DGW Q1 2026 Earnings: Net Profit Up 50% to VND 2,206B, IPO Planned

Overview

Dien May Xanh (DGW) reported robust first-quarter 2026 results, with revenue rising nearly 30% year-on-year to VND 32,610 billion and net profit increasing about 50% to VND 2,206 billion. The company also disclosed plans for an initial public offering (IPO) in 2026, targeting the issuance of up to 179.5 million shares to repay short-term debt. This performance underscores the strength of its multi-chain retail model and digital expansion.

Key Facts

• Q1 2026 revenue: VND 32,610 billion, up nearly 30% year-on-year.
• Q1 2026 net profit: VND 2,206 billion, up about 50% year-on-year, with a net profit margin of 6.8%.
• Retail chain growth: Topzone revenue up 42%, Thế Giới Di Động up 34%, and Điện Máy Xanh up over 30%.
• Digital channel: Super App generated VND 2,000 billion in revenue with 44 million visits and a 28% increase in average order value.
• International venture: EraBlue in Indonesia recorded revenue of 906 billion rupiah (approximately VND 1,400 billion) with 212 stores.
• 2026 targets: Revenue of VND 122,500 billion and net profit of VND 7,350 billion, up 12% and 27% respectively from 2025.
• IPO plan: Up to 179.5 million shares (16.3% of capital) to be offered at a minimum price of VND 16,163 per share, with proceeds used for short-term debt repayment.

What Happened

According to its business report, Công ty Cổ phần Đầu tư Điện Máy Xanh (DGW) achieved revenue of over VND 32,610 billion in the first quarter of 2026, a nearly 30% increase compared to the same period last year. Net profit after tax reached VND 2,206 billion, rising about 50% year-on-year, which translates to an average daily profit of over VND 24.5 billion or more than VND 1 billion per hour. The net profit margin improved to 6.8%.

Growth was driven by multiple pillars, with the Topzone chain showing the highest growth at 42%, followed by Thế Giới Di Động at 34% and Điện Máy Xanh at over 30%. By product category, mobile phones saw a 65% increase, while home appliances and refrigerators grew 45%. The company maintained a network of 2,006 Điện Máy Xanh stores, 929 Thế Giới Di Động outlets, and 85 Topzone stores, unchanged from the start of the year. The Thợ Điện Máy Xanh technical service segment contributed VND 700 billion in revenue, up 45%, with over 8,000 personnel and 18% of revenue from external customers.

Market Context

DGW trades on the HOSE exchange and closed at VND 46 on April 10, 2026, down 1.19% with a volume of 1,372,200 shares. The earnings beat comes amid a competitive retail sector in Vietnam, where consumer electronics and digital services are key growth drivers. The announcement of an IPO plan may attract investor attention, potentially impacting liquidity and valuation as the company seeks to strengthen its balance sheet.

Strategic Significance

The strong Q1 results highlight DGW’s effective execution of its multi-channel strategy, combining physical retail expansion with digital integration through its Super App. The IPO plan represents a strategic move to reduce leverage and fund future growth, particularly in high-potential areas like international expansion in Indonesia and digital services. This could enhance financial flexibility and support long-term competitiveness in Vietnam’s evolving retail landscape.

What to Watch

• Approval of the IPO plan by regulatory authorities and subsequent pricing details.
• Q2 2026 earnings release to assess sustainability of growth across retail chains and digital channels.
• Progress on international expansion targets, including store count growth for EraBlue in Indonesia.
• Updates on debt levels following the IPO proceeds allocation to short-term loan repayment.