HYUNDAI THANH CONG COMMERCIAL VEHICLE JSC: Strong Brand, Weakening Financials — A Risk-Monitoring Necessity

HYUNDAI THANH CONG COMMERCIAL VEHICLE JOINT STOCK COMPANY (Vietnamese name: CÔNG TY CỔ PHẦN HYUNDAI THÀNH CÔNG THƯƠNG MẠI) is a prominent player in Vietnam’s commercial vehicle market, responsible for distributing Hyundai-branded coaches, buses, and trucks. The company operates from Gian Khau Industrial Park, Ninh Binh Province, with offices in Hanoi and Ho Chi Minh City. It is jointly owned by HYUNDAI MOTOR COMPANY (50%) and unidentified local stakeholders. The business is registered under Tax Code (TIN): 2700824888.

With over 8 years of operation since its founding in July 2016, the company is chaired by Mr. Nguyen Anh Tu, with Mr. Kang Seong Gi serving as General Director. It operates with a lean team of 100 employees, maintaining focus on wholesale distribution and manufacturing support of motor vehicles and their components.

Performance Overview: Profitable But Under Pressure

In 2023, HYUNDAI THANH CONG COMMERCIAL VEHICLE JSC reported:

• Revenue of USD 242.36 million, down 14.77% from the previous year.

• Net profit of USD 11.35 million, a significant 35.24% drop year-over-year.

• Total assets improved by 5.95% to USD 204.99 million.

• Owner’s equity rose 17.53%, reaching USD 76.14 million, backed by retained earnings.

While the balance sheet remains solid with USD 77.22 million in working capital, the declining top and bottom lines are serious signals. This erosion in sales and profit likely reflects market saturation, pricing pressure, or softening demand for Hyundai commercial vehicles.

Risks and Concerns

• The company’s profitability is weakening rapidly, losing more than a third of its profit in just one year.

• Revenue contraction undermines scalability and may reduce negotiating power in regional supply chains.

• Ownership opacity on the domestic side (only Hyundai's 50% stake is disclosed) raises concerns about transparency and governance.

• A workforce of only 100 employees may signal operational over-reliance on third parties or limited in-house capability for aftersales, which is critical in the commercial vehicle sector.

Final Assessment

HYUNDAI THANH CONG COMMERCIAL VEHICLE JSC remains a strategically important distributor with strong brand leverage via Hyundai. However, the firm’s shrinking profitability, revenue decline, and ownership obscurity highlight risks that business partners and stakeholders should not overlook.

Before engaging further, request a full financial audit and operational assessment. For verified credit insights, governance evaluation, and competitor benchmarking, rely on VANGUARD BUSINESS INFORMATION LLC (VBI).