VinFast first passes 10k vehicle delivery mark
Vinfast delivered 10,027 electric cars between July and September, reaching a five-digit figure for the first time. Specifically, the company recorded around 5.2 per cent more deliveries than in the second quarter (9,535). The manufacturer’s turnover in the third quarter amounted to the equivalent of 325 million euros, the net loss to 591 million euros. While turnover grew by only 3.8 per cent compared to the previous quarter, the net loss increased by 19.7 per cent. A year ago – in Q3 2022 – VinFast’s sales figures were still very much going: 153 vehicles stand in the statistics for the YoY comparison.
In the spring, the Vietnamese electric car maker had secured up to $2.5 billion in fresh capital to drive its global expansion: $1.5 billion in grants from parent group Vingroup and its chairman Pham Nhat Vuong. Another billion over five years in loans from Vingroup. VinFast received some of this money, according to its annual report. Another $240 million or so was received in Q3 from the SPAC transaction (the US IPO was in August 2023) and a private strategic investment from Gotion. The manufacturer’s cash and cash equivalents amounted to the equivalent of 124 million euros as of 30 September 2023, according to its own information.
VinFast’s goal is to offer its vehicles in up to 50 global markets and countries by the end of 2024. In the current financial year, the company aims to continue delivering 40,000 to 50,000 vehicles. Order books for the VF 6 are due to open in the home market on 20 October, with the launch of the VF 7 and VF 3 models to follow in 2024.
Ms Thuy Le, Global Chief Executive Officer of VinFast, commented: “This is the first quarter that VinFast was listed on the Nasdaq and complies with reporting and disclosure standards required for foreign companies listed in the US. We have inspirational and ambitious plans to build a greener future for everyone. The successes achieved in the past two quarters are just the first stepping stone. We have come up with a concrete action plan to deliver on each growth milestone and to accelerate our global expansion.”
David Mansfield, Chief Financial Officer, added: “We see strong momentum in our business, supported by growing delivery volumes, increased revenues, and an improved path to profitability. We are focused on our cost cutting initiatives, optimizing return on capital invested, and switching towards a capital-light distribution model.” VinFast is on track to meet its shipment guidance and well positioned to expand in strategic markets such as Indonesia and India, he said. “We received significant funding in the third quarter from Vingroup and Chairman Pham Nhat Vuong and will continue to look for opportunities to strengthen our strong balance sheet to support growth and achieve further success.”
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