Sustainable development will be the foundation for restructuring and orienting its businesses, Novaland Investment Group Corporation told shareholders at its annual general meeting on Thursday.

It would focus on the three pillars of environment - society – governance to ensure sustainability and harmonise the benefits of customers, shareholders, investors, and the community.

For 2023 it targeted revenues of VND9.5 trillion (US$405 million) and profits of VND214 billion ($9.1 million), cautious targets since market conditions are not favourable.

For 2022 it reported total consolidated revenues of VND11.2 trillion ($477 million), down 25.5 per cent from the previous year and only 30 per cent of the target it had set.

Its consolidated profit after tax was VND2.2 trillion ($93.8 million), down 36.8 per cent and 33 per cent of the target.

Its total assets however increased by nearly 28 per cent to VND258 trillion ($11 million), mainly in the form of inventory and short-term receivables.

But despite the difficulties it faced, it managed to accomplish more than 80 of its targets in education, health, and social security and community development at a cost of VND50 billion ($2.1 million).

It hired leading consultancies such as YKVN, Deloitte, E&Y Parthenon, and KPMG to help with restructuring, rolling over debts, selling assets to reduce debts, making debt-to-equity and debt-to-asset swaps, and controlling cash flows.

In 2024-25 it plans to develop two urban projects in HCM City and one satellite urban project in its vicinity.

It also has specific plans for project development and construction activities, reordering priorities for nearly completed projects to continue handing over units to buyers, identifying good projects with high liquidity, and accelerating legal processes to cope with market volatility.

In plans to sell off lands with low prospects to reduce debts. — VNS