Ha Do Group (HDG) recently announced its audited consolidated financial report for 2024, which shows that pre-tax profit dropped to 572.8 billion VND, a decrease of 307 billion VND (35%) compared to its self-reported figures due to increased management and other costs. Net profit also fell by 48% to 348 billion VND. The main reason is related to contingency expenses for the Hong Phong 4 Solar Power Project, including 209 billion VND in short-term provisions. This project, approved in 2018, is under government inspection for compliance with energy planning. Additionally, Vietnam Electricity is reviewing the conditions for receiving preferential rates for solar projects, which could lead to adjustments in the electricity selling price for Ha Do. Previously, securities companies pointed out that the necessary provisions for the project were higher than recorded amounts, putting the company in financial difficulty.
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