{"id":59046,"date":"2020-05-04T17:45:40","date_gmt":"2020-05-04T10:45:40","guid":{"rendered":"https:\/\/yuanta.com.vn\/?post_type=phan-tich&#038;p=59046"},"modified":"2020-06-05T14:47:45","modified_gmt":"2020-06-05T07:47:45","slug":"59046","status":"publish","type":"phan-tich","link":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046","title":{"rendered":"POW: Unrealized FX loss eroded 1Q20 profit"},"content":{"rendered":"<p><strong>Event <\/strong><\/p>\n<p>POW\u2019s 1Q20 PATMI fell by 49.5% YoY to reach VND444bn. The decline was mainly attributable to revenue and margin contraction and unrealized FX losses<\/p>\n<p><strong>Details<\/strong><\/p>\n<p>1Q20 revenue decreased 5.5% YoY to VND7,975bn. Total output fell by 4.3% YoY to 5,267 mn kWh. According to the company\u2019s report, coal power revenue increased, offsetting revenue declines from gas-fired (due to gas supply) and hydropower (due to ongoing draught conditions). Revenue at the Vung Ang coal-fired plant rose by 46% YoY to VND2,718 bn, accounting for 34.1% of total revenue; its output volume rose by 50% YoY to 1850 mn kWh.<\/p>\n<p>Gross profit margin fell to just 12.8%, down from 15.6% in 1Q19. Net financial expenses increased by 46% YoY to VND324bn, although interest expenses fell by 15.8% YoY to just VND244bn. This was mainly due to unrealized FX losses of VND136bn, up from nearly zero in the same period last year. Thus, 1Q20 PATMI declined by 49.5% YoY to reach VND444bn despite a 32.5% YoY fall in SG&amp;A to VND82.3bn.<\/p>\n<p>Significant de-gearing. POW has reduced its leverage significantly, with its net debt falling by 37% YoY to VND10,719bn. The company\u2019s net debt to equity ratio has thus fallen to 36% from 61% in 1Q19. Currently, POW has VND13,442bn in long-term debt, of which 64% (VND8,538bn) is denominated in USD and 5% (VND763bn) is denominated in euros.<\/p>\n<p>FY2020 guidance revisit. POW fulfilled 22.5% of its 2020E revenue guidance of VND 35,449 bn and 25% of its 2020E profit before tax guidance of VND 2,395 bn, which is -23.8% YoY lower than PBT in 2019. POW plans medium maintenance at the NT1 and NT2 gas-fired power plants and the Dakdrinh hydropower plant in 2020.<\/p>\n<p><strong>Our view <\/strong><\/p>\n<p>We reiterate BUY with target price of 17,457. At today close, POW\u2019s share price has rebounded 11.3% since our last report and it is now trading at an attractive 0.7x 2020 book value. Our forecasts and target price are currently under review<\/p>\n<p>For the complete report, please access here: <a href=\"http:\/\/yuanta-uat.ysvn.com.vn\/wp-content\/uploads\/2020\/05\/20200504-POW-1Q20-results-edited.pdf\">20200504 POW 1Q20 results-edited<\/a><\/p>\n<p><strong>Analyst: Binh Truong,<\/strong> <em>binh.truong@yuanta.com.vn<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Event POW\u2019s 1Q20 PATMI fell by 49.5% YoY to reach VND444bn. The decline was mainly attributable to revenue and margin contraction and unrealized FX losses Details 1Q20 revenue decreased 5.5% YoY to VND7,975bn. Total output fell by 4.3% YoY to 5,267 mn kWh. According to the company\u2019s report, coal power revenue increased, offsetting revenue declines&#8230;<\/p>\n","protected":false},"author":10,"featured_media":0,"template":"","class_list":["post-59046","phan-tich","type-phan-tich","status-publish","hentry"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.3 (Yoast SEO v23.4) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>POW: Unrealized FX loss eroded 1Q20 profit | Yuanta Vietnam<\/title>\n<meta name=\"description\" content=\"Event POW\u2019s 1Q20 PATMI fell by 49.5% YoY to reach VND444bn. The decline was mainly attributable to revenue and margin contraction and unrealized FX losses\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"POW: Unrealized FX loss eroded 1Q20 profit\" \/>\n<meta property=\"og:description\" content=\"Event POW\u2019s 1Q20 PATMI fell by 49.5% YoY to reach VND444bn. The decline was mainly attributable to revenue and margin contraction and unrealized FX losses\" \/>\n<meta property=\"og:url\" content=\"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046\" \/>\n<meta property=\"og:site_name\" content=\"Yuanta Vietnam\" \/>\n<meta property=\"article:modified_time\" content=\"2020-06-05T07:47:45+00:00\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046\",\"url\":\"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046\",\"name\":\"POW: Unrealized FX loss eroded 1Q20 profit | Yuanta Vietnam\",\"isPartOf\":{\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/#website\"},\"datePublished\":\"2020-05-04T10:45:40+00:00\",\"dateModified\":\"2020-06-05T07:47:45+00:00\",\"description\":\"Event POW\u2019s 1Q20 PATMI fell by 49.5% YoY to reach VND444bn. The decline was mainly attributable to revenue and margin contraction and unrealized FX losses\",\"breadcrumb\":{\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/yuanta-uat.ysvn.com.vn\/en\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Analysis\",\"item\":\"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"POW: Unrealized FX loss eroded 1Q20 profit\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/#website\",\"url\":\"https:\/\/yuanta-uat.ysvn.com.vn\/\",\"name\":\"Yuanta Vietnam\",\"description\":\"Asia&#039;s leading Financial Holding Group and Securities Firm\",\"publisher\":{\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/yuanta-uat.ysvn.com.vn\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/#organization\",\"name\":\"Yuanta Vietnam\",\"url\":\"https:\/\/yuanta-uat.ysvn.com.vn\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/#\/schema\/logo\/image\/\",\"url\":\"http:\/\/yuanta-uat.ysvn.com.vn\/wp-content\/uploads\/2018\/03\/favicon.png\",\"contentUrl\":\"http:\/\/yuanta-uat.ysvn.com.vn\/wp-content\/uploads\/2018\/03\/favicon.png\",\"width\":33,\"height\":32,\"caption\":\"Yuanta Vietnam\"},\"image\":{\"@id\":\"https:\/\/yuanta-uat.ysvn.com.vn\/#\/schema\/logo\/image\/\"}}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"POW: Unrealized FX loss eroded 1Q20 profit | Yuanta Vietnam","description":"Event POW\u2019s 1Q20 PATMI fell by 49.5% YoY to reach VND444bn. The decline was mainly attributable to revenue and margin contraction and unrealized FX losses","robots":{"index":"noindex","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"og_locale":"en_US","og_type":"article","og_title":"POW: Unrealized FX loss eroded 1Q20 profit","og_description":"Event POW\u2019s 1Q20 PATMI fell by 49.5% YoY to reach VND444bn. The decline was mainly attributable to revenue and margin contraction and unrealized FX losses","og_url":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046","og_site_name":"Yuanta Vietnam","article_modified_time":"2020-06-05T07:47:45+00:00","twitter_card":"summary_large_image","twitter_misc":{"Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046","url":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046","name":"POW: Unrealized FX loss eroded 1Q20 profit | Yuanta Vietnam","isPartOf":{"@id":"https:\/\/yuanta-uat.ysvn.com.vn\/#website"},"datePublished":"2020-05-04T10:45:40+00:00","dateModified":"2020-06-05T07:47:45+00:00","description":"Event POW\u2019s 1Q20 PATMI fell by 49.5% YoY to reach VND444bn. The decline was mainly attributable to revenue and margin contraction and unrealized FX losses","breadcrumb":{"@id":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis\/59046#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/yuanta-uat.ysvn.com.vn\/en"},{"@type":"ListItem","position":2,"name":"Analysis","item":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/analysis"},{"@type":"ListItem","position":3,"name":"POW: Unrealized FX loss eroded 1Q20 profit"}]},{"@type":"WebSite","@id":"https:\/\/yuanta-uat.ysvn.com.vn\/#website","url":"https:\/\/yuanta-uat.ysvn.com.vn\/","name":"Yuanta Vietnam","description":"Asia&#039;s leading Financial Holding Group and Securities Firm","publisher":{"@id":"https:\/\/yuanta-uat.ysvn.com.vn\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/yuanta-uat.ysvn.com.vn\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/yuanta-uat.ysvn.com.vn\/#organization","name":"Yuanta Vietnam","url":"https:\/\/yuanta-uat.ysvn.com.vn\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/yuanta-uat.ysvn.com.vn\/#\/schema\/logo\/image\/","url":"http:\/\/yuanta-uat.ysvn.com.vn\/wp-content\/uploads\/2018\/03\/favicon.png","contentUrl":"http:\/\/yuanta-uat.ysvn.com.vn\/wp-content\/uploads\/2018\/03\/favicon.png","width":33,"height":32,"caption":"Yuanta Vietnam"},"image":{"@id":"https:\/\/yuanta-uat.ysvn.com.vn\/#\/schema\/logo\/image\/"}}]}},"_links":{"self":[{"href":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/wp-json\/wp\/v2\/phan-tich\/59046","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/wp-json\/wp\/v2\/phan-tich"}],"about":[{"href":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/wp-json\/wp\/v2\/types\/phan-tich"}],"author":[{"embeddable":true,"href":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/wp-json\/wp\/v2\/users\/10"}],"version-history":[{"count":0,"href":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/wp-json\/wp\/v2\/phan-tich\/59046\/revisions"}],"wp:attachment":[{"href":"https:\/\/yuanta-uat.ysvn.com.vn\/en\/wp-json\/wp\/v2\/media?parent=59046"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}