IDJ Vietnam profit plummets amid real estate downturn, auditor flags concerns

IDJ Vietnam Investment Joint Stock Company (IDJ) announced a Profit after Corporate Income Tax of VND 18,519,216,185 for the first half of 2025, marking a significant decline of over 10% compared to the same period in the previous year. This downturn is attributed to the negative impact of the real estate market on sales activities and related expenses. The company's interim financial statements for the period ending December 31, 2025, received a qualified opinion from auditors A&C Auditing and Consulting Co., Ltd.

The qualified opinion stems from two main issues: advances to employees and overdue loans. Advances to employees for potential projects, totaling VND 209,265,178,666 (with VND 104,066,178,666 outstanding from ex-employees), lack sufficient documentation on their usage and recoverability. IDJ is actively working to complete reporting for these advances.

Additionally, overdue loans, totaling VND 511,928,508,905 in principal and VND 51,350,973,732 in interest, are secured by shares or capital contributions of companies owning potential projects. IDJ has not yet enforced collateral for these debts and is currently evaluating options for their recovery, leaving auditors unable to determine the necessary allowance for doubtful debts.