A wind power company lost hundreds of billions, debt 19 times greater than equity

(Dan Tri) - The largest wind power plant in Soc Trang (old) is having an accumulated loss of more than 493 billion VND.

Hoa Dong 2 Wind Power Company Limited has just released its semi-annual business report on the Hanoi Stock Exchange (HNX), continuing to record a loss of more than 114 billion VND, extending the previous 2-year streak of heavy losses.

As of June 30, the company's accumulated losses had accumulated to more than VND493 billion. As a result, the company's equity decreased to about VND145 billion, down nearly 61% compared to the beginning of the period.

The company's total liabilities are currently over VND2,800 billion. Of which, bank loans have skyrocketed from VND817 billion to over VND2,713 billion. The company has written off all bond debt.

Due to prolonged losses, the debt/equity ratio increased significantly, from 7.65 times in the first half of 2024 to more than 19.4 times in the first half of this year.

Hoa Dong 2 Wind Power Company Limited continues to suffer losses (Photo: Screenshot of report from HNX).

Hoa Dong 2 Wind Power Company Limited is the investor of the wind power plant project of the same name, with a capacity of 72 MW in Vinh Chau town, Soc Trang province (formerly, now part of Can Tho city), with a total investment capital of 3,168 billion VND.

Construction of the factory started in April 2021, and by October 2021, the 220 Kv power line had been completed and the transformer station was energized into the 220 Kv power line.

In the period of 2021-2023, Hoa Dong 2 Wind Power has issued many bonds to mobilize investment capital for the above-mentioned wind power plant. The project will be put into operation from the end of 2023.

Source: https://dantri.com.vn/kinh-doanh/mot-doanh-nghiep-dien-gio-lo-tram-ty-no-gap-19-lan-von-chu-so-huu-20250922093827346.htm