July 20, 2020 NAM LONG NEWSLETTER 1 NAMLONGVN.COM “ Creating living environments with human values to the community" Stock information 20th July 2020 Unit NLG Price VND '000 25.2 Market Cap VND Billion 6,293 Outstanding Shares Shares mil 249.7 Foreign Ownership/ FOL % 48/49 52-week High/ Low VND '000 28.5/18.1 30-Day Avg. Trading Vol Share '000 1,353,693 90-Day Avg. Trading Vol Share '000 1,234,586 2020 Cash Dividend VND 1,000 2020 Stock Dividend % 5 Current 4-Quarter EPS VND 3,496 TTM PE Times 7.2 Price to Book Times 1.2 Source: Vietstock.vn Figure 1: NLG share price chart Source: Vietstock.vn Figure 2: Shareholder structure – updated 7/2020 Source: Nam Long Investment Corporation Table of Contents 1. Property Market News 2. Nam Long Investment Corporation Highlight News 3. 6M2020 Business Performance 4. 6M2020 Sales Performance 1. PROPERTY MARKET NEWS Vietnam economy grew slowly due to the effect of Covid-19: GDP of Vietnam in Q2.20 was estimated to increase by 0.36% compared to same period last year, which was the lowest growth rate of Quarter 2 in the period 2011-20. For the first 6 months, GDP reached 1.81%, which was also the lowest level of 6 months in the years 2011-20. Source: GSO Customer Price Index: the average CPI in Q2 increased by 2.83% over the same period last year, but decreased by 1.87% compared to previous quarter. On average, in the first 6 months 2020, CPI increased by 4.19% y-o-y, higher than the government target of 4%. Source: GSO Apartment market in HCMC: the number of apartment launched for sale in Q2/2020 was the lowest in the last 5 years, 1,644 units in 7 projects, decreased 54% q-o-q and 60% y-o-y. In the first half of the year, there were 5,250 units for sale and witnessed a decrease of 39% compared to same period last year. The number of apartment sold in Quarter 2 was 1,581 units, downed 58% compared to previous quarter and 66% compared to the same period last year. Source: CBRE Research Report 2. NAM LONG INVESTMENT CORP. HIGHLIGHT NEWS May 2020: In order to support sale activities and promote Waterpoint project, Nam Long launched 2 bus routes to serve customers and sale staffs, to travel between Waterpoint project and Hochiminh city. These bus routes operate on Friday, Saturday and Sunday weekly with frequency of 2 times per day. May 15 th 2020: Nam Long held a ceremony to sign a cooperation agreement with numbers of contractors supplying construction materials and services. This is an important step for Nam Long in improving project development capacity to 18,136 25,200 0 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000 8,000,000 10,000 12,000 14,000 16,000 18,000 20,000 22,000 24,000 26,000 28,000 30,000 Founders 32% Treasury shares 4% Other local 16% IBEWORTH PTE.LTD 10% PYN ELITE FUND (NON-UCITS) 7% Foreign shareholders 31% 8,874 9,562 6,000 4,124 1,644 70% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% - 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 No. of unit supply in HCMC (LHS) Absorption rate (RHS)
Transcript
July 20, 2020 NAM LONG NEWSLETTER
1 NAMLONGVN.COM “ Creating living environments with human values to the community"
Stock information
20th July 2020 Unit NLG
Price VND '000 25.2
Market Cap VND Billion 6,293
Outstanding Shares Shares mil 249.7
Foreign Ownership/ FOL % 48/49
52-week High/ Low VND '000 28.5/18.1
30-Day Avg. Trading Vol Share '000 1,353,693
90-Day Avg. Trading Vol Share '000 1,234,586
2020 Cash Dividend VND 1,000
2020 Stock Dividend % 5
Current 4-Quarter EPS VND 3,496
TTM PE Times 7.2
Price to Book Times 1.2
Source: Vietstock.vn
Figure 1: NLG share price chart
Source: Vietstock.vn
Figure 2: Shareholder structure – updated 7/2020
Source: Nam Long Investment Corporation
Table of Contents 1. Property Market News 2. Nam Long Investment Corporation Highlight News 3. 6M2020 Business Performance 4. 6M2020 Sales Performance
1. PROPERTY MARKET NEWS
Vietnam economy grew slowly due to the effect of Covid-19:
GDP of Vietnam in Q2.20 was estimated to increase by 0.36%
compared to same period last year, which was the lowest
growth rate of Quarter 2 in the period 2011-20. For the first 6
months, GDP reached 1.81%, which was also the lowest level of
6 months in the years 2011-20. Source: GSO
Customer Price Index: the average CPI in Q2 increased by 2.83%
over the same period last year, but decreased by 1.87%
compared to previous quarter. On average, in the first 6 months
2020, CPI increased by 4.19% y-o-y, higher than the government
target of 4%. Source: GSO
Apartment market in HCMC: the number of apartment
launched for sale in Q2/2020 was the lowest in the last 5 years,
1,644 units in 7 projects, decreased 54% q-o-q and 60% y-o-y.
In the first half of the year, there were 5,250 units for sale and
witnessed a decrease of 39% compared to same period last
year. The number of apartment sold in Quarter 2 was 1,581
units, downed 58% compared to previous quarter and 66%
compared to the same period last year.
Source: CBRE Research Report
2. NAM LONG INVESTMENT CORP. HIGHLIGHT NEWS
May 2020: In order to support sale activities and promote
Waterpoint project, Nam Long launched 2 bus routes to serve
customers and sale staffs, to travel between Waterpoint project
and Hochiminh city. These bus routes operate on Friday,
Saturday and Sunday weekly with frequency of 2 times per day.
May 15th 2020: Nam Long held a ceremony to sign a
cooperation agreement with numbers of contractors supplying
construction materials and services. This is an important step
for Nam Long in improving project development capacity to
18,136
25,200
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
10,000
12,000
14,000
16,000
18,000
20,000
22,000
24,000
26,000
28,000
30,000
Founders32%
Treasury shares
4%
Other local16%
IBEWORTH PTE.LTD
10%
PYN ELITE FUND (NON-UCITS)
7%
Foreign shareholders
31%
8,874 9,562
6,000
4,124
1,644
70%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
Q12016
Q22016
Q32016
Q42016
Q12017
Q22017
Q32017
Q42017
Q12018
Q22018
Q32018
Q42018
Q12019
Q22019
Q32019
Q42019
Q12020
Q22020
No. of unit supply in HCMC (LHS) Absorption rate (RHS)
July 20, 2020 NAM LONG NEWSLETTER
2 NAMLONGVN.COM “ Creating living environments with human values to the community"
Figure 3: Business performance
VND billion 6M
2019 6M
2020 %
+/-
Revenue 935 658 -30%
Product Handover 722 175 -76%
Construction & General service 192 425 121%
Project transfer 11 50 359%
Property Lend 10 8 -19%
Gross profit 345 295 -14%
After-tax shareholders 265 178 -33%
% Gross profit 37% 45%
% Net margin 28% 27%
Debt/ Owner’s Equity 16% 25%
Net debt/ Owner’s Equity -16% 3% Source: Nam Long Investment Corporation
Firgure 4: Handover products
6M 2020 Units Value
(VND billion)
Flora Novia 37 63
Shophouse Nguyên Sơn 17 43
EhomeS Nam Saigon 5 4
Landlot Dalia Garden 3 9
Valora Kikyo 3 8
Landlot Long An 36ha 1 43
EhomeS Phú Hữu (lease) 4
Total 66 175 Source: Nam Long Investment Corporation
6 NAMLONGVN.COM “ Creating living environments with human values to the community"
WATERPOINT FREE SHUTTLE BUS ROUTE FROM DISTRICT 1, HCMC
WATERPOINT FREE SHUTTLE BUS ROUTE FROM DISTRICT 7, HCMC
July 20, 2020 NAM LONG NEWSLETTER
7 NAMLONGVN.COM “ Creating living environments with human values to the community"
CURRENT PROJECT PORTFOLIO
Disclaimer: This newsletter is prepared by Nam Long Investment Corporation (NLG) to provide short & quick updates for investors regarding status of operation, investment, project development, and strategic decisions from the Board of Directors, Board of Management of NLG. It must be stressed that this report/ or all opinion, information stated is not offer or advice to buy or sell NLG shares. Therefore, this report should be best considered a reference only. NLG does not bear any responsibillionity for the accuracy of the material posted or the information contained therein, or for any consequences arising from its use.
