • DPR will increase its ownership in Dong Phu Dak Nong Rubber JSC (DPD) from 88% to 100% to complete the merger in 2021.
  • Based on the sum-of-the-part valuation method (SOTP), we estimate the target price to be VND 88,000 per share. The new cash dividend is expected in the next 12 months at VND3,000 per share. The total expected profit is about 13.8% (compared to the closing price on November 30, 2021).
Underlying
Dong Phu Rubber JSC

Dong Phu Rubber Joint Stock Company (DORUCO) is a Vietnam-based company engaged in the manufacturing of rubber products. The Company operates and manages six rubber plantations, as well as processes natural latex into rubber products for mechanical usage. DORUCO is also involved in forestation, farm operations, agricultural product processing, as well as the construction of manufacturing buildings and infrastructures. As of December 31, 2012, the Company was a 55.81%-owned subsidiary of Vietnam Rubber Industry Group, and it had three subsidiaries and two affiliates, along with six rubber plantations, two enterprises, one latex processing factory and one medical center.

Provider
Viet Dragon Securities
Viet Dragon Securities

Viet Dragon Securities belongs to top 20 biggest securities companies in terms of chartered capital in Vietnam. With a qualified, dedicated and professional team, a widespread network, advanced technology, diversified products and services, and good relationship with local and foreign institutions, we provide a wide range of services and products to our clients both individuals and institutions, both local and foreign. We commit to provide our clients with promising investment opportunities and a comprehensive and professional financial investment services.

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Analysts
Son Tran

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