Phần 1:

Based on data from the General Statistics Office, Vietnam’s GDP reached VND 11,511.9
trillion which is achieved a 7.09% GDP growth rate in 2024, reflecting strong economic
resilience despite global headwinds. Although this rate is slightly lower than the peaks
recorded in 2018, 2019, and 2022, it still highlights a significant recovery and firmly places
Vietnam among the region’s most dynamic economies. Looking into sectoral contributions:
services sector increased slightly from 42.3% to 42.36%, maintaining its position as
the largest contributor to GDP. Industrial & construction sector rose from 37.58% to
37.64%, reflecting strong performance and growth momentum. The final sector: Agro-
forestry-fishery remained steady at 11.86%, showing stable but slower growth compared
to other sectors. Overall, the structure remains stable, with a shift toward services and
industry as Vietnam’s economy modernizes.

According to VN Express and Vietnam Plus, the total ICT revenue reached VND 4,244
trillion, marking a 13.2% year-over-year increase. In terms of economic contribution, the
sector added nearly VND 989 trillion to the national GDP, a 11.2% increase compared to
the previous year. Most notably, the domestic value-added ratio rose to 31.8%, up by
3.1%, highlighting improved local capabilities and reduced dependency on foreign inputs.
Overall, Vietnam’s ICT sector is rapidly growing, driven by local innovation and
supportive policies, making it a key economic driver and a regional digital leader.”

Phần 2

ELCOM Technology Communications Corporation provides information technology

solutions, products, and communication services worldwide. With over 25 yera in operation
in information techonogy and telecommunications, The company specialize in delivering
“Made-in Vietnam” technology solutions across multiple sectors — including:
Telecommunication, Information Technology, National Defence, Transportation, Education,
Healthcare. ELCOM has consistently maintained positive earnings, often achieving strong
profit margins in its service-based business segments — a clear sign of financial stability
and operational efficiency. These contracts not only strengthen ELCOM’s revenue outlook
for 2024, but also demonstrate the company’s trusted role in critical national
infrastructure. From an investor perspective, ELC’s stock remains relatively
undervalued compared to its peers — presenting attractive upside potential for medium to
long-term investors. In addition, ELCOM’s diversification across key industries — from
telecom and defense to transportation and healthcare — helps reduce sector-specific risks,
ensuring more resilient growth Strategically, ELCOM is well-positioned as a local
champion in smart city infrastructure, digital education, and e-government systems, all of
which are key pillars of Vietnam’s digital economy vision for 2030. To conclude, With a
growing portfolio, proven expertise, and high-level recognition, ELCOM is
well-positioned for strong business performance and long-term growth in
Vietnam's digital transformation era.

Phần 3 (income statement)

ELC achieved consistent top-line growth, reflecting strong market performance and potential
expansion of product offerings or customer base. (863,283 +31% in 2022, 980,090
+13.5% 2023)

Evaluation: COGS increased in line with revenue in 2022, but grew at a slower rate in 2023,
suggesting improved cost control or economies of scale. (722,791 +36.3% (2022),
786,358

+8.8% (2023))

The gross profit is healthy growth, especially in 2023, indicates improved margins and

efficiency in core operations. (140,492 +8.9% in 2022 compared to 2021, + 193,732

37.9% in 2023 compared to 2022)

Evaluation: Consistent improvement in operating income suggests strong core performance

despite rising expenses. (85,743 +33.1% in 2022, 100,857 +17.6% in 2023)

Evaluation: Net profit dipped in 2022 due to heavy interest burden, but bounced back
impressively in 2023, showing excellent bottom-line recovery. (37,373 −25.7% in 2022,
84,321 +125.7% in 2023)

To sum up, ELC is on a solid upward trajectory, with strong revenue

growth, improving margins, and a clear recovery in net profit. Moving
forward, the company should continue focusing on expense control and
maintaining financial discipline to sustain this momentum.

Phần 3: compare
To compare with the industry competitiors, CMC remains the largest player, with revenue
peaking at 7.6 trillion VND in 2022, then slightly declining at 7.3 trillion VND in 2023.
Following that, CMT and SBD, however, showed flat or declining performance, ending
2023 with lower figures than ELC.

In 2021, ELC posted a net profit of 50 billion VND, dropped slightly to 37 billion in 2022,
but then made a strong comeback in 2023, reaching 84 billion VND — more than doubling
its previous year's figure. In contrast: CMC continues to lead in absolute profit, growing
from 317 billion to 401 billion VND over the same period. Moreover, CMT and SBD
experienced consistent declines, with profits dropping to just 14 billion and 10 billion VND
respectively by 2023. ELC is now firmly ahead of CMT and SBD in terms of profit and
demonstrates a robust recovery trend.

Let’s compare net profit margins in 2023:

 ELC leads the pack with a margin of 8.6%.

 CMC follows with 5.5%.
 CMT and SBD trail far behind, at just 2.3% and 1.2%, respectively.

This illustrates that ELC is the most efficient at turning revenue into profit —
showing strong cost control and operational effectiveness.

To summarize, ELC is growing steadily in revenue, while competitors are slowing down.
It has shown a resilient rebound in net profit, outperforming the smaller players. And most
importantly, ELC leads in profitability, with the highest profit margin among all four
companies.
1. What was the main factor behind ELC’s strong net profit recovery in 2023?
Answer:
The key factor was improved cost management and reduced financial expenses. Although
operating costs still increased, ELC effectively controlled interest expenses, leading to a
strong rebound in net profit margin. Additionally, continued revenue growth provided
positive financial leverage.

📌 2. Can ELC maintain its industry-leading net profit margin in the long term?
Answer:
Maintaining a high profit margin depends on ELC’s ability to keep controlling costs,
optimize supply chains, and avoid over-reliance on debt. If the company invests wisely in
technology and operational efficiency, it is likely to sustain or even improve its margin.

📌 3. How should ELC take advantage of the downturn of CMT and SBD?
Answer:
ELC can seize this opportunity to expand its market share by increasing its market coverage,
attracting customers from weakening competitors, or diversifying its product portfolio to
meet unmet demand. Sustained growth momentum will also strengthen its competitive
position.

📌 4. Why did COGS grow slower than revenue in 2023?

Answer:
This suggests that ELC has achieved economies of scale and improved supply chain
efficiency. The company may have also negotiated better terms with suppliers or optimized
production and distribution processes.

📌 5. How does ELC’s operational efficiency compare to CMC – which has larger scale
but lower profit margin?
Answer:
While CMC is larger in scale, ELC operates more efficiently, as shown by its higher profit
margin. This indicates that ELC is utilizing its resources more effectively, with less waste and
stronger cost control compared to its bigger rival.

📌 6. Should ELC focus on expanding its product lines or maintaining current profit
margins?
Answer:
ELC can pursue a balanced strategy — continue expanding while also preserving profit
margins. By targeting high-margin segments, the company can grow revenue and protect its
financial performance at the same time.

📌 7. What makes ELC a more attractive investment than CMT or SBD?

Answer:
ELC shows:
 Strong net profit growth (+125.7% in 2023),
 Highest profit margin in the industry (8.6%),
 Effective cost control,
 And it has surpassed smaller competitors.
These are positive signals of operational excellence and long-term growth
potential, making ELC an appealing option for investors.

1. What helped ELC control its cost of goods sold (COGS) effectively in 2023, leading to
improved gross margins?
Answer:
This improvement likely stemmed from ELC optimizing its supply chain, renegotiating input
prices, or leveraging its scale to achieve economies of scale. Better cost management also
reflects maturity in operational efficiency.

2. How could rising operating expenses affect future profits if revenue growth slows
down?
Answer:
If revenue doesn’t grow proportionally, higher operating expenses could erode profit margins
and reduce net income. This highlights the importance of maintaining cost discipline and
ensuring sustainable revenue growth.

3. What caused the high interest expenses in 2022, and how did ELC improve the
situation in 2023?
Answer:
The spike in 2022 may have been due to increased borrowing for investments or rising
interest rates. By 2023, ELC may have restructured its debt or paid off a portion of it,
effectively lowering financial costs and boosting net profit.

4. Was the impressive net profit growth in 2023 sustainable, or driven by one-off
factors?
Answer:
The growth appears sustainable, driven by improved margins and solid top-line
performance. There is no indication of one-off gains such as asset sales, suggesting that the
recovery reflects real operational strength.

5. CMC has the highest revenue but lower profit margins than ELC — what does this
say about their operational efficiency?
Answer:
This suggests that ELC is operating more efficiently, converting revenue into profit more
effectively. In contrast, CMC might be facing higher operating costs or lower-margin
business segments.

6. Why have CMT and SBD shown declining performance? Are these internal issues or
market-driven?
Answer:
It’s likely a mix of both. Internal factors could include poor management or loss of market
share, while external challenges may involve increased competition or reduced demand.
However, ELC’s growth amid these conditions implies the problems are mostly internal to
CMT and SBD.

7. With net profit doubling and the highest margin in the industry, could ELC overtake
CMC in the future?
Answer:
There’s definitely potential — if ELC maintains its growth momentum and continues
expanding market share. However, surpassing CMC in revenue will require strategic
investments in production capacity, distribution, and market reach.

8. What should ELC do to maintain its leading profit margin and continue growing its
market presence?
Answer:
ELC should keep focusing on cost control, enhancing operational efficiency, and expanding
high-margin product lines. At the same time, investing in technology, talent, and innovative
customer strategies will be key to strengthening its competitive edge.

1. Đâu là yếu tố chính giúp lợi nhuận ròng ELC phục hồi mạnh trong năm 2023?
Trả lời:
Yếu tố chính là sự cải thiện trong quản lý chi phí và kiểm soát chi phí tài chính. Mặc dù chi
phí hoạt động vẫn tăng, ELC đã kiểm soát tốt chi phí lãi vay, dẫn đến biên lợi nhuận ròng
phục hồi mạnh mẽ. Đồng thời, việc doanh thu tiếp tục tăng trưởng cũng tạo ra đòn bẩy tài
chính tích cực cho lợi nhuận.

📌 2. Biên lợi nhuận ròng cao nhất ngành của ELC có thể duy trì lâu dài không?
Trả lời:
Việc duy trì biên lợi nhuận cao phụ thuộc vào khả năng ELC tiếp tục kiểm soát chi phí hiệu
quả, tối ưu chuỗi cung ứng và tránh phụ thuộc quá mức vào nợ vay. Nếu công ty đầu tư thông
minh vào công nghệ và quản trị vận hành, thì có khả năng duy trì hoặc thậm chí nâng cao
biên lợi nhuận này.

📌 3. ELC nên tận dụng sự suy giảm của CMT và SBD như thế nào?
Trả lời:
ELC có thể tận dụng thời điểm này để mở rộng thị phần bằng cách tăng cường độ phủ thị
trường, thu hút khách hàng từ các đối thủ đang suy yếu, hoặc mở rộng danh mục sản phẩm
nhằm khai thác thêm nhu cầu chưa được đáp ứng. Việc duy trì đà tăng trưởng ổn định cũng sẽ
củng cố vị thế cạnh tranh.

📌 4. COGS tăng chậm hơn doanh thu – nguyên nhân chính là gì?
Trả lời:
Điều này cho thấy ELC đã đạt được hiệu quả quy mô (economies of scale) và cải thiện hiệu
suất chuỗi cung ứng. Ngoài ra, công ty có thể đã đàm phán tốt hơn với nhà cung cấp hoặc tối
ưu quy trình sản xuất và phân phối.

📌 5. Hiệu quả hoạt động của ELC so với CMC – quy mô lớn hơn nhưng lợi nhuận thấp
hơn?
Trả lời:
Dù CMC có quy mô lớn hơn, nhưng ELC lại vận hành hiệu quả hơn, thể hiện ở biên lợi
nhuận cao hơn. Điều này chứng tỏ ELC đang sử dụng nguồn lực một cách tối ưu, ít lãng phí
hơn và có chiến lược quản trị chi phí hiệu quả hơn so với đối thủ lớn.
📌 6. ELC nên mở rộng hay tối ưu biên lợi nhuận hiện có?
Trả lời:
ELC có thể theo đuổi chiến lược “cân bằng” – tiếp tục mở rộng nhưng vẫn tập trung duy trì
biên lợi nhuận. Bằng cách chọn lọc phân khúc thị trường có lợi nhuận cao, công ty vừa có thể
tăng trưởng doanh thu, vừa bảo vệ hiệu suất tài chính.

📌 7. Tín hiệu nào khiến nhà đầu tư nên chọn ELC thay vì CMT hoặc SBD?
Trả lời:
ELC cho thấy:
 Tăng trưởng lợi nhuận rõ rệt (+125.7% trong 2023),
 Biên lợi nhuận cao nhất ngành (8.6%),
 Khả năng kiểm soát chi phí tốt,
 Và đang vượt lên các đối thủ nhỏ hơn.
Đây là những tín hiệu rất tích cực về hiệu quả vận hành và tiềm năng tăng trưởng
dài hạn, thu hút sự quan tâm của nhà đầu tư.

Phần 4: stock evaluation

The price-to-earnings (P/E) ratio measures a company's share price relative to its earnings
per share (EPS). the P/E ratio helps assess the relative value of a company's stock. It's handy
for comparing a company's valuation against its historical performance, against other firms
within its industry, or the overall market. The formula of it is : P/E Ratio = Market Price /
EPS. To evaluate a stock, we can reverse the formula to estimate a share value: Share value=
EPS × P/E Reference.” After calculating these data which is given by the annual report of
ELCOM we get the result in this table. To take the evaluation time as 2023, we ‘re using the
share value price calculated by P/E method ratio and comparing with the market price of this
stock at 29 Dec, 2023 is VND 18,134. The stock is trading about 22.8% below its estimated
share value. Based on the P/E method, ELC appears undervalued because the market
price of .
This presents a potential buying opportunity, especially for value investors. While the P/E
method is useful, it should be combined with other tools like growth analysis, industry
comparison, and risk assessment before making investment decisions.

Undervalued stock mean the market price < share price

Price target = current price * (current P/E / forward P/E)