The Research and Product Development Department published the CTF Company Report, with essensial information presented below:
Potential Catalysts:
Automotive market’s inherent resilience, coupled with regulatory measures promised by management authorities, holds promise for the second half of 2023 with significantly positive signals that lay the groundwork for a return to a growth trajectory.
The expansion of showroom system in the South of Vietnam will facilitate the increase of sales volume, create a new driver for the long-term development of the company.
Some investment risks
Vietnamese consumer spending has still been undergoing significant reduction although different actions have been made by SBV and the government to support the automotive industry, resulting in lower-than-expectation actual business performance of CTF for the year 2023.
The monetary policy of leading central banks, especially Fed, is still complicated to predict the next action, meaning that the residual space for SBV to continue the loose monetary policy is lower, affecting the demand of customers towards luxury products like car.
At the end of quarter II/2023, CTF’s financial borrowings are VND 1,819 billion. With the loan interest rate still remains at a high level, this can be an unavoidable impact factor to the financial performance of CTF for the year 2023.
