MWG - TGDD & DMX slow; BHX sales per store increase

- MWG released its H1 2022 results, including revenue of VND70.8tn (USD3.1bn; +13% YoY) and NPAT-MI of VND2.6tn (USD112mn; +1% YoY), completing 46% and 40% of our respective full-year forecasts. We see potential downside risk to our current projections, pending a more extensive review.

- In Q2 2022, MWG’s revenue was VND34.3tn (USD1.5bn; +8% YoY) with NPAT-MI of VND1.1tn (USD49.2mn; -7% YoY).

- The Gioi Di Dong (TGDD) and Dien May Xanh’s (DMX) aggregate revenue advanced 11.3% YoY in Q2 2022 mainly thanks to (1) a 58% YoY surge in online sales whose revenue accounted for 15% of TGDD and DMX’s combined revenue, (2) the continued rollout of super-mini-DMX stores (120-150 sqm/store) whose revenue was VND2.7tn (USD116mn — equivalent to 10% of TGDD and DMX’s combined revenue) in Q2 2022, and (3) the continued opening of TopZone stores whose revenue was VND530bn (USD23mn) and store count was 50 as of end-Q2 2022.