HANG XANH MOTORS SERVICE JOINT STOCK COMPANY

HANG XANH MOTORS SERVICE JOINT STOCK COMPANY (CÔNG TY CỔ PHẦN DỊCH VỤ Ô TÔ HÀNG XANH), better known by its stock symbol HAX, has been active in Vietnam’s automotive distribution sector since 2000. The company is publicly listed on the Ho Chi Minh Stock Exchange and operates from its headquarters at 333 Dien Bien Phu Street, Binh Thanh District, Ho Chi Minh City. It specializes in wholesale vehicle trading and related services, with several showrooms in major southern cities like Ho Chi Minh and Can Tho.

As of 2024, the company reported USD 226.5 million in total sales, up 58 percent year over year, showing strong recovery after a steep decline in 2023. Profit also rebounded to USD 8.36 million, a significant improvement compared to the mere USD 1.35 million in 2023. Equity rose to USD 61.24 million, and total assets recovered to USD 98.97 million, reflecting renewed operational momentum. Working capital stood at USD 16.35 million, giving it some breathing room on short-term liquidity.

But behind the recovery, the numbers tell a cautionary tale. Just one year earlier, sales had dropped by nearly half, and profit had plummeted by 86 percent. The company’s performance is volatile and highly exposed to shifts in Vietnam’s automotive consumption cycle and global vehicle supply chains. This level of fluctuation creates a difficult environment for long-term forecasting and credit assessment.

In terms of leadership and ownership, there is limited transparency. Despite being publicly held, almost 95 percent of shares are grouped under “other shareholders,” with no single entity holding a substantial disclosed stake. The management team is also only partially visible in disclosures, with Tran Q. H. serving as Deputy General Director and Chu T. N. H. as Financial Director. No current Chairman or CEO is explicitly listed, which raises red flags in terms of corporate governance disclosure, especially for a listed company.

Another issue is the company's slim margin relative to revenue. Even in a rebound year, profit was only 3.7 percent of sales, which is thin considering the high-value nature of the goods being traded. This suggests either aggressive pricing, rising costs, or inefficiencies in sales or after-sales operations.

HANG XANH MOTORS SERVICE JOINT STOCK COMPANY may be a well-known brand in Vietnam’s car dealership sector, but its financial and governance profile demands a cautious approach. For creditors, suppliers, and investors, the main concerns lie in volatility, lack of ownership clarity, and narrow profit margins. While 2024 looks like a comeback year, it would be unwise to assume stability is guaranteed. Any engagement with HAX should include tight payment terms, ongoing performance monitoring, and special attention to leadership accountability and shareholder transparency.