PC1 Group (HOSE: PC1) | Q4 2025 Update, BUY - 1Y Upside +29.8%

FULL-YEAR PROFIT EXCEEDS TARGET DRIVEN BY Q4 MARGIN IMPROVEMENTS IN POWER CONSTRUCTION

PC1 recorded a strong breakout in Q4 2025, marking an impressive conclusion to the FY2025. Quarterly Q4 2025 revenue reached VND 5,012bn (+96.5% YoY, +52.9% QoQ), while NPAT-MI surged to VND 552bn (+706.3% YoY). This growth was fueled by a sharp expansion in gross profit margin (GPM) within the power construction segment, climbing from 7.2% in Q4 2024 to nearly 16.0% in Q4 2025, and the initial handover phase of the Thap Vang real estate project.

For the full year 2025, PC1’s revenue totaled VND 13,085bn (+29.7% YoY), with NPAT-MI reaching VND 1,050bn (+124.6% YoY). This represents 97.7% of the annual revenue target and significantly exceeds the profit target by 63.2%, beating our initial 2025 projections by 29.1%.

By segment: Power construction remained the primary growth engine following the energization of national key transmission projects; Energy saw a surge in efficiency due to favorable La Niña hydrological conditions (Q4 GPM reached 63.6%); Real Estate recorded a spike in contributions from the first handovers of the Thap Vang low-rise residential project; while Nickel mining faced significant pressure on both revenue and margins in Q4 due to adverse global price movements and lower recovery rates. Additionally, bottom-line results were bolstered by a 79.2% YoY increase in financial income, stemming from divestment gains and higher interest income in a rising deposit rate environment.

We maintain a BUY recommendation for PC1 with a new 12-month target price of VND 31,400/share (up from VND 28,850/share), offering a potential upside of 29.8% compared to the closing price of VND 24,200/share on January 30, 2026.

The target price adjustment primarily reflects: (1) rolling forward our valuation to the end of 2026 to capture long-term growth prospects, and (2) accounting for the recent capital increase via a 100:15 bonus share issuance. Consequently, we reiterate our BUY rating.

FY 2025 Performance Overview

o        Revenue: VND 13,085bn (+29.7% YoY, 97.7% company guidance, aligned with our 2025 forecast)

o        PBT: VND 1,565bn (+86.5% YoY)

o        NPAT-MI: VND 1,050bn (+124.6% YoY, beating guidance by 63.2% and our forecast by 29.1%)