THINH AN INDUSTRY AND TRADING JOINT STOCK COMPANY

Operating from Nam Dinh Province, THINH AN INDUSTRY AND TRADING JOINT STOCK COMPANY (CÔNG TY CỔ PHẦN CÔNG NGHIỆP VÀ THƯƠNG MẠI THỊNH AN) has become a recognizable name in inland freight water transport, while also engaging in construction, shipbuilding, and vehicle trading. With a diversified license portfolio and a moderately sized team of 65 employees, the company is led by General Director Mr. Tran A. T.and operates under Business ID 0600418857.

The company witnessed strong growth in 2022 but faced a sharp downturn in 2023:

• Sales declined 20.8%, falling to USD 115.28 million

• Profit dropped 43.87%, reaching USD 662,916

• Assets shrank drastically by 61.09%, signaling potential asset liquidation or project downsizing

• Equity also fell 21.03%, reducing to USD 5.74 million

Despite its high revenue scale, working capital is limited to USD 1.31 million, which could affect short-term solvency. The volatility in asset structure and earnings raises red flags for long-term financial consistency.

Risk Mitigation Suggestions:

• Monitor Credit Terms Closely: Avoid extending long payment cycles; use cash-on-delivery or upfront deposits for large-volume orders.

• Request Updated Financials: Given the sharp YoY fluctuations, updated quarterly financials or interim statements should be requested before committing to contracts.

• Structure Contracts in Milestones: For large projects or transport arrangements, break deliverables into phases with tied payments to minimize exposure.

• Verify Asset Backing: If collateral or guarantees are involved, ensure the pledged assets still exist and haven’t been liquidated or depreciated significantly.

While THINH AN shows potential in revenue scale and sector diversity, the recent financial downturn in 2023 highlights a need for caution. Business partners are advised to employ tight financial controls and maintain conservative risk buffers when engaging with the company.