VinFast Auto Maintains EV Delivery Outlook Amid Macro Uncertainty Despite Q4 Margin Drag

VinFast Auto Ltd. VFS reported fourth-quarter results on Thursday. The

Vietnamese EV maker reported quarterly earnings per share of 54 cents loss, missing the street view of 23 cents loss.

Revenues of $677.89 million missed the analyst consensus estimate of $859.08 million.

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Gross margin was negative 79.1% in the fourth quarter of 2024, compared to negative 48.7% in the fourth quarter of 2023. The decrease in gross margin was primarily driven by the recognition of a one-time expense of $242.5 million related to VinFast’s free charging program, which was recorded as a deduction from revenue.

VinFast delivered 53,139 EVs in the fourth quarter of 2024, representing a 143% sequential increase. E-scooter deliveries were 31,170 in the fourth quarter of 2024, representing an increase of 65%.

As of March 31, the company had 322 showrooms globally for EVs and, separately, 322 showrooms and service workshops for e-scooters, including VinFast’s showrooms and dealer showrooms.

Cash and cash equivalents were $135.9 million as of December 31, 2024. VinFast used $1.2 billion in operating cash flow for FY24.

Outlook: “We are keeping our 2025 guidance, and our sales plan is built with flexibility in mind as we continue to monitor the evolving macro landscape,” said Madam Thuy Le, Chairwoman of VinFast.

The company maintains its target to at least double global deliveries in FY25 while continuing to monitor evolving macroeconomic conditions. This outlook represents the company’s current and preliminary assessment of its business and market environment, which remains subject to change.

Price Action: VFS shares are trading higher by 3.25% to $3.34 at the last check on Thursday.

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