CTD - Gross margin improves QoQ, but EBIT continues to fall in Q2

- CTD reported Q2 2023 revenue of VND3.6tn (USD153.3mn; +16% QoQ & +10% YoY) and NPAT-MI of VND30bn (USD1.3mn; +37% QoQ) vs a net loss of VND24bn (USD1.0mn) in Q2 2022.

- CTD’s gross margin improved to 2.8% in Q2 2023 from a low of 1.8% in Q1 2023. However, SG&A expenses on sales climbed to 3.3% in Q2 2023 from 2.3% in Q1 2023, resulting in another quarter of EBIT loss.

- For H1 2023, CTD reported revenue of VND6.7tn (USD286.0mn; +30% YoY) and NPAT-MI of VND52bn vs VND5bn (USD0.2mn) in H1 2022. Strong financial income was the main contributor to CTD’s H1 2023 net profit.