According to VIS Rating, GELEX's competitive position and business diversification score at 'Strong' is mainly contributed by the 'Strong' score of the Industrial Park Real Estate and Electrical Equipment Manufacturing segments. Most of the Group's member units are industry leaders in terms of market share and business coverage.
Currently, GELEX is the leading Electrical Equipment Manufacturer in Vietnam, with diverse product lines, accounting for 20 - 35% market share of each product type.
Through its subsidiary GELEX Electricity (stock code GEE), GELEX is holding many nationally famous brands of electrical equipment such as CADIVI, EMIC, THIBIDI, HEM, CFT...
In the field of industrial park real estate, GELEX's member unit Viglacera - (stock code VGC) is among the top 5 listed companies in the industrial park real estate sector, and is also a leading enterprise in the construction materials sector.
Song Da Clean Water Investment Joint Stock Company – Viwasupco (VCW) specializes in clean water production with a capacity of 300,000m3/day and night, serving about 1/4 of Hanoi's clean water demand. The company is investing in expanding the water supply chain system to double its capacity with an expected completion time in 2025 – 2026.
GELEX is among the 30 largest listed companies on the stock exchange, based on consolidated revenue over the past five years. VIS Rating said: “Our ‘Very Strong’ assessment of GEX’s scale reflects its deep and solid market presence in its core businesses, its diverse product offerings to serve market needs, and its ability to maintain good relationships with suppliers and financial institutions.”
“The company also has a history of executing well on its business plans and often exceeding its annual profit targets,” VIS Rating added.
The organization also expects GEX to maintain its annual revenue at 'Very Strong' in the long term, thanks to its solid market share in the Electrical Equipment Manufacturing group and its investment portfolio in the Industrial Park Real Estate group. GEX also has long-term plans to expand its scale, including projects to increase clean water capacity, export electrical equipment products and the Tran Nguyen Han Real Estate Complex Project.
The Group's EBITDA (Earnings before Interest, Taxes, Depreciation and Amortization) margin on consolidated revenue is 19-23%, higher than the average of Vietnamese companies in the past 5 years. The high margin is mainly contributed by the Industrial Park Real Estate, Electricity and Water Groups.
Meanwhile, GELEX's total debt is relatively low when compared to the average leverage ratio of Vietnamese enterprises. GELEX's main subsidiaries account for 55% of the group's total debt, with low Debt/EBITDA ratios, namely VGC (1.0x) and GEE (2.5x).
GELEX was established in 1990, operating under the holdings model, investing mainly in two core areas: Electrical Equipment Manufacturing and Infrastructure. The enterprise maintains its growth rate thanks to an effective investment strategy, with flexible solutions in the context of the general market. Recently, GELEX has focused on human resource development, risk management and promoting social responsibility. VIS Rating was granted a credit rating agency license by the Ministry of Finance of Vietnam in September 2023. The unit was established based on a cooperative relationship with Moody's (the world's most prestigious credit rating organization) and a number of other organizations, initiated by the Vietnam Bond Market Association (VBMA). VIS Rating provides independent credit rating services to domestic corporate issuers in Vietnam.
