TVP STEEL JOINT STOCK COMPANY

TVP STEEL JOINT STOCK COMPANY (CÔNG TY CỔ PHẦN THÉP TVP): A Private Steel Producer with Expanding Assets and Shrinking Profits

USD 472 Million in Sales – 500 Employees – Sharp Decline in Earnings Amid Rising Revenue

TVP STEEL JOINT STOCK COMPANY, headquartered in Bến Lức District, Long An Province, is a notable name in Vietnam’s southern steel manufacturing sector. Operating since 2010 under Business ID and Tax Code: 1100598716, the company specializes in the production and distribution of galvanized and color-coated steel sheets, steel plates, and steel tubes, serving both domestic infrastructure and construction needs.

Its operational model is built around vertical integration, including machinery installation, casting, transportation, and wholesale distribution of metal products. With a charter capital of USD 65.73 million fully paid-up, TVP STEEL positions itself as a mid-sized but strategically significant player in Vietnam’s steel value chain.

Financial Overview: Growing Scale, Declining Profitability

In 2023, TVP STEEL JOINT STOCK COMPANY reported total assets of USD 290.95 million, a sharp 37% increase compared to the previous year—indicating strong investment in inventory, production capacity, or capital infrastructure. Revenue also climbed by 21.45%, reaching USD 472.52 million, a new high for the company.

However, this growth came at the cost of earnings. Net profit plummeted by 96.16%, down to just USD 70,454, compared to USD 1.84 million in 2022 and nearly USD 19.6 million in 2021. This drop, despite rising sales, points to shrinking margins—potentially from rising input costs, pricing competition, or inefficiencies in operations.

The owner’s equity remained stable at USD 67.79 million, showing only a marginal increase from 2022. However, the company recorded negative working capital of USD -1.31 million, which could raise concerns about liquidity, short-term debt repayment ability, or cash flow pressures.

Leadership and Ownership

The company is chaired by Mr. Mai Tri Hieu, who also holds the largest individual share at 44.76%, followed by Ms. Ninh Thi Bich Thuy (33.77%), and Phuc Long Co., Ltd. (19.38%). Other shareholders hold minor stakes, with control largely consolidated within the founding family and strategic partners.

Mr. Ngo Ngoc Anh, the Director, oversees daily operations and coordinates between manufacturing and distribution divisions. The company employs approximately 500 staff members, making it a sizable employer within Long An’s industrial ecosystem.

Market Position and Business Lines

TVP STEEL’s product offerings target Vietnam’s growing construction and real estate sectors. With licenses across metal casting, plastic product manufacturing, industrial machinery installation, and freight transport, the company has diversified operations to support its steel core. This diversification may provide some insulation from cyclical fluctuations in steel prices or construction demand.

Assessing Financial Risk and Long-Term Viability

Despite impressive asset and revenue growth, TVP STEEL JOINT STOCK COMPANY’s profitability trend poses a significant concern. Stakeholders—including suppliers, investors, and creditors—should consider conducting deeper due diligence to evaluate the company’s cash flow stability, debt management, and operational efficiency.

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Conclusion

TVP STEEL JOINT STOCK COMPANY remains a recognized brand in Vietnam’s steel manufacturing industry, backed by strong sales and expanding physical assets. However, the dramatic fall in profit despite record-high revenue is a red flag that warrants attention. Moving forward, a return to profit-focused discipline—alongside improved working capital management—will be key to sustaining the company’s long-term competitiveness in a volatile and margin-sensitive industry.