Chairman Loc Troi: Postponing the announcement of financial reports due to force majeure events

Loc Troi Group wants to postpone the announcement of the financial report for the second quarter of 2024 by 1 month compared to regulations - Photo: LT

Loc Troi Group Joint Stock Company (LTG) has just sent a document to the State Securities Commission and Hanoi Stock Exchange requesting to postpone the announcement of the financial report for the second quarter of 2024.

Mr. Huynh Van Thon - Chairman of LTG, said that the company is facing some force majeure events that require it to increase the stability of capital flow for production and business activities, and all staff must focus on handling immediate financial issues.

In addition, LTG's 2024 annual general meeting of shareholders will also be held later than previous years.

After the congress, the group encountered some personnel changes, changing some key personnel, which affected the progress of synthesizing and providing data to complete the financial report for the second quarter of 2024 on time.

According to this document, Loc Troi's leaders want to postpone the announcement of the second quarter financial report until August 30, 2024. According to current regulations, by July 31, 2024, public enterprises must submit their second quarter financial reports this year.

Chairman of Loc Troi Group Huynh Van Thon

Regarding personnel issues, Loc Troi Group dismissed Mr. Nguyen Duy Thuan from his position as general director since July 15.

Mr. Huynh Van Thon, Chairman of the Board of Directors, will temporarily run the business until a new CEO is appointed.

Previously, the group was also involved in a scandal over owing farmers money for winter-spring rice. However, by the end of May, the company had paid off its debt to farmers.

Regarding business situation, Loc Troi's first quarter 2024 financial report shows that the profit of the "big guy" of rice in the Western region is not very positive despite increased revenue.

Specifically, in the first quarter, Loc Troi's net revenue reached 3,848 billion VND, up 57% over the same period. Of which, revenue from rice accounted for the majority with 3,285 billion VND, the rest from selling pesticides, seeds, packaging, etc.

However, the cost of goods sold accounted for 3,603 billion VND (nearly 94%), up 65% over the same period and higher than the revenue growth rate. Therefore, the group's gross profit decreased by 10%, to only 245 billion VND.

With a net loss in exchange rate, high interest expense, and negative net profit from business, Loc Troi reported a loss after tax of more than VND 96 billion, an increase compared to the -81 billion VND in the same period.

The rice giant's business results will decline starting from 2023, when after-tax profit will only reach 16.5 billion VND, down 96% compared to 2022. Data shows that from 2008 to 2022, Loc Troi's net profit was several hundred billion VND.

Of which, Loc Troi reached its peak profit after tax in 2014 with more than 502 billion VND. By 2022, it would still reach more than 411 billion VND with an accumulated profit of more than 1,000 billion VND.

Difficult business, Loc Troi shares "evaporate" sharply

Currently, LTG shares of Loc Troi Group are trading on the UpCOM floor. At the end of the session on August 2, the market price of each share of this famous large rice enterprise was 15,200 VND, down nearly 31% after 1 month and nearly 52% after 1 year.

Loc Troi, formerly An Giang Plant Protection Joint Stock Company, was established in 1993. The Group operates mainly in the fields of producing plant protection chemicals, trading chemicals, seeds, processing rice for export...

Source: https://tuoitre.vn/chu-tich-loc-troi-hoan-cong-bo-bao-cao-tai-chinh-vi-gap-su-kien-bat-kha-khang-20240803084921224.htm