We participated in VinFast’s (Nasdaq: VFS) Q2 2024 earnings call held on September 20. The main updates include a recap of H1 2024 results and the business outlook for H2 2024.

Management reaffirmed its 2024G delivery guidance of 80,000 EVs, citing the company’s diverse EV product portfolio, access to multiple markets, and ongoing execution plans as supporting factors. Management also expects growth momentum in the Vietnam market (its main market) mainly driven by the deliveries of affordable models VF 5 and VF 3 in H2 2024G, which will offset near-term uncertainty in other markets. Management maintains its expectation that the company will break even in gross margin in 2025G and EBITDA in 2026G. 

Previously, in June-July 2024, VFS revised its initial business plans including (1) lowering the 2024G delivery target from 100,000 to 80,000 units and (2) capital reallocation plans, resulting in a delayed operational timeline for its US factory and an accelerated schedule for completely knocked-down (CKD) facilities in India and Indonesia. 

Powered by Froala Editor