Trailing net profit reached 91.8bn, fell 61.9bn compared with the same period last year. Key positives came from lower finance costs, lower tax, and lower minority interests. Offsetting pressure came mainly from lower gross profit, lower financial income, weaker other profit, and higher administrative expenses. Detailed impact is shown below:

Is growth real and durable?

Trailing-12-month revenue declined 8.6% year on year — but the quarterly pace is slowing (−6% → −21%).

1 of the last 4 quarters grew year on year.

Net margin fell to 5.74%, losing 3.3pp. The main pressure comes from Gross margin fell 1.9pp and SG&A / Revenue rose 1.0pp (in addition, Net financial result / Revenue rose 0.1pp added support while Other profit / Revenue fell 0.5pp remained a drag).

The pressure comes from core operations — this is a concerning type of decline, not a one-off movement.

Is profit converting into cash?

With leverage safe, cash flow shows the self-funding capacity. Operating cash flow reached 119.8bn against investing cash flow of -30.3bn (annual cash-flow figures for 2025).

Post-investment cash flow was positive +89.5bn. Financing cash flow was negative +98.2bn.

CFO / net income was 1,51 lần.

After spending +116.5bn on fixed-asset investment, the business generated trailing free cash flow of +22.2bn.

How much income is non-core?

Non-core income makes up 10.6% of pre-tax profit — worth monitoring.

Within that, net financial result at +7.5%, other profit at +3.1% of PBT.

ROIC fell to 12.13%, losing 9.8pp. That translates to 12.13 in after-tax operating profit for every 100 units of operating capital. Both NOPAT margin narrowed 2.9pp and capital turnover fell 0.44x, while invested capital rose by 80bn — pressure came from both operational efficiency and asset efficiency.

Both margin and turnover weakened — this is a broad-based decline, and cyclical versus structural components need to be separated.

Rising inventory is showing up in a longer cash cycle. Cash conversion cycle lengthened by 5.2 days versus the same period last year. The main moves came from DIO rose 0.8 days, DSO rose 2.7 days, and DPO fell 1.7 days.

All 3 drivers are deteriorating — working capital is becoming more deeply tied up in the operating cycle.

Leverage looks fairly comfortable, with net debt / equity at 0.22x and interest coverage at 5.13x.

At present, short-term debt accounts for 100.0% of total debt, cash equals 26.8% of debt, and total debt stands at 208.8bn.

The balance sheet shows capital-allocation efficiency slipping. Capital structure is conservative with low leverage — liabilities at 0.63x equity, net debt at 0.22x equity.

Inventory ended the period at 236.4bn, roughly 20.3% of total assets.

Over the last 12 months, working capital released 32.3bn of cash, mainly thanks to lower receivables and lower inventories. Pressure from lower payables only partly offset that benefit.