Attending the meeting were Mr. Nguyen Van Mau - Member of the board of members of Vietnam Oil and Gas Group (Petrovietnam); Ms. Nguyen Thu Huong - Deputy Head of Internal Control Department of the Group; representatives of Ho Chi Minh City Stock Exchange, PwC auditing company, and representatives of shareholders and investors. Mr. Phung Tuan Ha - Chairman of the Board of Directors (BOD) of PETROSETCO and Mr. Vu Tien Duong - Member of the BOD, General Director of PETROSETCO chaired the meeting.
.jpg)
According to the report, in 2022, all business sectors of PETROSETCO were directly affected by unpredictable fluctuations of the market economy such as high inflation pressure, foreign exchange rates, gasoline and raw materials prices. The consolidated revenue of 17,543 billion VND and pre-tax profit of 213 billion VND, have shown that although business results have not been achieved as planned, PETROSETCO's BOD has performed well in directing and supervising the BOM to propose management and administration solutions; respond and promptly handle market fluctuations in business segments; simultaneously, orient clearly the strategy of restructuring the organizational structure at the whole corporation, making the operation and coordination between the corporation and its members more effective and deeper.
Mr. Phung Tuan Ha - Chairman of BOD of PETROSETCO reports in the meeting
It is forecasted that in 2023, the market will face many difficulties and the situation will continue until at least the second half of the year. Consumers will still tend to tighten spending, the demand for non-essential items may decrease significantly. Therefore, businesses cannot expect to return to the steady growth of the market like before the pandemic. Signs of prosperity can only come in late 2023 or early 2024.
In the short term, PETROSETCO will be more careful in expanding the product line and need to focus on strengthening internal resources, keeping business cash flow at a safe level, maintaining stable business operations and minimizing potential risks from the market impact and external factors by firmly consolidating contracts of providing products and services with existing customers, especially long-term customers in the oil and gas industry. The planned targets for 2023 are therefore also cautious and accurate: Total revenue of 18,000 billion VND, expected profit after tax of 240 billion VND, increasing by 2% and 43% respectively compared to the results in 2022.
Regarding profit distribution, at the General Meeting, PETROSETCO's BOD presented to shareholders the plan to pay dividends in 2022 in shares. The exercise rate is 8%, which means that every 100 old shares will receive 8 new shares. With this ratio, PET respectively issued more than 7.9 million shares. The time of division is expected to be in 2023-2024 after being approved by the General Meeting of Shareholders and receiving the official notification from the State Securities Commission. In 2023, the BOD of PETROSETCO proposes a dividend of 10%, which is expected to continue to be divided by shares.
Mr. Vu Tien Duong - General Director of PETROSETCO reports in the meeting
Regarding personnel issues, PETROSETCO has submitted to shareholders for approval the contents related to the election of members of the BOD for the term 2023-2028. Accordingly, two candidates continued to be elected, Mr. Phung Tuan Ha and Mr. Vu Tien Duong; Ms. Pham Thi Hong Diep was dismissed according to her resignation letter; and Mr. Nguyen Duc Minh was additionally elected to the position of a member of the Board of Directors.
The board of chairman has a dialogue with Shareholders
At the meeting, many shareholders raised questions about the business situation in the first quarter of 2023 and the business prospects of ITC and Apple products in the last months of the year; debt situation, inventory, provisions, stock investment plan, Thanh Da Cape Pearl project implementation plan, Petrovietnam's divestment plan at PETROSETCO… All questions were answered and explained satisfactorily by the PETROSETCO's BOM. In particular, a remarkable information given by the BOD of PETROSETCO is that stock investment will not be part of the upcoming plan of PETROSETCO. Capital will be focused on production and business activities and distribution of key and potential products.
At the end of the meeting, all proposals and resolutions of the meeting were approved by the shareholders with a high level of consensus.