Profits in main industries experience a significant increase
In Q2 2025, Vietnam's construction and building materials sector demonstrated a mixed but generally positive financial performance, with strong profits particularly from cement firms and a notable recovery in real estate developers.
Cement Firms Report Substantial Profits
Cement manufacturers experienced a significant turnaround after a tough Q1 2025. For instance, Vicem Ha Tien Cement posted record profits with consolidated net revenue exceeding VND1.93 trillion (~$73.6 million) and net profit surging by 145.5% year-on-year. This growth was attributed to increased cement consumption and better production cost control. Vicem But Son Cement also reversed losses by reporting a profit of VND12.4 billion, despite a slight revenue decline [2][4][5].
Real Estate Development Sub-sector Shows Recovery Signs
In the real estate development sub-sector, companies had mixed results but showed recovery signs. Phat Dat Real Estate Development recorded net revenue of about VND19.9 billion (~$759,000), a year-on-year increase, but still down sharply from Q1. Its core operations showed weakness or losses, but financial income, including investment divestment gains and FX gains, helped the company avoid losses and report a profit after tax of VND65 billion (~$2.48 million), up 30% year-on-year [1].
TTC Land, a real estate firm, posted strong Q2 growth with net revenue of VND409 billion and pre-tax profit of VND44.5 billion, nearly 5 times higher than the previous year’s quarter. After-tax profit reached VND29.4 billion compared to a prior loss. Its asset base grew as well, supported by strategic real estate deals bringing in stable revenue streams [3].
Other Sector Highlights
The construction and building materials sector was not the only area of strength in Q2. The non-financial sector led growth for the fourth consecutive quarter, with net profit rising 41.7% on-year in Q2. Major contractors such as Coteccons and Vinaconex posted strong revenue and net profit growth, bolstered by a recovering real estate market and accelerated infrastructure investment.
The utilities sector also reported outstanding net profit growth of 72% on-year in Q2, contributing around 12% to overall market profit growth. Export-oriented firms and industrial real estate companies recorded impressive net profit growth of 153.6% and 63% respectively, despite being directly impacted by tariffs.
The financial services group recorded an estimated $170 million in after-tax profit in Q2, marking a 43% increase on-year. Notable performers in this sector included SHB, ABBank, NCB, and Kienlongbank, which posted significant profit growth during Q2.
Looking Ahead
The strong performance in Q2 signals potential for continued growth in the construction and building materials sector, particularly supported by expected public investments later in the year. The logistics, export, and utility sectors were clear beneficiaries of favourable market and external conditions. According to Hung, director of sectors and stock analysis at VPBank Securities, banks under SSI's coverage saw an average pre-tax profit increase of 16.4% on-year in Q2.
References:
[1] Phat Dat Real Estate Development Q2 2025 Financial Report. [2] Vicem Ha Tien Cement Q2 2025 Financial Report. [3] TTC Land Q2 2025 Financial Report. [4] Viet Nam News. (2025, August 5). Construction, building materials sector records strong rebound in Q2. Retrieved from https://vietnamnews.vn/economy/978893/construction-building-materials-sector-records-strong-rebound-in-q2.html [5] VnExpress. (2025, August 5). Construction materials firms report strong Q2 profits. Retrieved from https://vnexpress.net/construction-materials-firms-report-strong-q2-profits-4236608/
Businesses in the construction and building materials sector, such as cement firms and real estate developers, demonstrated substantial financial gains in Q2 2025. Cement manufacturers, like Vicem Ha Tien Cement, reported record profits, while real estate firms, like TTC Land, showed significant improvements in net revenue and profit.
