Analysis of business results & financial statements · Quý 1/2026
▼▼ Declining sharply
Trailing net profit reached 30.4bn, fell 31.1bn compared with the same period last year. Key positives came from lower minority interests, lower tax, and higher associates income. Offsetting pressure came mainly from higher finance costs, higher selling expenses, lower financial income, and higher administrative expenses. Detailed impact is shown below:
See what is changing ↓- P/E
- -11.36x
- P/B
- 0.14x
- EPS
- -154
- BVPS
- 12,646
- ROE
- -1.2%
- ROA
- -0.9%
- Market price
- 1,750 16 Oct 2026
The current picture
What Is Changing
On a TTM 2026Q1 basis, TSC posted a very sharp profit drop versus the same period, showing that pressure has clearly fed through to the bottom line. More notably, profit is significantly supported by non-core sources and operating cash flow is not yet positive — the earnings quality picture needs close monitoring.
Profit bridge
Vs last year · TTM
- Minority interests
- Tax
- Associates income
- Finance costs
- Selling expenses
- Financial income
- Administrative expenses
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 | 156.7 | 157.1 | 200.7 | 206.0 | 183.6 | 169.1 | 161.8 | 168.2 |
| LNST | -9.9 | -37.6 | 12.7 | 12.3 | 8.4 | 11.8 | 0.7 | 10.8 |
| Net margin | -6.32% | -23.93% | 6.32% | 5.98% | 4.58% | 6.96% | 0.41% | 6.40% |
Revenue
157bnNet income
-10bnNet margin
-6.32%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 under pressure while earnings still rely significantly on non-core sources.
What is driving the margin?
▼▼Net margin fell to −3.12%, losing 7.8pp. The main pressure comes from Gross margin fell 1.7pp and SG&A / Revenue rose 1.1pp (with lingering pressure from Net financial result / Revenue fell 5.8pp).
The pressure comes from non-core items while core operations hold their rhythm — margin has a basis to recover once this factor passes.
- Net Margin
- −3.12% −7.8pp
- Gross Margin
- 21.26% −1.7pp
- SG&A / Revenue
- 24.10% +1.1pp
- Non-core / Revenue
- 2.37% −6.6pp
TTM YoY · 2025Q1 -> 2026Q1
Even though contribution decreased by 6.6pp, financial result still accounts for 40.5% of PBT — earnings durability should be monitored in coming periods.
Is capital being used efficiently?
Capital efficiency is declining — check whether the drag is from margins or turnover.
Is capital being deployed efficiently?
▼ROIC narrowed to 0.11%, falling 1.0pp. That translates to 0.11 in after-tax operating profit for every 100 units of operating capital. The main pressure came from NOPAT margin narrowed 3.9pp, outweighing the movement in capital turnover; while invested capital rose by 412bn.
Pressure came from the margin side — core operations are weakening, not just a temporary asset-management issue.
ROIC is currently 0.11% — below the typical cost-of-capital threshold; worth tracking whether upcoming periods can rise above this level.
Balance Sheet
▲ROIC declined — the balance sheet shows how capital is being deployed. Capital structure is conservative with low leverage — liabilities at 0.42x equity, net debt at 0.37x equity.
None
Over the last 12 months, working capital released 632.6bn of cash, mainly thanks to lower receivables and higher payables. Pressure from higher inventories only partly offset that benefit.
Working Capital Efficiency
▼Cash conversion cycle lengthened by 6.1 days versus the same period last year. The main moves came from DIO rose 13.8 days, DSO fell 0.4 days, and DPO rose 7.3 days.
Working capital cycle lengthened mainly due to slower inventory turnover — more capital is being tied up in inventory.
CCC is up by +6.1 days, indicating weaker working-capital turnover versus the prior year.
DIO increased by +13.8 days, suggesting more capital is being tied up in inventories.
DuPont
What drives ROE?
ROE fell from 1.3% to −0.9% — dragged by net margin and asset turnover.
Is financial risk significant?
Financial risk is low — leverage is safe, both CFO and FCF are positive.
Leverage & Liquidity
▼▼Leverage warrants monitoring, with net debt / equity at 0.37x and interest coverage only at −0.12x.
At present, short-term debt accounts for 70.0% of total debt, cash equals 6.2% of debt, and total debt stands at 969.2bn.
Interest coverage is −0.12x, leaving limited room to absorb financing costs.
Short-term debt accounts for 70.0% of total debt, raising near-term refinancing needs.
- Net Debt / Equity
- 0.37x +0.23x
- Interest Coverage
- −0.12x −4.75x
- Cash / Debt
- 6.2% +1.7pp
- Short-term Debt / Total Debt
- 70.0% +28.8pp
TTM YoY · 2025Q1 -> 2026Q1
Cash Flow
▲▲With safe leverage noted above, cash flow below shows the self-funding capacity. Operating cash flow reached 675.3bn in 2025, against investing cash flow of -1,192.9bn.
Post-investment cash flow was negative +517.6bn. Financing cash flow was positive +529.5bn.
CFO / net income was −22,69 lần.
After spending +126.0bn on fixed-asset investment, the business generated trailing free cash flow of +564.0bn.
In summary
Research synthesis
What this reporting period is showing
The business is showing a few weaker signals, but the current magnitude is not yet clear enough to conclude that this is a broader weakening phase. The brighter spot is cash generation. The next item to monitor is the earnings mix, when non-core contribution is −245.4%. The main risk still sits in core profitability, with net margin down 7.8 pp.
- Improvement: cash generation is recovering, with trailing-12M FCF improving by 788.7bn versus the same period last year.
- Watchpoint: the earnings mix still needs monitoring, with net financial result still accounting for −245.4% of PBT and CFO / net income currently at −22.69x.
- Key risk: profitability remains under pressure, with trailing-12M net margin at -3.12% after a 7.8pp decline versus the same period last year.
What to verify next
Questions for the next period
Durability of revenue growth after the current +5,6% YoY pace.
Ability to hold margins around the current -3.12% level.
Cash-flow quality, with operating cash flow currently at 675.3bn in 2025.
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