Coteccons Posts Strong FY2025 Results Amid Growing Construction Sector
Robust Financial Year 2025 Results Announced by Coteccons, Highlighting Significant Revenue Increase
Vietnam's construction sector is experiencing robust growth, with Coteccons, a major player in the market, reporting impressive financial results for the full financial year 2025 (FY2025).
Coteccons recorded a significant 32% increase in new contract wins, totalling VND29.1 trillion ($1.16 billion), compared to FY2024. This growth was reflected in the company's net revenue, which reached VND24.867 trillion ($994.6 million), marking an 18.2% increase from the previous year.
The company's gross profit in Q4 of FY2025 was VND216 billion ($8.6 million), with a full-year gross profit of VND 778 billion ($31 million), up 9.2% on-year. For the full FY2025, net profit stood at VND454 billion ($18.1 million), representing a 46.6% on-year increase.
In Q4, Coteccons expanded its project portfolio with several new developments, including phase three of Eaton Park by Gamuda Land, Ecopark Central Park Vinh, New Urban Area developed by MIK in Hanoi, Nam Phuong Hotel Block and Hon Thom Resort Complex in Phu Quoc, and The Global City developed by Masterise Homes in Ho Chi Minh City.
The construction outlook remains positive, driven by broader economic growth and increasing demand for construction, particularly in infrastructure, public investment, and real estate development. The backlog at the end of Q4 stood at VND 35.353 trillion ($1.4 billion), one of the highest levels in recent years.
According to the General Statistics Office, Vietnam's construction sector grew by 9.62% in the first six months of 2025, the highest growth rate for the same period across 2011-2025. The prefabricated construction market in Vietnam is projected to grow 12.6% annually to reach VND 25.21 trillion in 2025, continuing a compound annual growth rate (CAGR) of 10.6% through 2029, potentially reaching VND 42.36 trillion by 2029.
Vietnam's cement industry, a fundamental input for construction, is set to grow 6.6% annually to reach USD 4.12 billion in 2025, with a slightly slower but still positive CAGR of 6.3% forecast for 2025-2029.
While rising material costs present a challenge to construction companies, firms with strong cost management, project selection, financial health, and timely profit strategies are expected to capture growth opportunities in 2025. Notable large players like Hoa Binh Construction Group, FECON, and Vinaconex anticipate expansion in urban housing, infrastructure, transport, and new energy sectors in 2025.
Coteccons' FY2025 performance should be viewed in this broad growth context. Public infrastructure momentum and urban development, alongside increasing prefabrication usage, would likely support Coteccons’ growth and profitability if it manages costs effectively amid price pressures. The gross profit margin for Q4 of FY2025 was 2.58%, and 3.13% for the full year.
In summary, the current market outlook for Vietnam's construction sector is growth-oriented with a forecasted CAGR above 10% in prefabricated construction and steady growth in cement supply to 2029, while companies face and manage rising input costs. Coteccons' FY2025 performance is expected to reflect these broader positive industry trends, assuming prudent financial and project management given ongoing volatility in material prices.
The strong financial results of Coteccons in FY2025, amidst the growing construction sector in Vietnam, can be attributed to an increase in new contract wins and net revenue, indicating a promising outlook for the company's business in the finance sector. With the positive growth momentum in the construction sector, driven by factors such as infrastructure development and prefabrication usage, Coteccons is positioned to capitalize on opportunities in the industry, provided they implement effective cost management strategies.
