After 46 years of operation, Construction Joint Stock Company 47 (HSX: C47) has become a prestigious brand in many irrigation, hydropower, civil and industrial projects across the country.
The journey to affirm the brand in the market
Highly appreciated by partners for applying new technology to the construction process, CC47 is currently the leading company using roller compacted concrete (RCC) technology, tunneling technology using TBM Tunneling Robots. … at many key projects worth thousands of billions of dong. Statistics show that CC47 has completed more than 30 irrigation and hydropower projects worth more than 20,000 billion VND in the last 15 years. The capacity of CC47 has been proven through technical parameters such as soil and rock excavation capacity of 4 million m3/year, concrete capacity of 1.5 million m3/year, capacity of sand and gravel supply of 1.3 million m3/year…
CC47, in addition to its primary activities in the construction industry, also invests in restaurants, hotels, travel and tourism, motorcycle repair and overhaul businesses, and manufactures mechanical engineering products, concrete products… Currently, this company owns 100% of the Hai Au 4-star standard hotel (169 rooms), Hai Au Bien Cuong 3-star hotel (80 rooms) in Quy Nhon, and a serviced motel, restaurant, and eco-tourism area in Binh Dinh. In the field of production, training and labor export, CC47 currently owns 100% of Phuoc An Enterprise (Phuoc An Industrial Complex), training center (Quy Nhon)… These businesses also make a significant contribution to the company’s annual revenue.
Quickly adapting to new business conditions – CC47’s survival problem
Mr. Pham Nam Phong, Chairman of the Board of Directors of CC47, spoke about CC47’s positive results in responding quickly to new business conditions in the face of the Covid-19 pandemic. This is also the time that he was elected for the new term 2020-2025. In 2020, the company’s sales totaled 1,233 billion VND, with a profit after tax of more than 21.7 billion VND. In the first six months of 2021, total revenue was VND 572 billion, and profit after tax was VND 17.1 billion, representing 52 percent of the revenue plan and 55 percent of the profit plan for the year. The rapid application of technology to management and supervision, the implementation of an ERP system, the optimization of production and business efficiency, cost reduction, particularly interest expense, and other factors contributed to the profit in the first six months of the year. CC47 prices in 2021 increased by 29.45 percent compared to the same period in 2020.
In 2021, besides many large hydropower projects such as Bac Ai hydropower plant (Ninh Thuan), Da Nhim expanded hydropower plant (Lam Dong), Dong Mit irrigation (Binh Dinh) … CC47 has also commenced and implemented the construction of expanded Hoa Binh hydropower projects (Hoa Binh), Dong Mit hydropower projects (Binh Dinh), repairing and improving safety of WB8 dam (Lam Dong) and continue to commence construction of Phu Phong rolling weir project (Binh Dinh) in October 2021. The total value of new works started in 2021 exceeds VND 1,500 billion, and the total value of bidding packages to be participated in at the end of 2021 and in 2022 exceeds VND 5,000 billion.
Strategic vision for the period 2021-2025
Having worked as a manager in foreign corporations and businesses in the energy industry, Mr. Pham Nam Phong and the members of the new Board of Directors have applied various innovations, vision and business philosophy for CC47. In the period of 2021 – 2025, with the advantage of construction capacity of large and diversified projects in technology, especially with the Government’s policy of promoting public investment, CC47 will have opportunities to participate in many projects such as projects using ODA loans; projects under medium-term bond capital 2021-2025 in the irrigation – transportation – infrastructure sectors; irrigation projects funded by the state budget in the Central – Central Highlands region; new and expanded hydropower projects in the country and neighboring countries. With a total investment capital of projects estimated at more than 200 trillion, it will open up new development opportunities for CC47.
Besides the traditional business segments, the company will promote participation in new segments to gradually increase the proportion of revenue. Participation in highway projects; anti-flood, anti-salinity projects, embankments to prevent rivers and seas; Metro project; airport and port infrastructure; renewable power plant projects; Projects of civil buildings, factories, industrial park infrastructure… will be targeted by CC47 to expand operations.
From 2022, the company is expected to set an average growth rate of 25% per year in both revenue and profit, aiming for sales of over VND 3,000 billion by 2025, soon reaching a market capitalization of VND trillion, becoming a listed company with medium-capitalization (MidCap) and high liquidity on the Ho Chi Minh Stock Exchange, strengthening investor relations (IR) activities, providing transparent and timely information, and striving to maintain a high dividend payout ratio and bonus shares averaging over 15% per year in the next few years.
In the increasingly complicated Covid-19 context, CC47 is confident to achieve much more fruitful success on the basis of its experience and previous accomplishments.
C47