SD4

Sông Đà 4 ·UPCOM ·2026Q1

▲ Showing improvement

Operating efficiency is improving Net margin −69.92%, +21.09pp YoY
Price
2,300
Latest close
22 May 2026
P/E -20.34x
P/B -1.91x
EPS -113
BVPS -1,204
ROE 9.6%
ROA -0.2%
Profit Margin -0.7%
Asset Turnover 0.27x
Equity Mult. -51.67x

TTM · Applied to: EPS, ROE, ROA, Net Margin, Asset Turnover, Debt/Equity

What Is Changing

On a TTM 2026Q1 basis, SD4 has not accelerated revenue sharply, but profitability is improving visibly — profit is at an all-time high. More notably, profit relies heavily on non-core sources while operating cash flow is negative — these two factors together suggest earnings quality needs cautious evaluation.

TTM REVENUE
VND 166bn
+14.1%YoY
NET MARGIN
−0.70%
+21.1ppYoY
TTM NET PROFIT
−VND 1bn
+96.3%YoY
Net financial result / PBT
1148.2%
affects earnings quality
Metric Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24 Q4'23 Q3'23 Q2'23
Revenue 70.0 30.4 31.5 34.3 20.7 57.2 41.6 26.2 41.0 66.1 118.0 83.8
Growth +130% -4% -8% +65% -64% +38% +59% -36% -38% -44% +41% —
Net Income 0.8 2.5 -3.8 -0.6 -4.1 -9.6 -0.6 -17.5 -14.1 -93.2 -13.6 -29.5
Net Margin 1.07% 8.27% -12.08% -1.80% -19.56% -16.73% -1.43% -66.96% -34.40% -140.99% -11.54% -35.18%

Drivers of SD4's profit

TTM

Net profit attributable to parent increased vs last year, mainly helped by higher gross profit. Supporting and offsetting drivers:

Gross profit ↑ 29.1bn
Financial income ↑ 8.5bn
Other profit ↓ 6.3bn
TTM

Net profit attributable to parent increased vs prior quarter, mainly helped by higher gross profit. Supporting and offsetting drivers:

Gross profit ↑ 6.0bn
Finance costs ↓ 1.4bn
Other profit ↓ 1.3bn
Administrative expenses ↑ 1.3bn

Financial Highlights

Detailed analysis of each financial dimension

ROE = Profit Margin × Asset Turnover × Equity Multiplier

2025Q1 -700.1% = -21.8% × 0.21 × 152.84
2026Q1 9.6% = -0.7% × 0.27 × -51.67

ROE rose from -700.1% to 9.6% — mainly driven by net margin, despite leverage moving in the opposite direction.

Net margin: -0.7% +21.1pp Asset turnover: 0.27x +0.06x Leverage: -51.67x -204.52x

Is the profit sustainable?

Accounting profit is positive but operating cash flow has not caught up — needs more time to confirm.

very positive positive stable watch under pressure

What is driving the margin?

Net margin expanded to -0.70%, rising 21.1pp. The main driver is Gross margin rose 16.7pp and SG&A / Revenue fell 0.3pp, moving in line with the stronger net margin (in addition, Net financial result / Revenue rose 7.9pp added support while Other profit / Revenue fell 3.8pp remained a drag).

The improvement comes from core operations — this is a high-quality margin expansion.

Profitability trend

Net Margin -0.70% +21.1pp
Gross Margin 23.52% +16.7pp
SG&A / Revenue 12.07% −0.3pp
Non-core / Revenue -12.15% +4.1pp

TTM YoY · 2025Q1 -> 2026Q1

Watchpoints

Financial result is supporting margin

Financial result accounts for 1737.1% of PBT and lifted net margin by 4.1pp — separate the operating contribution from this source.

Is capital being used efficiently?

Capital efficiency for construction contractors should be read alongside project progress and receivables collection from developers — ROIC fluctuates with handover cycles.

Is capital being deployed efficiently?

Track how much operating profit the business generates on invested capital.

For construction contractors, ROIC moves with backlog and project acceptance timing — this is a reference signal and should be read alongside working-capital cycles.

CAPITAL EFFICIENCY TREND

TTM YoY · 2025Q1 -> 2026Q1

ROIC — —
NOPAT Margin — —
Capital Turnover 0.72x +0.22x
Average Invested Capital 229.4bn −59.2bn

Balance Sheet

ROIC for construction contractors swings with project progress and handover cycles — the balance sheet below adds perspective. Capital structure is notably light for construction contractors — liabilities at -48.23x equity, with a net cash position equivalent to 17.91x equity.

Inventory ended the period at 133.3bn, roughly 21.4% of total assets.

Over the last 12 months, working capital released 0.8bn of cash, mainly thanks to lower receivables and lower inventories. Pressure from lower payables only partly offset that benefit.

Working Capital Drivers

TTM YoY · 2025Q1 -> 2026Q1

Receivables decreased → higher CFO: +6.3bn
Inventories decreased → higher CFO: +2.0bn
Payables decreased → lower CFO: −7.5bn

Working Capital Efficiency

Working capital is being managed more efficiently, supporting overall capital efficiency. Cash conversion cycle improved by 178.6 days versus the same period last year. The main moves came from DIO rose 5.3 days, DSO fell 206.3 days, and DPO fell 22.4 days.

Improvement comes mainly from faster receivables collection — reflects the quality of receivables management.

For construction contractors, DSO/DIO/DPO/CCC can be distorted by project progress, work-in-progress receivables, and milestone acceptance timing — these metrics should be read alongside developer payment cycles.

Watchpoints

Cash conversion cycle remains stretched

CCC stands at 679.1 days, suggesting that working capital remains tied up for a relatively long operating cycle.

Inventory turnover is slowing

DIO increased by +5.3 days, suggesting more capital is being tied up in inventories.

Working Capital Efficiency

TTM YoY · 2025Q1 -> 2026Q1

Receivables 746.3 days −206.3 days
Inventory 375.4 days +5.3 days
Payables 442.5 days −22.4 days
Cash Conversion Cycle 679.1 days −178.6 days

Is financial risk significant?

Financial risk is low — the company has net cash and CFO reached 31.3bn.

Leverage & Liquidity

Leverage warrants monitoring, with net debt / equity at -17.91x and interest coverage only at 0.24x.

At present, short-term debt accounts for 78.0% of total debt, cash equals 2.1% of debt, and total debt stands at 226.8bn.

Leverage for construction contractors fluctuates with project working capital, performance guarantees, and progress receivables — should be read alongside receivables quality and developer payment cycles.

Watchpoints

Interest coverage is thin

Interest coverage is 0.24x, leaving limited room to absorb financing costs.

Short-term refinancing pressure is meaningful

Short-term debt accounts for 78.0% of total debt, raising near-term refinancing needs.

Leverage and liquidity trend

Net Debt / Equity -17.91x +4.14x
Interest Coverage 0.24x +1.49x
Cash / Debt 2.1% +2.0pp
Short-term Debt / Total Debt 78.0% −1.9pp
CFO / NI -34.25x −33.33x

TTM YoY · 2025Q1 -> 2026Q1

Cash Flow

With safe leverage noted above, cash flow below shows the self-funding capacity. Operating cash flow reached 31.3bn in 2025, against investing cash flow of 0.7bn.

Post-investment cash flow was positive +32.0bn. Financing cash flow was negative +34.0bn.

CFO / net income was -34.25x.

Track how much investment can be funded internally from operating cash flow.

For construction contractors, FCF swings sharply with project progress and payment cycles — should be read alongside backlog and receivables quality.

Cash Conversion

TTM Cash Conversion · 2025Q1 -> 2026Q1

CFO TTM 39.8bn +10.5bn
Cash Capex — —
FCF TTM — —

Investment Takeaway

The business is heading the right way, but the current picture is still at partial confirmation — not yet a fully clean case. The positive points have clearly improved, showing the operating base is better than before. The brighter spot is operating efficiency, with net margin improving 21.1 pp. Even so, earnings quality still needs closer monitoring because net financial result remains elevated. The main risk still sits in leverage and liquidity, with interest coverage at 0.24x.

Improvement: operating efficiency is getting better, with trailing-12M net margin at -69.92% after expanding 21.1pp versus the same period last year.

Watchpoint: the earnings mix still needs monitoring, with net financial result still accounting for 1148.2% of PBT and CFO / net income currently at -34.25x.

Key risk: leverage and liquidity still require discipline, with interest coverage only at 0.24x.

Statement Data

Item 2025 2024 2023 2022 2021
Net Revenue
117.0 165.9 306.2 409.6 526.2
Cost of Goods Sold
83.8 158.3 399.2 361.4 0.0
Gross Profit
33.2 7.6 -93.1 48.2 87.1
Financial Expenses
24.4 27.7 29.7 42.8 -43.9
Selling Expenses
— 0.0 0.0 0.0 0.0
General and Administrative Expenses
18.8 19.5 24.7 32.6 -49.2
Operating Profit
0.1 -37.8 -132.3 -6.8 -5.8
Profit Before Tax
-5.4 -42.8 -135.5 -8.5 -8.4
Net Income
-5.4 -42.8 -135.5 -10.2 -7.3
Profit Attributable to Parent
-5.4 -42.8 -135.5 -10.2 -7.3
Earnings per Share
-528.00 -4,153.00 -13,160.00 -990.00 -703.00

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