VF1 experienced a remarkable growth with the NAVPS increased by 15.5% compared to the end of March, outperformed its benchmark with an increase of 13.1% over the same period. After more than a month suffering from Covid-19 pandemic, the Government of Vietnam has removed social distancing order and gradually reopened economic activities since the beginning of May. According to the latest update on May 12th, the number of recovered cases accounted for 86% of the total number of cases being treated and there were no new cases in the past 26 days, so far it can be said that Vietnam has basically pushed back Covid-19. The Government continues to facilitate the circulation of goods, production, business and services to create jobs and promote economic growth but requires people to always ensure effective prevention measures. Vietnam's market showed significant signs of recovery, specifically the following sectors in VF1’s portfolio such as Transportation (+40.5%), Retail (+38.7%), Capital Goods (+35.6%) and Materials (+31%) all recorded high growth in the past month.
In April, VF1 actively raised the proportion of Mobile World Investment Corporation (“MWG”) to 10.6% NAV - becoming Top 1 of VF1’s portfolio. By the end of 1Q2020, MWG announced its impressive business results while other majority of businesses were negatively affected by the disease. Accordingly, the consolidated net revenue reached VND 29,353 billion (+17% YoY), raising the profit after tax to VND 1,132 billion (+9% YoY). In particular, Bach Hoa Xanh achieved a remarkable growth in revenue with +178% YoY thanks to the effect of storing food during social distancing period, sales of laptop products also nearly doubled compared to the same period last year due to the need of studying and working from home during the pandemic season. When Covid-19 in Vietnam is still not fully controlled, MWG is developing a plan to respond to the pandemic and one of the key measures is strictly control the costs. Accordingly, MWG has actively reduced its inventories, debts and short-term loans to maintain bank balances, ensure liquidity and healthy business cash flow. In addition to renegotiating premises rents to reduce operating costs, MWG also flexibly rotates resources between chains, deparments and restricts new recruitment, limits marketing activities and convenience costs in stores and offices. Despite the disadvantages of Covid-19, MWG's Board of Management continues to increase its market share as the top powerful retailer. The company's target is 50% market share of telephones and 45% market share of electronics by the end of 2020.
At the end of April, the proportion of cash and fixed income of VF1 accounted for 6.6% NAV and 19.2% NAV respectively, slightly decreased compared to the previous month. VF1 will continue to maintain the current asset allocation and seek for investment opportunities in Real Estate and Materials sectors.