Quoc Cuong Gia Lai has refunded 1,300 billion VND related to the Bac Phuoc Kien project

Quoc Cuong Gia Lai JSC has just announced its financial statements for the first quarter of 2026, which recorded revenue of VND 69.3 billion, down 37.8% over the same period.The company's after-tax profit reached VND 15.56 billion, up 89.1% over the same period last year.

Contrary to the growth in business results, in the first quarter of 2026, Quoc Cuong Gia Lai continued to record negative business cash flow of VND 30.9 billion compared to negative VND 48.2 billion over the same period.Also in the period, investment cash flow was positive VND 115.4 billion and financial cash flow recorded negative VND 145.27 billion, mainly reducing borrowing.

A noteworthy point is that as of March 31, 2026, short-term debt was VND 3,508.8 billion, but total short-term assets were only VND 1,902.4 billion.Thus, Quoc Cuong Gia Lai is using VND 1,684.4 billion of short-term capital for terms under 1 year to finance long-term assets.

Previously, WHY Auditing and Consulting Co., Ltd.audited Quoc Cu In 2025, Quoc Cuong Gia Lai recorded short-term assets of 2,240.7 billion VND but short-term debt of 3,924.6 billion VND (short-term debt is mainly a debt of 1,682.8 billion VND related to the obligation to repay the amount according to the contract promising to buy and sell the Bac Phuoc Kien residential area project to ensure judgment enforcement obligations for defendant Truong My Lan), so it is using short-term debt to finance long-term assets.

"The use of short-term debt to finance long-term assets shows the existence of a key uncertainty factor that may lead to significant suspicion of Quoc Cuong Gia Lai's ability to operate continuously," the auditing unit emphasized.

Regarding long-term unfinished assets, Quoc Cuong Gia Lai explained that it is 5,403.3 billion VND for the Bac Phuoc Kien residential area project.In which, currently, the judgment enforcement agency is holding a number of dossiers for compensation for site clearance of the project until Quoc Cuong Gia Lai fully repays the amount of 2, 2026, Quoc Cuong Gia Lai has returned 1,300 billion VND. In early April 2026, Ho Chi Minh City announced a list of 33 land plots with a total area of more than 489 hectares that did not meet the requirements for being included in the list of land plots expected to implement the commercial housing pilot project.Among them, Quoc Cuong Gia Lai's "surviving" project is Bac Phuoc Kien Residential Area.

The reason is that this project needs to be reviewed due to 301 land use right certificates, 21 notarized contracts and 147 compensation agreements for land plots belonging to the project being distrained under the distraint order of the Investigation Police Agency of the Ministry of Public Security to enforce the compensation obligation in the judgment dated December 3, 2024 of the High People's Court in Ho Chi Minh City and the judgment dated April 11, 2024 of the People's Court of Ho Chi Minh City.These are two judgments of two court levels in the case occurring at Van Thinh Phat Group.

At the 2024 Annual General Meeting, General Director of Quoc Cuong Gia Lai 882.8 billion VND to get back the dossier, red book and full legal rights to the land plot.Regarding shares, from December 15, 2025 to April 29, 2026, Quoc Cuong Gia Lai's QCG shares turned down 26.6%, from 18,800 VND, to 13,800 VND/share.