Listed firms adjust to new production environment

The COVID- 19 epidemic greatly affected the production and business activities of Vietnamese enterprises. Some 30% of those listed on the stock market have posted declining profits, with a range of difficulties in need of attention when adjusting to the new production environment.

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Most enterprises shared the same problems in the first quarter of 2020. This company’s first-quarter profits fell 50 percent compared to the same period last year. COVID-19 caused agricultural production to stagnate, affecting sales, revenue, and profits at many businesses.

The business results of these enterprises were down in the first quarter due to the closure of major export markets such as India. Social distancing measures meant that key meetings simply could not be held.

For investors and shareholders, the delay in holding the annual general meeting means they will have to wait for information on businesses. Though production has been restarted, there are still many challenges to address.

Many experts said that business results in the second quarter are certain to be less satisfactory than in the first quarter.

With supportive State policies, the Government is expecting that the economy will recover gradually and the business community will be the major driver./.

VNA