PHUC THANH VINH RUBBER CO., LTD. (CÔNG TY TNHH CAO SU PHÚC THÀNH VINH) is a privately held Vietnamese company operating in the primary manufacturing of synthetic rubber and plastic materials. Legally established on June 12, 2002, with a Business ID and Tax Code of 3700424190, the company has over two decades of operational history, but recent financial data suggests significant concerns about profitability and equity erosion, despite growth in assets and revenue.

Headquartered in Tan My Commune, North Tan Uyen District, Binh Duong Province, the company operates as a limited liability company, with a charter and paid-up capital of USD 4.93 million. The company employs about 120 workers, indicating a moderately sized operation for a specialized manufacturer. It is led by Director Mr. NGUYEN THANH TUAN, who also owns 90% of the shares, with the remaining 10% held by Ms. NGUYEN THI HAI NGUYET. The Chief Financial Officer, Ms. NGUYEN THI THANH TUYEN, is responsible for financial oversight.

PHUC THANH VINH RUBBER CO., LTD. specializes in the manufacturing of plastics and synthetic rubber in primary forms, but it also holds licenses for an unusually broad range of business activities, including construction, transport logistics, quarrying, and various wholesale trades. While such diversification might be intended to spread risk or utilize excess capital, it also raises questions about focus, expertise, and managerial bandwidth.

The company’s financial data for 2023 presents a mixed but generally concerning picture. Total assets nearly doubled to USD 87.55 million, a 99.46% year-over-year increase, reflecting substantial capital investment or asset revaluation. Revenue also increased to USD 255.36 million, up 15.41% from 2022. However, these top-line gains were not matched by bottom-line performance. The company recorded a net loss of USD 937,551, which, though smaller than the USD 1.4 million loss in 2022, still reflects persistent unprofitability.

More alarming is the steady decline in owner’s equity, which dropped to just USD 1.59 million, down 38.56% year-over-year. The company’s working capital stands at negative USD 27.62 million, which raises major red flags regarding liquidity and the ability to meet short-term obligations. This suggests either aggressive leverage or poor cash flow management, both of which could endanger operational sustainability.

Although the company remains legally active and continues to grow in terms of revenue and assets, the sharp erosion of equity and sustained losses point to underlying structural issues. Whether it's due to high operational costs, mismanagement of diversified business lines, or unstable market demand, the data indicates a company under financial strain despite appearing robust on the surface.

For potential lenders, suppliers, or partners, it is strongly advised to conduct independent business verification before engagement. VANGUARD BUSINESS INFORMATION LLC (VBI) provides comprehensive company reports, risk assessments, and credit evaluations for companies like PHUC THANH VINH RUBBER CO., LTD. These insights are critical when working with firms whose financial health may be obscured by growth metrics alone. More about VBI’s verification and risk intelligence services can be found at https://www.vnbis.com.

In conclusion, PHUC THANH VINH RUBBER CO., LTD. presents a case of rapid asset and revenue growth undermined by negative profitability and shrinking equity. The situation calls for cautious optimism, enhanced transparency, and thorough due diligence for any business transactions.