BÀI TẬP NHÓM SỐ 1

THỐNG KÊ ỨNG DỤNG

Giảng viên : Cô MAI THANH LOAN

Nhóm 4 : Nguyễn Đình Sơn

: Nguyễn Đắc Hùng Vũ

: Nguyễn Tấn Đạt

Lớp : C0411

LỜI NÓI ĐẦU

Th gi i đang thay đ i v i t c đ chóng m t , thay đ i di n ra quanh ta và đóế ớ ổ ớ ố ộ ặ ổ ễ là quy lu t t t y u c a s phát tri n. Nh Hãng Walt Disney c 5 phút h công bậ ấ ế ủ ự ể ư ứ ọ ố m t s n ph m m i; Sony c m i gi h cho xu t x ng 3 s n ph m m i; Thông tinộ ả ẩ ớ ứ ỗ ờ ọ ấ ưở ả ẩ ớ trên

TRAINING PROGRAMME

GLOBAL ADVANCED MASTER OF MASTER OF BUSINESS

ADMINISTRATION

FINAL TEXT

FINANCIAL ACCOUNT

Full name: NGUYEN TAN DAT

Class: C0411

Financial account

BÀI TẬP CÁ NHÂN

A. OUTLINE OF COMPANY

1. Information of company: - Name: HOANG ANH GIA LAI JOINT STOCKS COMPANY - Abbriviation name: HAGL- Securities code: HAG Trading floor: HOSE- Office address: 15 Truong Chinh Street, Pleiku City, Gia Lai Province.

2. Introduction of company:

- Starting from 1990, predecessor of company is small wood shop to make pupils table.

- In 1993: Hoang Anh Private factory was established. The factory of outside and interior wood processing was inaugurated in Gia Lai

- In 2002: Năm 2002: The factory of Granite manipulating was inaugurated. Once more factory of interior wood processing was extended. Hoang Anh Gia Lai Football Club was born after People Committee of Gia Lai Province decided officially to transfer football club to factory

- In 2003: Establishing HAGL XNTD Branch in Binh Dinh

- In 2004 : - Opening Quy Nhơn HAGL Resort activities. - Establishing HAGL XNTD Branch in Da Lat City, Lam Dong Province. - Establishing HAGL XNTD Branch in Gia Lai (HAGL Hotel Pleiku)

- In 2005 : - Opening Da Lat HAGL Resort activities. - Establishing HAGL Private factory Branch in Đa Nang- In 2006 : - Opening Hotel Pleiku HAGL activities. - Factory was transferred thier business to joint stock company form and changed name is Hoang Anh Gia Lai Joint Stocks Company have initial share capital with 296 billions. The first celerbration of shareholder was hold successfully at Pleiku HAGL Hotel.

Hoang Anh Gia Lai Joint Stock Company was established by a certificate of business registration No. 3903000083 01/06/2006 by Department of Planning and Investment granted and under the certificate of business registration is adjusted as No.5900377720, changed 18th on 28/01/2011.- In 2007: - Opening HAGL SAFOMEC Office bulding.

Merging Quy Nhon Hoang Anh Companies; Saigon Hoang Anh Company and Hoang Anh House Business Joint Stocks Company into Hoang Anh Gia Lai Joint Stock Company.

Through a journey of formation and development, up to now, Hoang Anh Gia Lai has become a private corporation operating in many different fields. At present, with chartered capital of VND 4,673 billion and total assets of 25,520 billion, HAGL is one of the company has a charter capital and total assets is the biggest HOSE trading floor. With

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advantages in capital, human resources, abundant materials and strong brand, Hoang Anh Gia Lai Group focus on expanding investment to many areas HAGL has 49 subsidiaries and three associated companies so far.

The main activity is production and trading of products of wood and granite and planting of rubber and other crops, processing and trading of rubber wood and latex, construction and hydro power business, building, mine ores, apartments development for sale and for rent; trading of resort and hotels; the entertainment and sport activities.

From the biginning of 2010, to focus on enhance management effectiveness and create flexibility in the work of capital mobolization, HAGL has conducted Group restructured programs as the business. Accordingly, the Group is organized parent company into five own subsidiaries and manage five major including in rubber, minerals, real estate, hydropower and manufacturing of wood, stone. These are all industries which have large rate of investment, long exploit time and bring a high rate of return for HAG.

Company Models:

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B. ANALAZING FINANCIAL STATEMENT I. Non-financial situation of enterprises

In recent years as a whole, the macroeconomic conditions take place unfavorablly for enterprises. Vietnam economy faces to the problem of inflation, trade deficit, the scarcity of foreign exchange supply which makes the foreign exchange rate on the unofficial market is always higher than one on the oficial market ... In the face of this difficult problem, the Government has implemented the monetary policy tight, raising interest rates to control inflation and limit trade gap.

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In the long term, these solutions can help stabilize the macro-elements, create conditions for sustainable development economic. However, in the short term, this move has significantly reduced the supply of capital for business operations and enterprises investment, capital mobilization costs also increased significantly. In addition, people's purchasing power is also reduced, affecting particularly serious for high value goods such as real estate. In unfavorable conditions, however HAGL have completed defining plan and achieved many accomplishments in business. Specifically:

Rubber industry: the end of 2011, HAGL has planted 35,000 ha of rubber trees at a rate of approximately 89% live one. Expecting that HAGL will plant 15,000 ha of rubber trees and raise total planted rubber area up 50,000 hectares in 2012.

Hydropower industry: In 2012, HAGL continues to further perfect and put into operation of two hydropower plants is Ba Thuoc 2, Dak Srong 3B. Currently Dak Srong hydroelectric plant has officially generated electricity 2A and tap into the national grid. Expecting that there will be two more power plants are Ba Thuoc 2 and Dak Srong 3B at the end of second quarter in 2012.

Mineral industry: In 2010, HAGL brought iron ore processing plant with 5 shift lines Kbang iron ore mines in Gia Lai province in operation. By the end of 2010, the plant has produced 240,000 tons of refining iron ore. Up to now, the company has obtained permission of iron mining in Ba Thuoc district - Thanh Hoa, iron mine in Kon Tum and has carried out mining Iron Ore in Thanh Hoa, Kon Tum province, Laos. However, by early 2012, HAGL start selling iron ore to customers in 2010, 2011, this activity may not bring in revenue - profit for HAGL.

+ Real estate sector: This sector brings major income stream for HAG in this period with more than 77% contribution to the Group's revenue in 2009. HAGL has curently 20 real estate projects being implemented all over the country and 2.5 million m2 of construction floor, the entire land buget is bought cheaply from several years ago by HAGL, the average of purchase price is 1.5 million /m2 less than and 6 projects have been completed and 6 projects are implemented, currently the company just use 30-40% land they have, this land is judged that it is still enough to get the fight to 2017. In the period 2010 - 2012, HAGL can put on the market about 2,000 apartments each year and get over 3,000 billion in revenue annually.

With this project, after building the foundation and partial completion of the project, HAGL can sell and collect money before, so they can utilize this fund to invest in other real estate projects as well as invest in the rubber sector, hydropower and mineral resources. Along with advantages in capital, human resources, abundant materials and strong brand, besides investing the construction of shopping centers, high-ranking apartments, offices for rent, to exploit the potential of tourism which fully promise of the

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country, HAGL has introduced a string of hotels, resorts that have standard of 4.5 stars in HCMC, Dalat, Danang, Nha Trang, Gia Lai, Quy Nhon ...

However, after a period of business, profitability performance of this business is not as expected by the whole group, with low occupancy (30%), revenue and profit of this business does not contribute highly to the group. Therefore, Chairman of the Group is also acknowledged that this is mistakes investment industry of HAGL , and the system of hotels, resorts will gradually be sold off in the future. Capital investment of this project only a few tens billion but when sold it out HAGL can get a few hundred billion; HAGL will use this money to invest in the businesses of the Group’s strategy to obtain profit more. Curently, The Quy Nhon HAGL Resort has sold and collect the charge nearly all, HAGL Resort Dalat and HAGL Plaza Hotel Danang is in the process of negotiating prices, Only just HAGL Hotel Pleiku, the Group will be retained to serve welcome of visitors. .

Wood, Granite Industry: This is the traditional business activities of HAGL, revenue from this activity contributed 538.5 billion one in 2009, appropriately the proportion of 12.34% of total revenue. Wood products are mainly exported to Hong Kong and Europe, exports turnover usually account for 70% of sales of this field. HAGL does not intend to expand this business, 4 expected factories create a stable revenue stream of about 500 billion / year and profit of 200 billion / year.

In particular, HAGL have huge timber resource in southern of Laos with about 300,000 m3 of timber types. This is the timber from the forests that reclaimed rubber planting which Lao government supply HAGL and the Lao government pay timber quota for HAGL timber within 3 years with the value of $ 15,000,000 the Lao government borrowed from HAGL to invest construction of SEA Games village at VienChan. With timber above, HAGL shall not import timber like every year so this will decrease input costs very large. This means making a profit for timber plants in later years.

Besides, HAGL owns granite mines in Gia Lai, these ones supplied stone material for the plant with an extremely affordable price. The majority of HAGL’s granite products are for domestic consumption, part of export.

In addition to the export and domestic consumption, they bring profit, the industry of furniture and granite production also has a strategic significance is very important to create competitive advantage for the real estate industry. Granite and wooden furniture are took part in self-contained building processes of Hoang Anh Gia Lai made the construction cost

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of Hoang Anh Gia Lai is always competitive on the market.During next time, HAGL continues to focus on manufacturing and meet domestic production demand and part of export. The distribution is done primarily through the Vietnam Garment Company.

II. Analazing activities situation of enterprise.

Stetament data : Financial statament merge on 31/12/2009, 2010, 2011 business operating results and Viet Nam Ernst & Young Ltd,Co. has audited (The data has been converted to the 2011as the inflation rate in 2010 was 11.75% and 18.6% in 2011)

1. Balance sheet:

Assets In 2009 In 2010Quater : 4

/20111 2 3

A.Current assets 9.812.338.759 13.147.900.773 13.303.193.163I . Cash 2.576.793.560 4.256.154.840 2.893.541.4101. Cash in hand 2.576.793.560 4.256.154.840 2.893.541.4102. Cash in bank      3. Cash in transit      II. Short – term investments 208.837.791 96.994.923 97.356.4991.Short – term security investments      2.Other short – term investments 208.837.791 96.994.923 97.356.4993. Provision for devaluation of adjusting short term investment 0 0 0* Provision for devaluation of short term investment      * Provision for devaluation of increasing short term investment      III. Receivables 3.917.900.321 5.173.406.295 5.542.894.7561.Receivables from customers 2.246.119.548 3.304.079.972 2.446.396.0312. Advanced payments to suppliers 1.153.223.300 1.481.344.492 1.999.265.5863. Discounted VAT      4.Intra-company receivable      5.Other receivables 520.630.228 389.355.738 1.098.830.7346. Provision for adjusting additionally levied unable to get -2.072.756 -1.373.907 -1.597.595* Provision for additionally levied unable to get -2.072.756 -1.373.907 -1.597.595

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* Provision for increasing additionally levied unable to get      IV.Inventory 2.933.210.228 3.378.873.357 4.422.965.8441.Purchased goods in transit      2.Raw materials 2.933.889.597 3.378.936.789 4.423.019.3283.Instruments and tools      4.Work in progress      5.Inventory      6.Finished goods      7.Goods in transit      8. Provision for devaluation of adjusting stocks -679.369 -63.432 -53.484*Provision for devaluation of stocks -679.369 -63.432 -53.484* Provision for devaluation of increasing stocks      V.Other current assets 175.596.859 242.471.358 346.434.6541.Short-term payable cost 42.965.503 56.040.699 24.236.6272. Disconted VAT 57.479.631 92.118.628 178.999.9913. Taxes and other payables to the State budget 49.020 875.221 6.933.8154.Other short-term assets 75.102.706 93.436.811 136.264.221VI. Non-business expenditures 0 0 01. Non-business expenditures , last year      2. Non-business expenditures, current year      B.Non-current assets 6.351.970.834 9.120.704.382 12.217.043.903I.FIXED ASSET 1.015.424.402 1.815.665.025 2.070.040.6521. Tangible fixed assets 890.226.176 1.661.906.811 1.931.551.972Fixed asset cost 1.054.690.203 1.895.668.459 2.238.833.331 Depreciation of fixed assets -164.464.027 -233.761.648 -307.281.3592. Leased fixed assets 0 16.941.042 17.304.319 Leased fixed asset costs   17.667.508 21.273.991 Depreciation of leased fixed assets   -726.465 -3.969.6723.Intangible fixed assets 125.198.226 136.817.172 121.184.361 Intangible fixed asset costs 127.340.725 139.657.896 124.644.161 Depreciation of intangible fixed assets -2.142.499 -2.840.724 -3.459.800II. LONG-TERM FINANCIAL INVESTMENT 2.732.147.763 3.559.529.973 3.758.986.7601. Associate company investment 91.580.570 36.684.200 178.554.3932.Other long – term investment 2.640.567.193 3.522.845.773 3.580.432.367

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3. Provision for devaluation of adjusting long term investment 0 0 0* Provision for devaluation of long term investment      * Provision for devaluation of increasing long term investment      III. CONSTRUCTION IN PROGRESS 2.320.904.315 3.419.688.850 5.789.121.837  2.320.904.315 3.419.688.850 5.789.121.837IV. OTHER LONG-TERM ASSETS 283.494.354 232.222.433 278.444.201  283.494.354 232.222.433 278.444.201V. ADVATAGES OF TRADE 93.598.101 320.450.453

93.598.101 320.450.453TOTAL ASSETS 16.164.309.593 22.268.605.154 25.520.237.066

       EQUITY NĂM 2009 NĂM 2010 QUÍ : 4 /2011

A.LIABILITIES 9.390.328.499 10.317.100.790 15.512.146.169I.Short – term liabilities 5.714.172.173 5.820.896.297 6.869.894.5971.Short-term borowings 3.965.194.137 3.387.646.691 3.262.509.9592.Current portion of long – term liabilities  3.Trade creditors 261.807.865 873.680.534 796.295.3474. Deferred revenue 58.842.435 4.173.721 1.381.751.8305.Taxes and obligations 352.244.918 582.564.322 747.096.6946.Payable to employees 23.606.078 26.562.449 46.924.1137.Payable cost 854.832.698 559.738.823 437.289.1528. Other payable 175.662.572 280.566.907 174.102.7989. Provision for short-term payable 25.476.008 23.924.70410. Welfare and reward fund 21.981.470 80.485.840II.Long-term liabilities 3.676.156.326 4.496.205.493 8.642.251.5721.Long-medium borrowings 2.980.335.282 3.584.235.470 8.366.117.1292. Other long-term payable 31.798.438 28.130.557 24.145.8103.Payable income taxes 661.630.709 882.140.137 250.535.9354.Provision for leave pension 2.391.897 1.699.328 1.452.698B.OWNERS’ EQUITY 6.773.981.094 11.951.504.364 10.008.090.897I.Fund equity 6.222.428.890 10.927.001.663 9.384.521.7351.Share capital 3.584.627.471 3.694.635.466 4.672.805.9002.Share capital surplus 1.622.196.166 4.155.758.398 2.880.972.5683. Subsidiary company unify addition -529.131.972 -411.405.743 -364.329.0254. Treasury stock -39.882.184

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5.Current exchange rate differences 27.121.782 70.763.263 123.087.6496.Investment and development fund 11.428.188 10.226.566 8.622.7377. Financial reserve fund 109.378.989 250.086.353 220.751.6608. Retained earnings 1.436.690.450 3.156.937.360 1.842.610.246II. Benefit of minor shareholder 551.552.205 1.024.502.701 623.569.162

TOTAL LIABILITIES & OWNERS’ EQUITY 16.164.309.593 22.268.605.154 25.520.237.066

Total assets and owner’s equity:

Hoang Anh Gia Lai Company is one of enterprises has big size of owners' equity and total assets. The size of total assets of HAGL have uninterruptedly grown by over the years, if in 2009 the total assets reached to 16,164 billion, in 2010 reaching 22,268 billion, increasing 37.76% compared to 2009 and to 2011 reaching 25,520 billion, up14.6% to the same period in 2010.

With many deploying projects and size of total assets increases, the owners’s equity of HAGL has consistently increased over the years to replenish investment capital. In late 2009 the owners' equity of the company reached to 6774 billion, in 2010 reaching to 11,952 billion, increasing 76.44% compared to 2009. However, in 2011 owners' equity of HAGL only is 10,008 billion, down 16.26% compared to 2010 the main reason is economic situation in the country and the world is to be unfavorable so increasing   business capital of company which met lots of difficulties and one more cause is due to exchange owner equity in 2010 to 2011 according to the rate of inflation (due to high inflation in 2011 up to 18.6%)

 

TOTAL ASSETS AND OWNERS’ EQUITY

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Financial balance :Regular working capital (VLĐTX) = Short-term assets – Short-term equityIncluding: Short-term assets: Current assets Short-term equity: Short – term liabilities + Other payables

Target In 2009 In 2010Quater : 4

/2011Current assets 9.812 13.148 13.303Short-term liablities 5.692 5.740 6.870Other payables 686 964 252Working capital TX 3.434 6.443 6.181

Working capital needs (NCVLĐ) = Assets of business - Assets own business &besides busine & besides business

Assets of business & besides business Năm 2009 Năm 2010Quater : 4

/2011Account receivables 3.918 5.173 5.543Inventory 2.933 3.379 4.423Other current assets 176 242 346Total assets of business & besides business 7.027 8.795 10.312

Assets own business &besides business      Payables to suppliers 262 874 796Deferred expenses 59 4 1.382Taxes and other payables 352 583 747Payable to empluyees 24 27 47Intra-company payable 855 560 437

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Account payables 176 281 174Total assets own business &besides business 1.727 2.327 3.583

  Working capital need 5.300 6.467 6.729

Capital needs by need (VBT ) = Regular working capital – Working capital need

Target In 2009 In 2010Quater : 4

/2011 Capital needs by need -1.866 -24 -548

By the above calculation, it shows that regular working capital of the business through the years tends to increase at rather high levels. Specifically: VLDTX is 3.434 billion in 2009; VLDTX is: 6.443in 2010 to 31/12/2011 VLDTX of company is 6.118 billion, which shows the financial structure is balanced between short-term funds and short-term assets, long-term capital and fixed assets. This is reflected regular working capital of the business in the years is positive (> 0).

Liquid capital demand of enterprise in the years were high level since in recent years company has not expanded business trade, business market as well as business size, the capital demand of unit does not increase strongly.

2. Result of business

TARGET In 2009Percentag

eIn 2010

Percentage

QUÍ : 4 /2011Percentag

e

Total revenues 6.090.164.33

2   5.368.391.949   3.165.585.473  

Revenue deductions 6.888.364 0,11% 1.887.097 0,0% 1.113.138 0,0%

Net revenue 6.083.275.96

8   5.366.504.853   3.164.472.335  

Cost of goods sold3.286.753.16

8 54,03% 2.648.071.052 49,3% 1.737.599.658 54,9%

Gross profit2.796.522.80

0 45,97% 2.718.433.801 50,7% 1.426.872.677 45,1%

Sales expenses 151.232.834 2,49% 157.775.893 2,9% 151.317.818 4,8%General and administrative expensive 226.335.129 3,72% 215.501.619 4,0% 232.223.363 7,3%Net profit for from business activities

2.418.954.837 39,76% 2.345.156.289 43,7% 1.043.331.496 33,0%

Income for financial activities 277.848.463 4,57% 1.495.438.118 27,9% 1.215.568.664 38,4%Expenses for financial activities 297.426.080 4,89% 252.318.842 4,7% 539.654.363 17,1%Net profit from -19.577.617 -0,32% 1.243.119.276 23,2% 675.914.301 21,4%

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financial activitiesExtraordinary income 67.534.097 1,11% 25.896.514 0,5% 75.977.475 2,4%Extraordinary expenses 37.250.867 0,61% 35.524.250 0,7% 89.017.721 2,8%

Extraordinary profit 30.283.231 0,50% -9.627.736 -0,2% -13.040.246 -0,4%Total profit before taxes

2.429.660.451 39,94% 3.578.647.829 66,7% 1.706.205.551 53,9%

Income Taxes 636.302.787 10,46% 914.250.526 17,0% 413.460.732 13,1%

Profit after taxes1.793.357.66

4 29,48% 2.664.397.303 49,6% 1.292.744.819 40,9%

Revenue density of business field of HAGL:

RevenueIn 2009 In 2010 In 2011

Value Percentage Value Percentage Value PercentageReal esate 4.701.641.883 77,20% 3.360.460.399 62,60% 1.766.161.130 55,79%Production 757.051.031 12,43% 1.054.991.852 19,65% 701.048.994 22,15%Construction 444.880.483 7,30% 734.305.407 13,68% 417.464.129 13,19%Service 186.590.935 3,06% 191.789.914 3,57% 178.931.542 5,65%Hydropower - 0,00% 26.844.378 0,50% 101.979.678 3,22%

Total 6.090.164.332 100,00% 5.368.391.949 100,00% 3.165.585.473 100,00%

Over the years of HAGL, real estate is a key occupies a very high turnover density in the revenue structure of the unit. If in 2007, 2008, revenues of real estate only accounted for about 50% and equivalent to the proportion of company’s traditional industries as fertilizer production, wooden furniture and granite, in 2009, 2010, lots of projects are being deploied more and reported revenue, the percentage had increased up 62% to 77%. Businesses of are traditional wood and granite are not more growth since Compnay tend to expand develop this business.

Revenue as business sector in 2010 Revenue as business sector in 2011

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In 2010 and 2011 Vietnam and the world economy was much influenced on the crisis of global economy, which made many corporations and enterprises, corporate go bust. However, Hoang Anh Gia Lai Group maintains and develops upon the industry diversity and shifting investments proportion between indusstries such as reducing the Group's investment in real estate industry to increase others such as hydropower, rubber, minerals mining, sugar cane.... Because corporations have predicted the adverse impact of economic crisis should have long term plans and to this point has been prove effects (from 2010 to present real estate market is “freeze”, price of property has continuously decreased, lots of projects was reduced 30-40% to sales but the purchasing power remains very low). However, evenue of real estate industry accounts for a large proportion of the total revenue, so when the real estate market deteriorated, revenue and profits of companies will be affected dramatically.

REVENUE AND PROFIT

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+ The cash flow statement:

The cash flow from business activities 2009 2010QUARTER:

4 /2011

Profit before taxes and banking interest rate 2727 3831 2246 subtract: banking interest rate 297 252 540 Subtract : Tax 0 914 413 Net income 2430 2664 1293 adjust - depreciation: 167 71 77 - Provision for long term+short term investment 0 0 0 - Provision for Devaluation of inventories 1 (1) (0) - Provision for bad liabilities 2 (1) 0 - Exchange rate differences 27 44 52 -  Margin of property revaluation 1622 2534 (1275)

 The cash flow from business activities (ADD UP) 4248 5311 148 increase, decrease working assets (except cash) : (7238) (1655) (1518)Receivables (3920) (1255) (370) - Receivables from customers (2246) (1058) 858 - Advanced payments to suppliers  (1153) (328) (518) - other receivables (521) 131 (709)Inventories (2934) (445) (1044) - materials (2934) (445) (1044) - unfinished products 0 0 0 - Inventories 0 0 0 - finished good 0 0 0

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- Goods in transit for sale,,, 0 0 0

Other working assets (384) 45 (104)Increase, decrease short-term liabilities : (subtract tax DH§H) 1375 370 1092 - Trade creditors 262 612 (77) - Deferred revenue 59 (55) 1378 - other accounts payable 1054 (187) (209)Tax 352 230 165 - Payable tax for last year 0 (352) (583) - Payable tax for this year 352 583 747

  The NET cash flow from business activities (1263) 4256 (114)

The cash flow FROM INVESTMENT (6519) (2839) (3174) - increasing, decreasing fixed assets (1182) (871) (332) - increasing, decreasing long-term financial investment (2732) (921) (426) - increasing, decreasing unfinished capital construction (2321) (1099) (2369) - increasing, decreasing Long-term deposits (283) 51 (46)

  The cash flow AFTER INVESTING (7782) 1417 (3288)

The cash flow from FINANCIAL activities 10887 145 1878 - increasing, decreasing Stockholders' equity +capital construction equity 3585 110 978 - increasing, decreasing funds 632 652 (432) - increasing, decreasing Short-term borrowings 3965 (578) (125) - increasing, decreasing medium, long-term borrowings 3012 600 4778 - increasing, decreasing current portion of long-term reliabilities 0 25 (2) - other liabilities 686 278 (712) - distributed earnings

  The cash flow AFTER FINANCIAL ACTIVITIES 3106 1562 (1410)OPENING CASH 0 2577 4256

  CLOSING CASH 3106 4138 2846

3. Analyzing financial index:

TARGET FORMULA 2009 2010Quarter: 4 /2011

quarter: 4 4 4 Solvency ability        

1 Total liquidity ratio Total assets

1,72 2,16 1,65 liabilities

2 Short-term liabilities liquidity ratio

Working assets and short-termn investment

1,72 2,29 1,94

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Total short-term liabilities

3 Quick ratio

Total working assets -

inventories 1,21 1,70 1,29 Short-term

liabilities

4Payables and receivables ratios

Vèn ®i chiÕm dông

0,44 0,45 0,65appropriated

capital

5 Debt equity ratio(%)Total Debt Financing 43% 32% 46%

Total equity

Debt target (%)        

6 Debt ratios Liabilities 58,09 46,33 60,78Total assets

7 Liabilities/ Owners’s equity

Liabilities 138,62 86,32 155,00Owners’ equity

8Overdue liabilities/banking liabilities

Overdue debts Total bank Debit

balance

Assets and capital structure  

     

7 Owners’s equity ratios  Owners' equity   0,42 0,54 0,39Total revenues

8Long-term assets investment ratios

Fixed assets and long-t erm investment 0,39 0,41 0,48

Total assets

9Fixed assets finance ratios Owners' equity  

1,07 1,31 0,82

   

Fixed assets and long-term investment

Activities indicators        

10 Turnover of inventories (V)

cost of goods sold2,24 0,84 0,45Average

Inventories

11 Turn Day number (N)360/ turnover of

inventories 161 429 80812 Net revenue 3,11 1,18 0,59

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Turnover of receivables(V)

Average current receivables

13Average receivables period (day)

360/ turnover of irrecoverable 116 305 610

14Turnover of working capital (V)

Net revenue 1,24 0,47 0,24Average working

capital

15Revenue/Total assets

Total revenues0,38 0,24 0,12

Total assets

Profitable targets (%)        

15 Return on Equity Profit before taxes 39,89 66,66 53,90Net revenue

16Return on total assets (ROA)

Profit before taxes 15,03 16,07 6,69Value of Assets

17Return on common equity (ROE) Profit before taxes 35,87 29,94 17,05

     Owners' equity 

Comments • The solvency indicators: generally indicators of enterprise are at a safe level. In which enterprise’s quick ratio, current ratio have increased over the years. General payment ratio in 2011 is 1.65 lower than 2010 is 2.16, caused by the investments density move following long-term sustainable development. So enterprise has focused long-term equity on three areas in 2011: hydropower industry, mining and rubber industry. However, these indicators still showed the solvency ability of enterprise’s short-term debts is guaranteed.

LIQUIDITY INDICATORS

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Financial account

Financial capacity Indicators: In recent years, apart from the field of real estate projects, enterprise has also been expanding investment to other fields such as rubber plantations, hydropower, mineral , sugar .... These fields require large investment. Therefore, enterprises must increase financial leverage to implement its projects.

The financial leverage increase in recent years mainly financed by debt will bring more interest rate risk for enterprises in the context of relatively high domestic interest rates level and create pressure on financing costs rise, this will reduce the performance effect. To limit dependence on bank loans, enterprises issued convertible bonds to finance the project. On October, 2009 HAGL issued 1.450 billion of convertible bonds for strategic investors, now the bonds are being converted. On August 31th, 2010 the Group held a ceremony to announce the successful release 1.1 million convertible bond (equivalent to 1.100 billion) for Temasek Holding strategic partner.

In 2010,  Liabilities  / total assets and total liabilities / Owners' equity have decreased compared to 2009. This showed that self-financing capacity of enterprise has improved. However in 2011 the indicators have increased over 2010. Because enterprise has continued to mobilize investment for speeding up hydropower projects Nam 2 and 3 in Laos, exploit and process iron ore in Thanh Hoa ... However, if you see 1.1 million convertible bond (equivalent to 1.100 billion) for Temasek Holdings strategic partner, the coefficient of liabilities / total assets and total liabilities /  Owners' equity  will be significantly improved (because in fact this can be considered as own funds of enterprises, enterprise do not pay interest on this capital)

FINANCIAL CAPABILITY INDECATOR

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Financial account

Assets and Capital Structure:

Owners' equity of unit account for relative proportion in unit’s capital structure and change every year. Owners' equity  rate / total capital of the unit over the years as follows: in 2009: 0.42; in 2010: 0.54 and in 2011: 0.39. This showed unit’s self-financing capacity is pretty good.

- In recent years, enterprise has constantly expanded and developed a lot of ongoing projects, enterprise has continued to increase capital and assets over the years to replenish investment capital. So the ratio of long-term assets investment has steadily increased from 2010 to 2011 reached 41% to 48% / total assets.

ASSETS AND CAPITAL STRUCTURE

Indicators of performance: Due to the impact of the global economic crisis, the domestic economic situation is also uncertain, high inflation, the government implemented tight monetary policies to curb inflation ...which have frozen the real estate market. Therefore, activity indexes of enterprises such as: day number of inventory, receivable day number recent years have increased highly compared with 2009, this led to decrease of enterprise’s assets using performance significantly. Particularly, assets using performance was only 0:36 round in 2009 but it decreased 0.24 and 0.12 round in 2010, 2011 respectively.

Profitable targets: Net revenues converted to the rate of inflation in 2010. It decreased compared to 2009. However the cost management was relatively good, goods sold cost deceased and revenue from financial activities increased 5.38 times over the previous year. This made profit before tax in 2010 increased 1.47 times over the previous year. Therefore profitable targets in 2010 as margins, ROA increased compared with 2009, this showed enterprise’s business operations were effective. However, due to the domestic economic crisis in 2011, the government made several strengthened monetary policy to fight inflation ... this caused large effect on general market and real estate in particular, this

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Financial account

field contributed to revenue and profit up over 50% of the enterprise. Besides that to unfreeze funds and efficient use of capital in 201, HAGL constantly lower prices of products from the apartment: Riverview and Phu Hoang Anh to accelerate sales, with high discount, gross margins this year was lower than 2010. ROA, ROE in 2011 also decreased significantly compared with 2010.

PROFITABLE TARGETS

Analyzing the business prospect of companies

In recent years, revenue and profit of HAGL have gained mainly from real estate trading. However with the impacts of the domestic and global economic crisis the effects the global economic crisis and domestic, HAGL has had sustainable growth and development orientation. So it has gradually adjusted investment ratio over the field of minerals, timber, rubber, sugar cane in 2010 with the priority order respectively as follows:

- Rubber industry: rubber industry is currently No. 1 priority sector of HAGL Group, this group has planted about 35,000 ha in the Highlands and Laos. At the end of 2012 the cumulative acreage will be expected to reach 50,000. Therefore, the ability to make business plan for the rubber industry is assured.

- Minerals Industry: The company is continuing mining and processing ore from Kbang ore-mine (Gia Lai), enterprises are preparing to mine and process ore from mines in Kon Tum and Thanh Hoa. The mines in Laos and Cambodia have been licensed to exploit the reserves of the mines over 100 million tons.

- Real Estate Industry: Currently uncompleted projects are being implemented in progress balance to match with the evolution of the market. Because the real estate market

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Financial account

has frozen, last time credit of this field hasn’t virtually disbursed. However HAGL’s real estate is HAGL Group's major revenue source for all real estate projects with a total of 2.5 million m2 of business floor, each year it provides about 2,000 apartments into the market. Currently, real estate credit has recovery sign, The banks are stepping up lending for real estate field with preferential interest rates so prospects for this field is very positive.

- Hydropower Industry: Construction and exploitation of 17 projects with total capacity of 420 MW. In addition, enterprises are granted investment licenses of two hydropower Nam 2 and 3 with a total capacity of 111 MW in Attupeu Province, Laos. 2 and 2A DakSrong project has power and is working well. Currently Ba Thuoc 1 Project (80MW) and Dak Srong 3B (19.5 MW) are being completed and put into operation on schedule of quarter 1/2013, so the development ability of the hydropower industry is ensured. Currently electricity price is low but with the growth of Vietnam's economy, in the near future the electric field would be highly profitable.- Furniture Industry, Granite and other supporting industries such as construction, football created competitive advantage for Real estate industry and promoted HAGL.

C. CONCLUSION:

On December 31th, 2011 the financial situation of enterprises had considerable fluctuations. The scale of enterprises was constantly expanded, business result has gained profits over the years. Regular Working capital of enterprises over the years was high. Debt Rate / CSH equity of enterprise decreased over at the beginning of year. Because the company issued more shares to raise capital and invest in hydropower and rubber field. The payment norms guaranteed for debts. In 2011 the Group continued to achieve remarkable achievements in economic crisis conditions, high inflation: the control of dept ratio by capital mobilization such as bond issue, convertible bonds, negotiation and conclusion of the long-term credit agreement .... This helped HAGL have strong cash reserves for the investment and liquidity risk management.

Overall the financial situation of the company over the years is pretty good, enterprise’s production and business operations are expanded in many different fields. good revenue growth, higher margins, guarantee of solvency, appropriate financial leverage ratios.

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