Analysis of business results & financial statements · Quý 1/2026
● Maintaining
Trailing net profit reached 626.3bn, rose 54.4bn compared with the same period last year. Key positives came from lower selling expenses, better other profit, and lower finance costs. Offsetting pressure came mainly from lower gross profit, higher administrative expenses, lower financial income, and higher tax. Detailed impact is shown below:
See what is changing ↓- P/E
- 10.31x
- P/B
- 0.57x
- EPS
- 1,009
- BVPS
- 18,320
- ROE
- 5.6%
- ROA
- 3.1%
- Market price
- 10,400 16 Oct 2026
The current picture
What Is Changing
On a TTM 2026Q1 basis, HSG is in an offsetting state — revenue softened slightly but margins improved — margins have been expanding consistently over multiple periods. What is still missing is a signal strong enough to tilt this picture clearly in either direction.
Profit bridge
Vs last year · TTM
- Selling expenses
- Other profit
- Finance costs
- Gross profit
- Administrative expenses
- Financial income
- Tax
Across periods
A single data point, or a trajectory?
Latest eight quarters · Quý 1/2026
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 8,383.1 | 8,356.6 | 9,509.2 | 8,451.9 | 10,221.7 | 10,108.7 | 10,840.4 | 9,248.2 |
| LNST | 62.4 | 84.7 | 273.8 | 205.4 | 165.5 | -185.9 | 273.4 | 318.9 |
| Net margin | 0.74% | 1.01% | 2.88% | 2.43% | 1.62% | -1.84% | 2.52% | 3.45% |
Revenue
8,383bnNet income
62bnNet margin
0.74%Inside the statements
A closer look at what is happening inside the business
A company's statements are read with the questions that fit its type of business.
Is the profit sustainable?
Margins are improving and earnings quality is solid — a durable foundation for ROE.
What is driving the margin?
●Net margin edged up to 1.80%, rising 0.4pp. Core operating signals are improving as Gross margin rose 1.1pp are enough to offset pressure from SG&A / Revenue rose 0.5pp (in addition, Other profit / Revenue rose 0.1pp added support while Net financial result / Revenue fell 0.1pp remained a drag).
The improvement comes from core operations — this is a high-quality margin expansion.
- Net Margin
- 1.80% +0.4pp
- Gross Margin
- 12.24% +1.1pp
- SG&A / Revenue
- 10.41% +0.5pp
TTM YoY · 2025Q1 -> 2026Q1
Is capital being used efficiently?
Evaluate capital, asset, and working-capital efficiency.
Is capital being deployed efficiently?
●ROIC stands at 3.42%, broadly flat versus the same period. That translates to 3.42 in after-tax operating profit for every 100 units of operating capital. NOPAT margin rose 0.3pp, but capital turnover fell 0.58x, while invested capital rose by 1,396bn — the two factors are offsetting each other, keeping overall ROIC nearly unchanged.
Overall ROIC is flat while internal components are moving — watch which side becomes dominant in coming periods.
ROIC is currently 3.42% — below the typical cost-of-capital threshold; worth tracking whether upcoming periods can rise above this level.
Balance Sheet
▲Capital structure is conservative with low leverage — liabilities at 0.67x equity, net debt at 0.46x equity.
Inventory ended the period at 8,203.7bn, roughly 43.3% of total assets.
Over the last 12 months, working capital released 1,458.5bn of cash, mainly thanks to lower inventories and higher payables. Pressure from higher receivables only partly offset that benefit.
Working Capital Efficiency
▼The inventory build-up noted above is reflected in a longer cash cycle. Cash conversion cycle lengthened by 21.5 days versus the same period last year. The main moves came from DIO rose 25.3 days, DSO rose 0.6 days, and DPO rose 4.3 days.
Working capital cycle lengthened mainly due to slower inventory turnover — more capital is being tied up in inventory.
CCC stands at 112.0 days, suggesting that working capital remains tied up for a relatively long operating cycle.
DSO increased by +0.6 days, pointing to slower receivables turnover.
DuPont
What drives ROE?
ROE is broadly flat at 5.6% — the components are offsetting one another.
Is financial risk significant?
Leverage is safe but FCF is negative at 93.3bn due to capex of 2,840.8bn — an investment choice, not an urgent risk.
Leverage & Liquidity
●Leverage is balanced for now, with net debt / equity at 0.46x and interest coverage at 2.43x.
At present, short-term debt accounts for 100.0% of total debt, cash equals 14.0% of debt, and total debt stands at 6,143.2bn.
Short-term debt accounts for 100.0% of total debt, raising near-term refinancing needs.
Cash / debt stands at 14.0%, leaving limited liquidity buffer to monitor.
- Net Debt / Equity
- 0.46x +0.02x
- Interest Coverage
- 2.43x +0.37x
- Cash / Debt
- 14.0% −9.4pp
- Short-term Debt / Total Debt
- 100.0% 0.0pp
TTM YoY · 2025Q1 -> 2026Q1
Cash Flow
▲With safe leverage noted above, cash flow below shows the self-funding capacity. Operating cash flow reached 3,685.2bn in 2025, against investing cash flow of -2,616.7bn.
Post-investment cash flow was positive +1,068.5bn. Financing cash flow was negative +1,242.4bn.
CFO / net income was 4,39 lần.
After spending +2,840.8bn on fixed-asset investment, the business generated trailing free cash flow of −93.3bn.
In summary
Research synthesis
What this reporting period is showing
The business is balanced but not yet fully stable — some components are moving the right way while others still need monitoring. This is a state to keep watching, with not enough signal to tilt the thesis either way. The brighter spot is earnings conversion is confirmed, with CFO/NI at 4.39x. The main risk still sits in capital efficiency remains weak, with ROIC at 3.4%.
- Improvement: earnings conversion looks more confirmed, with CFO / net income at 4.39x.
- Key risk: Capital efficiency remains weak.
What to verify next
Questions for the next period
Ability to stabilize revenue after a −14,1% YoY decline.
Ability to hold margins around the current 1.80% level.
Cash-flow quality, with operating cash flow currently at 3,685.2bn in 2025.
From one stock to the whole portfolio
Where does this stock stand
among the rest of your investments?
Each stock is only one part of the wider picture. Looking at investments side by side makes their contribution, risks and opportunities across the portfolio clearer.
How much does this stock
contribute to the portfolio?
Its weight and influence across the assets held for investment.
Is the portfolio
well balanced?
How holdings, sectors and asset groups are distributed in relation to overall risk.
What other opportunities
or risks may be present?
What becomes visible only when investments are viewed together rather than one ticker at a time.