Quoc Cuong Gia Lai repays 1.3 trillion VND in Truong My Lan case debt, profit surges

Quoc Cuong Gia Lai (QCG) has released its first-quarter financial report for 2026, revealing a significant increase in net profit despite a drop in revenue. The company's bottom line saw a nearly 90% surge, reaching over 15.5 billion VND, largely due to aggressive cost-cutting measures in financial and selling expenses.

This financial turnaround comes as QCG continues to grapple with a substantial debt stemming from the Truong My Lan case. The company has managed to repay 1.3 trillion VND of its 2.88 trillion VND obligation to Sunny Island Investment JSC, leaving a remaining debt of 1.58 trillion VND. The Phước Kiển residential project, central to this debt, has incurred over 5.4 trillion VND in costs for land compensation, consulting, design, and site preparation.

Notably, QCG's short-term loans and financial leases have decreased by 30% since the beginning of the year, now standing at 577 billion VND. While many real estate firms rely heavily on bank loans, QCG's debt structure is primarily composed of personal loans, often involving company leadership's relatives. In a peculiar turn, the company has also extended a loan of 31 billion VND to Nguyễn Thị Như Loan, the mother of its general director Nguyễn Quốc Cường, an amount that has increased by over 20 billion VND since the start of the year.