Leading international finance publication Euromoney has picked Vietnam’s Hoa Sen Group as the best managed company in Asia in the metals and mining sector for 2014.
Marcus Langston, regional head of Euromoney Asia, presented the award to Hoa Sen chairman Le Phuoc Vu during the company’s annual general meeting on January 8, two days before the winner was announced globally.
Vu remarked on the occasion, “It seems that the award has come from the sky, we are so surprised to know this. But I think we deserve this win after our continual efforts over many years to pursue good governance, transparency and a clear strategy.”
Langston said his presence was aimed at “recognising Hoa Sen’s great achievements in the 2014 poll of equity analysts. This is an outstanding achievement in management strategy and corporate governance.”
“Hoa Sen’s pioneering of advanced technologies has maximised value for shareholders, employees and society, and it is set to achieve its vision of becoming a leading group in Vietnam and throughout Asia,” he added.
Langston’s analysts of the poll looked at a number of factors, including management accessibility and corporate governance procedures.
“Analysts praised Hoa Sen for its leading role in promoting transparent communication with investors as well as its clear strategy and good visibility. Analysts also noted that Hoa Sen senior management continues to demonstrate prudent gearing, transparency, and a clear articulation of strategy,” Langston continued.
He added that Euromoney received replies from 130 analysts who nominated 207 companies, with Hoa Sen coming in an impressive first.
Hoa Sen reported impressive growth in after-tax profits, 58 per cent, for the fiscal year 2012-2013 despite many challenges facing the domestic steel sector. It announced at the shareholders’ meeting that profits topped VND581 billion ($27.67 million).
In 2013 the group posted total sales of more than 634,000 tonnes of steel products earning revenues of over VND11.7 trillion ($577 million). These figures jumped 32 and 17 per cent on-year. About 280,000 tonnes were shipped to 40 countries and territories, garnering almost $252 million.
Vu said that in the coming time Hoa Sen would continue to expand into regional countries by opening more plants and representative offices in South East Asia.
For 2014, Hoa Sen expects revenues of VND14 trillion ($666.7 million) with after-tax profits of VND600 billion ($28.6 million).
By Tuong Thuy