Market value is comparable to Ideal Car! VinFast continues to suffer huge losses, how long can it hold on?
Recently, VinFast's stock price has plummeted, falling by about 9% this week, a decrease of 83% from its historical high of $93 shortly after the SPAC merger.
Vietnamese electric vehicle startup VinFast Auto incurred huge losses in the second quarter.
Recently, VinFast's stock price plummeted, falling about 9% this week, a decline of 83% from its historical high of $93 shortly after the SPAC merger. However, VinFast's market value still stands at $36.4 billion, an increase of over 50% compared to the stock price of about $10 at the end of the merger.
Continued Massive Losses
VinFast reported a net loss of approximately $514 million in the second quarter, with sales of about $307 million based on the current exchange rate.
VinFast reported a net loss of $579 million in the first quarter of 2022 and $560 million in the second quarter.
The company just completed the SPAC merger in August 2022, resulting in significant changes in the outstanding shares.
The second-quarter loss per share was approximately 22 cents.
Significant Increase in Deliveries
VinFast delivered 9,535 electric vehicles in the second quarter, higher than the 1,780 vehicles in the first quarter and the 1,789 electric vehicles in the second quarter of 2022.
Most of the vehicles in the second quarter were delivered to a taxi company controlled by VinFast's parent company, Vingroup, called Green and Smart Mobility, which purchased over 7,000 electric vehicles in 2023.
The company also delivered 10,182 electric scooters in the second quarter, higher than the 9,757 scooters delivered in the first quarter but lower than the 15,299 scooters delivered in the second quarter of 2022.
Expected Annual Delivery of 40,000-50,000 Electric Vehicles
This is the company's first quarter as a public company, and there are no analyst reports available for reference.
Investors may anticipate losses, which is not surprising considering the company's scale.
Looking ahead, VinFast expects to deliver 40,000 to 50,000 "vehicles" in 2023. It is not clear from the information released whether this figure includes electric scooters.
Based on estimates, it is likely that electric scooters are not included, as VinFast delivered approximately 31,000 vehicles in the first half of 2023, with electric vehicle deliveries reaching 11,315 units.