VinFast Auto Ltd. Reports First-Quarter 2025 Financial Performance

VinFast Auto Ltd. (Nasdaq: VFS), a leading electric vehicle manufacturer, has released its unaudited financial results for the first quarter of 2025. This article delves into the company’s performance compared to expectations and provides insights into future guidance.

VinFast Reports Strong Revenue Growth in Q1

In the first quarter of 2025, VinFast Auto Ltd. reported total revenues of VND16,306.4 billion (US$656.5 million), marking a 149.9% increase from the same period in 2024. Despite this impressive growth, revenues slightly declined by 1.2% compared to the fourth quarter of 2024. The company’s vehicle sales, primarily from electric vehicles, amounted to VND15,215.5 billion (US$612.6 million), reflecting a 164.4% increase year-over-year but a 1.5% decline quarter-over-quarter.

VinFast delivered 36,330 electric vehicles in the first quarter, a decrease of 32% from the 53,139 units delivered in the fourth quarter of 2024, but a substantial increase of 296% compared to the first quarter of 2024. E-scooter deliveries also showed growth, with 44,904 units delivered, representing a 44% increase from the previous quarter and a 473% increase year-over-year.

Despite the revenue growth, VinFast reported a gross loss of VND5,736.5 billion (US$231.0 million) for the quarter, an increase of 49.8% from the first quarter of 2024, though significantly improved from the fourth quarter of 2024 where the gross loss was VND13,054.4 billion. The company’s gross margin improved to negative 35.2%, up from negative 58.7% in the first quarter of 2024 and negative 79.1% in the fourth quarter of 2024.

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VinFast’s Goal of Doubling Global Deliveries in 2025

Looking ahead, VinFast maintains its ambitious goal of doubling its global deliveries in 2025. The company is focusing on expanding its presence in key markets such as Vietnam, Indonesia, the Philippines, India, North America, and Europe. VinFast plans to enhance its distribution models, primarily through dealerships, to optimize its market reach.

VinFast is also advancing its product lineup with the introduction of next-generation platforms and new electrical/electronic architecture, starting with the Limo Green model in the third quarter of 2025. The company anticipates that these innovations will improve cost efficiency, product quality, and affordability, contributing to its competitiveness in the global market.

To support its growth strategy, VinFast is securing additional funding from its parent company, Vingroup, and its founder, Mr. Pham Nhat Vuong. Vingroup has committed up to VND35,000 billion (US$1.4 billion) in loans, while Mr. Pham has pledged VND50,000 billion (US$2.0 billion) in grants. These financial resources are expected to bolster VinFast’s expansion efforts and technological advancements.

Disclaimer: The author does not hold or have a position in any securities discussed in the article. All stock prices were quoted at the time of writing.