DRC released Q1 2021 results in which revenue increased 13.6% YoY to VND912bn (USD39mn) and NPAT-MI jumped
70.1% to VND64bn (USD2.78mn). We attribute the leap in revenue to the solid growth in both bias tire and radial tire revenue in Q1 2021 of 15.8% YoY and 13.9% YoY, respectively. DRC’s NPAT-MI surged 70.1% YoY in Q1 2021 on the back of a gross margin expansion to 18.2% vs 14.7% in Q1 2020. The jump in earnings was also supported by lower financial expense