Post a Free Blog

Submit A Press Release

Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
Filter by Categories
Action
Animation
ATP Tour (ATP)
Auto Racing
Baseball
Basketball
Boxing
Breaking News
Business
Business
Business Newsletter
Call of Duty (CALLOFDUTY)
Canadian Football League (CFL)
Car
Celebrity
Champions Tour (CHAMP)
Comedy
CONCACAF
Counter Strike Global Offensive (CSGO)
Crime
Dark Comedy
Defense of the Ancients (DOTA)
Documentary and Foreign
Drama
eSports
European Tour (EPGA)
Fashion
FIFA
FIFA Women’s World Cup (WWC)
FIFA World Cup (FIFA)
Fighting
Football
Formula 1 (F1)
Fortnite
Golf
Health
Hockey
Horror
IndyCar Series (INDY)
International Friendly (FRIENDLY)
Kids & Family
League of Legends (LOL)
LPGA
Madden
Major League Baseball (MLB)
Mixed Martial Arts (MMA)
MLS
Movie and Music
Movie Trailers
Music
Mystery
NASCAR Cup Series (NAS)
National Basketball Association (NBA)
National Football League (NFL)
National Hockey League (NHL)
National Women's Soccer (NWSL)
NBA Development League (NBAGL)
NBA2K
NCAA Baseball (NCAABBL)
NCAA Basketball (NCAAB)
NCAA Football (NCAAF)
NCAA Hockey (NCAAH)
Olympic Mens (OLYHKYM)
Other
Other Sports
Overwatch
PGA
Politics
Premier League (PREM)
Romance
Sci-Fi
Science
Soccer
Sports
Sports
Technology
Tennis
Thriller
Truck Series (TRUCK)
True Crime
Ultimate Fighting Championship (UFC)
Uncategorized
US
Valorant
Western
Women’s National Basketball Association (WNBA)
Women’s NCAA Basketball (WNCAAB)
World
World Cup Qualifier (WORLDCUP)
WTA Tour (WTA)
Xfinity (XFT)
XFL
0
-- Advertisement --spot_img
HomeBusinessVinFast Auto's Financial Challenges Amid Global Expansion

VinFast Auto’s Financial Challenges Amid Global Expansion

Add to Favorite
Added to Favorite


VinFast Auto (NASDAQ:VFS) reported an EPS of -$0.21 and revenue of $357 million, missing revenue expectations.
The company’s third-quarter deliveries rose by 66%, yet it postponed its North Carolina factory launch and reduced its delivery forecast.
Financial metrics indicate challenges, with a negative P/E ratio of -3.65 and potential liquidity concerns highlighted by a current ratio of 0.32.

VinFast Auto, listed on the NASDAQ as VFS, is a Vietnamese electric vehicle (EV) manufacturer. The company is expanding globally, with a recent launch in the Middle Eastern market, showcasing its commitment to sustainable transportation. Despite its ambitious expansion, VFS faces financial challenges, as reflected in its recent earnings report.
On October 31, 2024, VFS reported an earnings per share (EPS) of -$0.21, aligning with expectations. However, its revenue of $357 million fell short of the estimated $418.9 million. This shortfall may be linked to the company’s ongoing global expansion efforts, which have increased costs, as highlighted by Reuters.
VinFast’s third-quarter deliveries rose by 66%, reaching 21,912 EVs, driven by strong domestic demand. In September, the company achieved its highest monthly delivery figures in Vietnam, with over 9,300 EVs delivered. Despite this growth, VinFast postponed its North Carolina factory launch to 2028 and reduced its delivery forecast by 20,000 units.
The company’s financial metrics reveal challenges. VFS has a negative price-to-earnings (P/E) ratio of -3.65, indicating a lack of profitability. Its price-to-sales ratio is 6.76, and the enterprise value to sales ratio is 8.94, suggesting a high valuation relative to sales. The negative enterprise value to operating cash flow ratio of -5.85 highlights cash flow challenges.
VinFast’s current ratio of 0.32 suggests potential liquidity concerns, as it may not have enough current assets to cover liabilities. The negative debt-to-equity ratio of -0.49 indicates more liabilities than equity. As government incentives for EVs decrease, VinFast is focusing on affordability and charging infrastructure to attract buyers.

Subscribe to get Latest News Updates

Latest News

You may like more
more

Cerence Inc. (NASDAQ:CRNC) Faces Financial Challenges Amidst Automotive AI Competition

Cerence Inc. (NASDAQ:CRNC) reported an EPS of -$0.49, missing...

NetApp Inc. (NASDAQ:NTAP) Surpasses Earnings and Revenue Estimates

NetApp Inc. (NASDAQ:NTAP) reported an earnings per share (EPS)...

Agilent Technologies (NYSE:A) Quarterly Earnings Preview

The anticipated EPS of $1.41 represents a 2.2% increase...