SMC has established a Debt Management Board to address accounts receivable and liquidity issues. The steel trading company has faced challenges since 2022 when the market declined, accumulating bad debts totaling 1,322 billion VND. By Q3 2025, this figure was reduced to 858 billion VND after offsetting debts with real estate. However, financial pressure remains high, with total assets of 4,371 billion VND, liabilities of 3,720 billion VND, and loans of 2,294 billion VND. To improve cash flow, SMC has sold assets and transferred land usage rights in several areas, while halting expansion projects. The company also experienced significant personnel changes, planning to dismiss some Board members amid ongoing difficulties. SMC is striving to manage its finances to recover operations.
Leave a Reply