VINFAST REPORTS UNAUDITED FIRST QUARTER 2025 FINANCIAL RESULTS

Rhea-AI Summary

VinFast (VFS) reported strong Q1 2025 results with EV deliveries reaching 36,330 units, up 296% YoY, and e-scooter deliveries of 44,904 units, up 473% YoY. Revenue grew 149.9% to US$656.5M, with improved gross margin at -35.2% compared to -58.7% in Q1 2024. The company recorded net losses of US$712.4M. VinFast received significant financial support, with Vingroup providing loans of up to US$1.4B and CEO Pham Nhat Vuong committing US$2.0B in grants. The company launched new products including the EC Van and EB 6 electric bus, while expanding in Indonesia, Philippines, and India. VinFast is optimizing operations in North America and Europe by closing some direct-to-consumer stores and transitioning to dealership models. The company maintains its goal to at least double global vehicle deliveries in 2025.

Positive

• EV deliveries surged 296% YoY to 36,330 units in Q1 2025
• Revenue grew significantly by 149.9% YoY to US$656.5M
• Gross margin improved to -35.2% from -58.7% in Q1 2024
• Secured substantial financial backing with US$1.4B in loans from Vingroup and US$2.0B in grants from CEO
• Expanding product lineup with new EC Van and EB 6 electric bus
• Strong international expansion in Indonesia, Philippines, and India markets

Negative

• Recorded substantial net loss of US$712.4M in Q1 2025
• Still operating with negative gross margins (-35.2%)
• Closing multiple direct-to-consumer stores in Canada and Europe
• Heavy reliance on financial support from Vingroup and CEO for operations

Insights

Financial Analyst

VinFast shows strong delivery growth but continues to operate at significant losses despite improved margins.

VinFast's Q1 2025 results present a mixed picture with promising delivery growth amid persistent financial challenges. The company delivered 36,330 EVs, a substantial 296% year-over-year increase, and 44,904 e-scooters, up 473% from Q1 2024. Revenue reached $656.5 million, growing 149.9% YoY.

Despite these positive volume metrics, VinFast continues to operate deeply in the red with a gross loss of $231 million and net loss of $712.4 million. However, there's noteworthy improvement in gross margin, which improved to -35.2% from -58.7% in Q1 2024 and -79.1% in Q4 2024. This suggests their scale-driven efficiency strategy is gaining traction.

The company remains heavily dependent on its parent Vingroup and founder for financial support. Vingroup has committed up to $1.4 billion in loans through 2026 (with $1.2 billion already disbursed), while CEO Pham Nhat Vuong has pledged $2 billion in grants (with $825.4 million disbursed). This continued financial backing is crucial as VinFast burns through cash to fund expansion.

VinFast's global strategy appears to be evolving toward operational efficiency. The company is reducing its direct-to-consumer footprint in North America and Europe while expanding dealer partnerships. Meanwhile, it's aggressively pursuing growth in Southeast Asia, particularly Indonesia and the Philippines, while preparing to launch operations in India with a CKD facility set to open in July 2025.

The upcoming next-generation EV platform and E/E architecture, starting with the Limo Green model in Q3 2025, represents a critical initiative to improve margins through bill of materials optimization. If successful, this could accelerate VinFast's path to profitability, but the company must balance aggressive expansion with improving unit economics to achieve sustainable operations.

SINGAPORE, June 9, 2025 /PRNewswire/ -- VinFast Auto Ltd. ("VinFast" or the "Company") (Nasdaq: VFS), a pure-play electric vehicle ("EV") manufacturer with the mission of making EVs accessible to everyone, today announced its unaudited financial results for the first quarter ended March 31, 2025.

EV deliveries were 36,330 in the first quarter of 2025, representing an increase of 296% from the first quarter of 2024.

Despite the typically slow first quarter for the automotive market, VinFast delivered more vehicles in Q1 2025 than in the entire first half of 2024.

E-scooter deliveries were 44,904 in the first quarter of 2025, representing an increase of 473% from the first quarter of 2024.

Strong Revenue Growth, Significantly Improved Margins

Total revenues were VND16,306.4 billion (US$656.5 million) in the first quarter of 2025, representing an increase of 149.9% from the first quarter of 2024.

VinFast recorded gross and net losses of VND5,736.5 billion (US$231.0 million) and VND17,693.8 billion (US$712.4 million), respectively.

Significantly, gross profit margin improved substantially to negative 35.2%, a notable improvement compared to both Q1 2024 (negative 58.7%) and Q4 2024 (negative 79.1%). This improvement in gross margin indicates its increased operational efficiency driven by revenue growth and cost optimization.

To support VinFast's continued growth, Vingroup intends to provide VinFast with additional borrowings of up to VND35,000.0 billion (US$1.4 billion) during a period from November 12, 2024 until 2026. As of May 31, 2025, Vingroup has disbursed VND30,571.3 billion (US$1.2 billion) in loans to VinFast.

Pursuant to a grant agreement dated November 12, 2024, VinFast's Founder and CEO, Mr. Pham Nhat Vuong ("Mr. Pham") has committed to provide up to VND50,000.0 billion (US$2.0 billion) in free grants to VinFast and its subsidiaries. A total of VND20,500.0 billion (US$825.4 million) has been disbursed pursuant to the grant agreement as of May 31, 2025.

Leading Vietnam's Green Transformation with a Diverse Product Ecosystem

To drive the green revolution in cargo transport, VinFast officially launched its EC Van, a compact electric cargo vehicle. With a payload capacity exceeding 600 kg and a compact design, the EC Van offers agile operation, making it an ideal solution for short-distance deliveries for businesses and a suitable livelihood vehicle for households.

The EC Van features a two-seat cabin and a rear cargo compartment with a storage volume of up to 2,600 liters. Its 17kWh usable battery capacity provides a range of 150 km per full charge. Deliveries are expected to begin in November 2025, with a starting MSRP of VND285 million (US$11,500).

VinFast also announced the third addition to its portfolio of electric buses - the EB 6, a 6-meter electric bus platform with a battery capacity of 179.5kWh. The 30-occupant city bus model is expected to be available on the market in September 2025, followed by a 20-occupant shuttle/school bus model in the fourth quarter of 2025.

Furthermore, VinFast plans to introduce its next-generation platforms and new Electrical/Electronic ("E/E") architecture starting with the Limo Green model in the third quarter of 2025, and extending to various existing EV models starting in 2026.

Progress on Overseas Markets

Indonesia: VinFast is significantly expanding its presence with a growing product lineup and a widespread sales and service network. The Company has launched sales of the VF 6, its fourth model in the market, following the VF 3, VF 5, and VF e34. The first VF 6 deliveries to customers are expected to begin in Q2 2025.

To further facilitate customers' transition to green mobility, VinFast is continuously expanding its network of dealerships and service workshops through partnerships with leading reputable partners such as Amarta, Otoklix, and BOS.

The Philippines: The Company signed collaboration agreements with Goodyear Philippines, Tire King and Rubber Products, Power Tread Services, and Marcjan Cavite to establish and operate service centers across the Philippines. The partnerships are expected to add over 70 authorized service workshops in 2025. 

India: VinFast officially launched its brand at the Bharat Mobility Global Expo 2025, introducing two electric SUV models, the VF 6 and VF 7. VinFast's CKD facility in Tamil Nadu, India, is slated to start operations in July 2025.

Ongoing Operational Optimization Strategy

North America and Europe: VinFast is adhering to its strategy of optimizing business operations. In Canada, the Company will close five direct-to-consumer (DTC) stores located in shopping malls and suburban areas. This decision aims to reallocate resources and enhance long-term operational efficiency. VinFast will continue to operate key showrooms in British Columbia, Ontario, and Quebec, as well as partner with reputable aftermarket service providers to ensure an excellent customer experience.

In Germany and the Netherlands, the Company has started transitioning to dealers' showrooms and closed its DTC showrooms. The Company currently has two dealerships in Germany, namely Schachtschneider Automobile and Autohaus Hübsch, and has also signed an agreement with its first dealership in France, ASTRADA SIMVA.

Customers in Europe can also access a network of authorized service workshops provided by VinFast partners, including ATU (Germany), Norauto (France), and LKQ (Netherlands).

As of April 30, 2025, the Company had 388 showrooms globally for EVs, including VinFast's showrooms and dealer showrooms.

Madam Thuy Le, Chairwoman of VinFast, said: "Despite Q1 typically being our slowest quarter, deliveries for the first quarter of 2025 exceeded our total deliveries for the first half of last year—an encouraging start to 2025 amid ongoing global uncertainties. We are beginning to see improved operating leverage as volume growth and a streamlined footprint translate into a more efficient cost structure. Looking ahead, our next-generation EV platform and E/E architecture is intended to further BOM cost optimization, enhancing product quality, performance, and affordability across our lineup."

Ms. Lan Anh Nguyen, Chief Financial Officer of VinFast, added: "Our business is at an inflection point, with economies of scale beginning to drive stronger operating leverage. We have made progress in reducing both costs of vehicles sold (COGS) and operating expenses, and continue to streamline our footprint while identifying further cost-saving opportunities."

Business Outlook

In 2025, VinFast remains steadfast in its goal to at least double global vehicle deliveries. The Company will continue to closely monitor the evolving macroeconomic landscape to adapt its strategies accordingly.

Its focus remains on key markets including Vietnam, Indonesia, the Philippines, India, North America, and Europe. Simultaneously, VinFast is actively evaluating potential new markets across Europe, Asia, the Middle East, and Africa.

Beyond its diverse range of SUVs, from compact to E-SUV segments, VinFast is continuously assessing the potential for other vehicle types. This commitment underscores its mission to make electric mobility more accessible to everyone./.

VinFast's management will hold a live webcast to discuss the Company's business performance and strategy. Details for the call are below:    

• What: VinFast Q1 2025 Financial Results and Q&A Webcast
• When: Monday, June 9, 2025
• Time: 8:00 a.m. Eastern Standard Time
• Live webcast: https://edge.media-server.com/mmc/p/adpow94b

A replay of the webcast will also be made available on the Company's website.

Industry and Market Data

This press release contains market and industry data obtained from third-party sources and industry reports, publications, websites, and other publicly available information, including but not limited to information regarding the Company's market position and its performance compared to historical performance of other industry players. VinFast has not independently verified such third-party information, and makes no representation as to the accuracy of such third-party information. While the Company believes that the market and industry data and related statements presented in this press release are accurate, there can be no assurance as to the accuracy or completeness of such data or statements. The Company does not undertake to update or revise such data or statements. Industry and market data are subject to variations and cannot be verified due to limitations on the availability and reliability of data inputs, the nature of third-party data-gathering processes and other inherent limitations and uncertainties.

Forward Looking Statements

Forward-looking statements contained herein, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1955. These statements include statements regarding our future results of operations and financial position, planned products and services, business strategy and plans, objectives of management for future operations of VinFast, market size and growth opportunities, competitive position and technological and market trends and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "may," "will," "shall," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," "goal," "objective," "seeks," or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans, or intentions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: (i) the risk associated with being a growth-stage company in the EV industry; (ii) the unavailability, reduction or elimination of government and economic incentives or government policies that are favorable for EV manufacturers and buyers; (iii) Significant changes or developments in U.S. laws or policies, including changes in U.S. trade policies and tariffs and the reaction of other countries; (iv) the Company's ability to adequately control the costs associated with its operations; (v) the risks of the Company's brand, reputation, public credibility, and consumer confidence in its business being harmed by negative publicity; (vi) competition in the automotive industry; (vii) the ability of the Company to obtain components and raw materials according to schedule at acceptable prices, quality, and volumes from its suppliers;(viii) the demand for, and consumers' willingness to adopt, EVs; (ix) the availability and accessibility of EV charging stations or related infrastructure; (x) failure to remediate the Company's material weaknesses and produce timely and accurate financial statements; (xi) the ability of the Company to achieve profitability, positive cash flows from operating activities, and a net working capital surplus; (xii) the Company's ability to obtain commercially reasonable capital to support its business growth; (xiii) the risk of future restatements to the Company's Financial Statements; (xiv) the Company's reliance on financial and other support from Vingroup and its affiliates and the close association between the Company and Vingroup and its affiliates; (xv) the Company's reliance on its affiliates for its EV deliveries; (xvi) the ability of the Company's controlling shareholder to control and exert significant influence on the Company; and (xvii) other risks discussed in our reports filed or furnished to the SEC.

All forward-looking statements attributable to us or people acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above. You are cautioned not to place undue reliance on any forward-looking statements, which are made only as of the date hereof. VinFast does not undertake or assume any obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions, or changes in other factors affecting forward-looking statements, except to the extent required by applicable law. If VinFast updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those or other forward-looking statements. The inclusion of any statement herein does not constitute an admission by VinFast or any other person that the events or circumstances described in such statement are material. Undue reliance should not be placed upon the forward-looking statements.

Exchange Rates

This announcement contains translations of certain Vietnam Dong amounts into U.S. dollars at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from Vietnam Dong to U.S. dollars were made at the rate of VND24,837 to US$1.00, representing the central exchange rate quoted by the State Bank of Vietnam Operations Centre as of March 31, 2025. The Company makes no representation that the Vietnam Dong or U.S. dollars amounts referred could be converted into U.S. dollars or Vietnam Dong, as the case may be, at any particular rate or at all.

VinFast Investor Relations and Media Contacts

For more information, please visit: http://ir.vinfastauto.us.

About VinFast Auto Ltd.

VinFast (NASDAQ: VFS), a subsidiary of Vingroup JSC, one of Vietnam's largest conglomerates, is a pure-play electric vehicle ("EV") manufacturer with the mission of making EVs accessible to everyone. VinFast's product lineup today includes a wide range of electric SUVs, e-scooters, e-bikes, and e-buses. VinFast is currently embarking on its next growth phase through rapid expansion of its distribution and dealership network globally and increasing its manufacturing capacities with a focus on key markets across Asia, North America and Europe. Learn more at www.vinfastauto.us

View original content to download multimedia:https://www.prnewswire.com/news-releases/vinfast-reports-unaudited-first-quarter-2025-financial-results-302476701.html

SOURCE Vinfast Auto LLC

FAQ

What were VinFast's (VFS) Q1 2025 delivery numbers?

VinFast delivered 36,330 EVs (up 296% YoY) and 44,904 e-scooters (up 473% YoY) in Q1 2025.

How much revenue did VinFast generate in Q1 2025?

VinFast generated total revenues of US$656.5 million in Q1 2025, representing a 149.9% increase from Q1 2024.

What was VinFast's net loss in Q1 2025?

VinFast recorded a net loss of US$712.4 million in Q1 2025.

How is VinFast funding its operations?

VinFast is receiving up to US$1.4 billion in loans from Vingroup and US$2.0 billion in grants from CEO Pham Nhat Vuong.

What new products did VinFast announce in Q1 2025?

VinFast announced the EC Van electric cargo vehicle and EB 6 electric bus platform.

What is VinFast's business outlook for 2025?

VinFast aims to at least double global vehicle deliveries in 2025, focusing on Vietnam, Indonesia, Philippines, India, North America, and Europe markets.