Novaland Group ( stock code: NVL) has just released its audited financial report for the second half of 2025. Accordingly, Novaland's revenue in the first 6 months of 2025 reached VND3,715 billion in revenue and after-tax profit was VND66 billion in net loss, but still improved significantly compared to the loss of VND7,327 billion in the first half of last year.
The above financial statements show that at the end of the second quarter of 2025, Novaland's total short- and long-term financial loans exceeded VND 61,800 billion, including nearly VND 30,300 billion in bond loans and VND 23,100 billion in bank loans. In fact, Novaland and its subsidiaries have continuously delayed the payment of hundreds of billions of VND in principal and interest on many bond lots in the first half of 2025.
Regarding the revenue from sold products and expected to be sold under projects under implementation, as of the end of the second quarter of 2025, the total value of Novaland's inventory was more than VND 150,500 billion, the company has set aside a reserve to reduce prices by VND 420 billion. Of the inventories, the amount of real estate built for sale is only over VND 7,700 billion, down about VND 800 billion compared to the beginning of the year. Most of the inventory (nearly 142,700 billion VND) is real estate under construction for sale, and cannot be quickly converted into cash.
In that context, the highlight of Novaland's semi-annual audited financial report is the opinion of Moore AISC Auditing and Information Services Company Limited. The auditor did not give an exception, but noted the "assumption of continuous operation" of this Group.
Accordingly, Novaland sets many hypothetical conditions for the enterprise to operate continuously. This assumption depends on whether Novaland can negotiate with lenders and bondholders to restructure principal and interest due, implement debt swapping and implement the proposal to exchange bonds into stocks.
The Group also sold assets at the expected selling price; collected money from products that were sold and expected to be sold in projects under development; received additional credit from banks, major shareholders pledged to provide and provide financial support to the company when necessary.
In the explanatory document, Novaland has just updated its asset liquidation plan with a total value of VND 28,380 billion. The group said it has successfully sold 7 assets, earning VND13,506 billion. At the same time, signed a principle contract for 5 assets worth VND 7,667 billion and signed a memorandum of understanding with partners for 2 assets worth VND 3,400 billion and received a letter of unbinding request for 4 assets with a total value of VND 1,915 billion.
Currently, the group has reached an initial restructuring agreement with creditors and bondholders, with a total value of VND 14,484 billion, in which creditors are still willing to continue negotiating to create conditions for the group to have more time to process.
At the same time, Novaland was approved for a credit limit of VND 15,050 billion from banks, has disbursed VND 4,640 billion and will continue to invest in the next 12 months to implement the project. Major shareholders also committed to accompanying and supporting the payment of due debts, ensuring to maintain operations for at least the next year.
Notably, Novaland's largest reserve is VND 4,370 billion related to land rent, land use fees and late payment fees of the Lakeview City project - which is being reviewed by the authorities, opening up the possibility of being repaid in the fourth quarter of 2025.
