SUCCESS REQUIRES
THE POWER OF EFFORTS
OPERATIONAL SITUATION IN 2023
- Situation of production and business activities in 2023
- Situation of project investment and implementation
- Organization and human resources
- Shareholder structure, change in owner’s investment capital
- Report of the Executive Board
- Report and assessment of the Board of Directors
- Report of the Supervisory Board
REPORT AND ASSESSMENT
OF THE BOARD OF DIRECTORS
ASSESSMENT OF THE BOARD OF DIRECTORS ON THE COMPANY'S OPERATIONS
total revenue
13,172 vnd billion
profit before tax
1,255 vnd billion
The General Director and Executive Board have run business and production activities in a flexible manner, making ceaseless efforts in overcoming difficulties and challenges to achieve targets assigned by BOD. During tough times of the domestic market, the Executive Board has sought new markets to boost export, accessing demanded markets and opening up new development directions for the future. In 2023, PVCFC reached a total revenue of 13,172 billion VND, profit before tax of 1,255 billion VND.
BOD always and closely follows all business and production changes of PVCFC, directing and overseeing the Executive Board in implementing business plans in 2023 and Resolution approved by the General Meeting of Shareholders.
BOD has upheld its role and responsibility for building and issuing systems of internal management regulations, accessing and operating governance system in accordance with good governance practices to create unified and consistent governance regimes, effectively controlling and monitoring all activities of governance model, ensuring shareholders’ interests and harmony in benefits of stakeholders including customers, employees and shareholders.
BOD has worked out operation guidelines for 2024 and the following years for the Executive Board to implement and complete strategic development goals of the Company.
BOD has directed to strengthen governance activities in accordance with good governance practices, reinforcing affiliated committees and establishing ESG Committee, step by step building ESG framework and strategy.
Ensuring shareholders’ interests, in 2023, PVCFC completed a cash dividend payment rate of 30%. Dividend payment was made on September 11 2023, 11 days after the date of closing the list of shareholders (August 30 2023)
In 2024, PVCFC is expected to pay a 10% cash dividend for shareholders.
In any circumstance, PVCFC always considers social and environmental responsibilities as a duty that needs to be performed in all business and production activities. In 2023, PVCFC has excellently performed its social and environmental responsibilities, implementing social security programs, supporting localities to build hospitals, schools, etc. complying with environmental criteria in treatment of gas emissions, waste discharge, participating in tree planting activities, etc.
The oversight role of the Board of Directors over THE EXCUTIVE BOARD
Pursuant to the Company’s Charter and internal regulations on Corporate governance, the Board of Directors has inspected and supervised the activities of the General Director and Executive Board in managing production and business and implementing resolutions of the resolutions of the General Meeting of Shareholders and the Board of Directors in 2023, as follows:
- The Board of Directors assigned each BOD member to be in charge of each specific area and through the Committees, to supervise the General Director and Executive Board in organizing, implementing and executing resolutions of the Board of Directors. BOD has outlined contents that Executive Board should prepare for presentation/discussion/question at the BOB meeting. At the meeting, BOD reviews actual situation of implementation of resolutions, monthly, quarterly and accumulated business and production situation; discussing and making decision by resolutions as a basis for General Director and Executive Board to implement. Additionally, committees under BOD also discuss contents and issues of concern with members of Executive Board.
- Attending regular meetings of the Executive Board on business activities and quarterly briefings.
- The supervision of the activities of the General Director and the Executive Board was carried out regularly and continuously by the Board of Directors, ensuring the smooth management of all activities of the Company.
Supervising production and business activities, implementation of Resolutions/Decisions, policies of the Board of Directors, the work assurance for employees, labor safety, Covid disease control situation, human rights, salary and bonus regime...
Updating and issuing Resolutions, Decisions and Regulations under the authority of the Board of Directors in accordance with the new situation and decentralization of management to create favorable conditions for the General Director to implement.
Timely support to ensure the effective operation of the General Director, the assisting apparatus for the General Director and the Representative of the contributed capital of the one who has capital contribution at the Company.
Reviewing and supervising monthly reports on production and business activities in 2023, financial statements of the first, second, and third quarters of 2023, fourth quarter of 2022 and financial statements of 2022 of the Company.
- With the results achieved in 2023, the Board of Directors discussed and evaluated: General Director and Executive Board have ensured continuous business and production activities, excellently performing planned targets of production, consumption, ensuring employment, employee health safety; ensuring responsible business with stakeholders, complying with current legal regulations as well as regulations of PVCFC.
- In 2023, the Company did not violate the provisions of the Law on labor safety, human rights, did not use child labor and did not force labor, did not violate the regulations and was not fined on environmental issues.
Operational Plan and Orientation of BOD in 2024
In 2024, given goals, missions and planned targets of 5-year plan 2021-2025, PVCFC has worked out 3 strategic pillars including: investment, sustainable development and digital transformation, BOD has identified specific goals as follows:
- Directing operation and production of fertilizer products in a safe and stable manner.
- Doing research on diversifying material and fuel sources for production of urea, NPK, seeking green transition solutions.
- Diversifying groups of fertilizer products based on urea, NPK; developing bio-organic and micro-organic products, products stimulating growth and foliar fertilizers, soluble fertilizers.
- Developing agricultural solutions: nutritional solutions for crops, soil improvement solutions.
- Expanding NPK fertilizer markets in the Southern region and the Central Highlands. Completing brand development strategy, strengthening brand building and development for productions.
- Strengthening projects of business and production investment and expansion.
- Continuing building data warehouses and connecting apps systems on IT platforms, building solutions on data safety and overall system security.
- Completing and improving values of digital apps in distribution channel and customer service management..
- Building corporate governance system in accordance with good governance practices.
- Monitoring groups of material risks such as strategic risk, operational risk, compliance risk, financial risk and climate change risk.
- Building and approving ESG framework and strategy, implementing ESG practices.
- Maintain corporate culture, BOD culture, creating environment and motivation for sustainable development, reviewing implementation of plans and development strategy of the Company.
