NLG - Annual Report 2016

years
năm
ANNUAL REPORT
2016
years
Creating homes for over
15,000 families in
Vietnam
CONTENTS
01. CORPORATE
PROFILE 04. CORPORATE SOCIAL
RESPONSIBILITY REPORT
06 • Corporate profile, vision, mission, 42 • Human Resource Policies and Benefits
and core value
44 • Environmental and Social Factors
08 • 25 years History of Development
10 • The Chairman‘s Message
12 • Group CEO ‘ s Report
16 • Key Driven Projects
18 • Shareholder Structure
20 • Nam Long Group’s Corporate Structure
22 • Key Product Lines
02. YEAR IN
BRIEF 2016 05. APPENDIX I
24 • Financial Highlights 46 • Statistical data on shareholders
30 • Coporate Milestones 47 • Introduction to Nam Long’s Subsidiaries
50 • List of Nam Long’s projects
32 • Awards and Accolades
51 • Awards and Accolades in history
34 • Outstanding Projects
• Changes in The Board of Directors,
The Inspection Committee and The Board of
Management and Group Human resources
03. CORPORATE
GOVERNANCE REPORT 06. APPENDIX II
36 • Organization Chart 52 Audited Financial Report 2016
38 • Introduction to The Board of Directors,
The Inspection Committee and The Board
of Management
6 NAM LONG | TOWARD 25 YEARS AHEAD ANNUAL REPORT 2016 7
01.
CORPORATE
PROFILE
OVERVIEW MISSION
Company name : CÔNG TY CỔ PHẦN ĐẦU TƯ NAM LONG To create living environments with
humane values for the community.
English name : Nam Long Investment Corporation
Charter capital : VNĐ 1,415,721,570,000
Headquater : 06 Nguyen Khac Vien, Tan Phu Ward, District 7 , HCM City
Telephone : (+84-8) 54 16 17 18
CORE VALUES
Fax : (+84-8) 54 17 18 19
Professionalism
Website : www.namlongvn.com
Integrity
Email : info@namlongvn.com Ownership
VISION
To be top 3 To be top 3 Professional- Human Alignment Joining

leading urban developers in ism in Project resourcse: with com- the league
developers of “affordable Management, accountabil- mon goals of “billion
Vietnam that housing” in Financial ity, capability and sharing dollar” com-
best under- Vietnam. Management, and strength achieve- panies
stands and Marketing and in leadership ments.
meet clients’ Sales. qualities.
expectations.
Headquater: Capital Tower - 6 Nguyen Khac Vien, Tan Phu Ward, Dist. 7, HCMC.
25 YEARS HISTORY OF
• Issuance of 500 Billion
DEVELOPMENT VND in convertible bonds
to Keppel Land
• Joint Venture with
Hankyu Realty Co. Ltd.
and Nishi-Nippon
Railroad Co. Ltd in the
development of Fuji
Residence and Kikyo
• Keppel Land Residence
became
strategic partner • Launched Valora brand
• Hankyu Realty • Launched Ehome S brand
Co., Ltd and
Nishi-Nippon
Railroad Co., Ltd
- Co-partners of
Nam Long to
develop FLORA
project
Nam Long
officially listed • Launched Flora
on the Ho Chi brand
International
Minh Stock
Finance
Nam Long Exchange
Corporation
issued (08/04/2013)
(IFC), Bridger
shareholder
Capital (New
certificates to
York – USA),
Vietnam
Probus Asia,
Azela Fund
Ho Chi Minh City
(VAF)
Security
Corporation
Launched (HSC) became
Nam Long
EHome brand new sharehold-
welcomed its 2
ers of Nam Long
strategic partners:
• Nam Viet company

(100% owned by
a reputable
Nam Long Co., Ltd. financial group
Nam Long Ltd. changed its name from the USA)
established, one of to become
the first private Nam Long • ASPL fund
(IREKA corpora-
contractors in Investment
tion – A leading
Vietnam Corporation
real estate
developer in
Malaysia)
1992 2005 2007 2008 2010 2013 2014 2015 2016

THE CHAIRMAN’S
MESSAGE
Dear valued shareholders, partners and all employees in Nam Demonstrate its position as leading property developer in
Long Group, townships and strategic product lines
•
This is my honour on behalf of Board of Directors to • Nam Long will continue to pursue its vision of becoming
present Nam Long’s 2016 achievements and 2017 develop- a top three leading urban developer in 2017, thanks to the
ment strategy. experience in eight developed townships and the large
ready-to-develop land bank including Mizuki Park, Hoang
2016 - OUTSTANDING EFFORT
Nam, WaterPoint,…- Nam Long will look for more partners
In 2016, Vietnamese Real Estate market has been on the road to develop large townships. The combination of broad de-
•
to recovery with impressive growth numbers and Vietnam velopment in townships and deep development in product
Economy has been remained relatively strong with low inflation lines, namely EHome, Flora, Valora, will propel Nam Long
rate at 4.74% and high reserves of foreign currencies of USD41 products to a new level. The true value of Nam Long’s prod- •
billion USD - a historical high. In addition, the FDI in the real estate uct is not only a house itself but also urban planning, pub-
industry has reached $1.3 billion USD with higher quality and lic facilities, urban services, residential communities, and
•
proportion of conductive capital. These factors concrete a solid cultural destinations of urban citizens.
fundamental for property market to continue its development. •
Although the completion of VND30 trillion package, the impact • Searching and acquiring new appropriate land banks for each
product line, namely EHome, Flora, Valora to develop in short,
of Decree number 06, and the imbalance between supply and
demand can affect to some developers in some angles, they
medium and long term. •
are not influencing to good developers with well thought-out • Standardizing and industrializing construction as well as se-
strategies and sustainable development plans. lecting reputable and quality contractors to deliver products
at a stable quality and cost.
Under these circumstances, Nam Long has made these
notable achievements: • Enlarging the ‘affordable’ housing market in other potential
cities such as Ha Noi and Can Tho.
• Strong business growth: Sales increased by 63%, revenues
went up 101%, EBIT was 67% more than in 2015. Affirmation of globalization roadmap and maximization of Affirmation of management capability via professional struc- • Nam Long will implement Investor Relations (IR) in effec-
business experience from leading international partners ture and strong corporate culture tive and professional ways, making NLG’s share as the most
• Affirmation of three ‘Affordable’ product lines: EHome transparency & credible stock in Vietnam and bringing ben-
- affordable apartments for the average incomes, Flora Nam Long has prepared for globalization for more than 12 years • Nam Long will centralize its financial, accounting and human
efits to both major and minor shareholders.
- affordable condominiums for above average incomes and step by step has earned the trust of its partners, international resources systems for efficient management and coordination.
and Valora – affordable villas for business leaders. The shareholders, such as IFC (World Bank), Keppel Land, Goldman New age, new chance, new desire but there is one never-
• Professionalism in group management and investment, and
changed purpose: all of Nam Long’s effort is for sustainable
success of these developments is measured in persua- Sachs, Hankyu Realty and Nishi Nippon Railroad. Nam Long assurance of group task allocation and performance at sub-
growth, stable and long-term benefits for shareholders, strate-
sive sales figures, an increase of brand awareness, to- in 2017 will maximize its experience, preserve its core values, sidiaries, together increase the real estate value chain within
gic partners, all employees and social community.
gether with a clear strategy to develop Land bank in ap- and utilize knowledge from professional partners for further the three-year business plan.
propriation with different product lines. development: Nam Long would like to show appreciation to shareholders,
• Three core values: professionalism, integrity and ownership
strategic partners, Nam Long’s employees who have put
• The continuation of a successful cooperation with interna- • Nam Long and Partners together will conquer the market with will guide the group‘s human resources and culture, and build
trust and support in Nam Long’s development over the years.
tional real estate corporations, namely, Keppel Land – one of quality products, stable financial capabilities and fast capital a good working environment for talents to develop and con-
Together, we will confidently and steadily step into the new
the top Real Estate developers in Asia, at a corporate level, turnover. tribute to the group.
phase of growth.
and two big Japanese Groups: Hankyu Realty and Nishi Nip-
pon Railroad, at a project level. • Aggressively looking for partners for large-scale projects with • Continuing human resources training and upgrading man-
We are wishing you good health and prosperity.
big investment value. agement capability, as well as building and developing suc-
cessors will prepare Nam Long’s development in the upcom- Regard,
• Winning recognition awards from international organiza-
• Continuing to build trusts and mutually beneficial partnerships ing years.
tions in relation with project development as well as corpo-
for long-term plans basing on win–win philosophy. Nam Long
rate social responsibility. Demonstration of Nam Long’s value via business results,
will help international partners to enlarge their market while
financial strengthens and outstanding brand awareness
2017 – VALUE AFFIRMATION Partners will support Nam Long in corporate governance,
The year of 2017 is expected as an “Acceleration” year for
financial capability and international experience in project • Consistently follow business strategy in developing afford-
development. able housing products.
Nam Long to confirm its values and internal force. The Nguyen Xuan Quang
participation of many investors in the ‘affordable’ market Affirmation of Nam Long’s potential in its new core business • Maximizing benefits from new business line – the manage- Chairman
is a challenge but also affirms the right strategy of Nam ment and development of commercial assets and remaining
Nam Long will maximize its advantages in current land bank good growth in revenue and profits as recent years.
Long over the years. Thanks to the research & development and future big townships to initiate a new business line - the
process, as well as experience in the last 10 years focused management and development of commercial assets. This • Nam Long will focus on brand awareness, investment and
on this market, Nam Long in 2017 will: new core business not only enhances Nam Long Projects applying of state-of-the-art tools in Sales & marketing and
reputation but also brings stable revenues and profits towards customer care system using international standards, such as
the Group’s sustainable growth in the near future. online booking, digital marketing, and CRM.
GROUP CEO ’ S REPORT
Steven Chu Chee Kwang

“ 500 billion convertible bond issuance for Keppel Land
CORPORATE OVERVIEW 2016
“NLG will be consistent in the For the financial year ending on 31 December 2016, the
group achieved tremendous growth. Group sales increased
Fuji and Kikyo in District 9, Camellia Garden in Binh Chanh and
Can Tho. The majority of these projects shall be completing in
affordable market segment by 63% to VND3,000 billion compared to VND1,847 billion
in 2015. Group revenue increased by 97% to vnd 2,484
2016 and 2017. With the established market brand of EHome,
Flora and Valora, NLG now has 3 product lines for the major-
and planning to grow its sales, billion compared to VND1,254 billion in 2015. Net profits ity of Vietnamese population with a wider pool of choices for
after tax increased by 67% to VND345 billion compared to their homes at affordable prices in good and highly accessible
revenue and net profits after VND206 billion in 2015. The positive performance was in location.
line with strategic business plan expectation with net prof-
tax by aramd 50%” its after tax achieving 96% of the approved plan.
This product diversification strategy aimed to reduce the
business risks trough enlarging the customer base and tar-
Strengthening and accelerating ongoing projects. get market and as well as create affordable product to meet
the real demand of the majority of Vietnamese families
In 2016, we successfully launched and sold about 2,441 units
of EHome/ Flora/ Valora from Ehome 3 in Binh Tan, EHome
4 in Binh Duong, The Bridgeview in District 7, Flora Anh Dao,
Signing ceremony to joint-venture in Fuji residence project Signing ceremony to joint-venture in Kikyo residence project
Ongoing transformation
Since 2015 and moving forward into 2017, we stayed fo- • Sealed the deal with Hankyu reality from Osaka and Ni- Moving forward 2017 about new significant investment deals in 2017. NLG is
cused on a strategic roadmap and achieved numerous key shi Nippon railroad from Fukuoka, japan for two projects optimistic about the affordable market segment and plan-
Macro-economic factors in 2017 remain positive, GDP
milestones. And we will continuously improve and enhance namely: ning to grow the sales, revenue and net profits after tax by
growth of above 6% is among highest in the region. VND
this roadmap and key strategies to strengthen our organi- more than 50%.
- Fuji residence, district 9 comprising 789 flora products remains relatively stable against USD and favorable inter-
zation and management based on our three core values of
and 84 Valora products. est rate environment reinforces credit growth. Real estate Acknowledgement
professionalism, integrity, and ownership.
industry is a key economic and social pillar of Vietnam and
- Kikyo, district 9 comprising 234 flora products and 110 I would like to extend my heartfelt appreciation to the Board of
The primary objective is to strengthen our development still on up-trend curve
Valora products. Directors for unwavering commitment to the sustainability of
platform to bring the best operation efficiency and effec-
Vietnam and HCM city with young demographic and in- our continuous growth. I would also like to extend my apprecia-
tiveness to deliver sustainable growth in sales, revenue and Including the above two deals, we will have 03 projects with
creasing middle class, together with high urbanization and tion and gratitude to the board of management and dedicated
profitability. our strategic Japanese partners.
low home-ownership will create a high demand for afford- employees at Nam Long group for your dedication and hard
Strategic partnering and cooperation These success gave NLG value - added opportunities, distinc- able housing. Everybody needs a roof over their head as a work and to our customers, stakeholders and shareholders for
tive differentiation from our industry peers and confidence to basic human needs. your support, trust, and loyalty all this time.
Through great governance and dedication, NLG proudly
consumers and market.
achieved in 2016: We expect intense competition in the affordable housing
Key industry awards segment as announced by developers of high and middle-
• Sealed the deal with Keppel land co. Ltd. Through its sub-
end categories. Suitable development land getting very
sidiary Ibeworth pte. Ltd. For VND500 billion (usd22.4 Market recognition is an important factor to NLG as well
million) convertible bonds; to our customers and stakeholders. In 2016, we proudly scarce and expensive. NLG, as a leader in affordable hous-
received the following 2 prestigious awards: ing, shall overcome these challenges. In 2017, we will un-
lock and develop 37ha Mizuki Park project in Binh Chanh
Steven Chu Chee Kwang
• Vietnam best developer 2016 and 8.4ha Hoang Nam project in Binh Tan with more than
Group Chief Executive Officer
17,000 units of affordable housing. We are also positive
• Vietnam best corporate social responsibility 2016
In keeping with the benchmark, we will continuously improve

on service, products and organization.
16 NAM LONG | TOWARD 25 YEARS AHEAD 17
ANNUAL REPORT 2016 15
KEY DRIVEN PROJECTS
HOANG NAM
PROJECT
A project dedicate to supporting

urban lifestyle (Flora city) at the West
gateway of Ho Chi Minh City, situated
on Vo Van Kiet Highway, 15 minutes
to District 1 and Distrct 4 and proximi-
ty to Metro station 3A.
• Area: 8.0 Ha
• Location: Binh Tan District
• FLORA: ~5,000 units
• Project timeline: 2017 - 2022
MIZUKI PARK
PROJECT KIKYO RESIDENCE
PROJECT
A well-planned projects with an internal canal at the heart of the development, connected
to Nguyen Van Linh Boulevard, Phu My Hung Township and all of its services and facilities Prime location of District 9, thanks to the
development of key infrastructure such as
as Crescent mall, Vivo city, FV hospital, RMIT University … Long Thanh - Dau Giay highway, ring road 2
• Area: 26.2 ha and Thu Thiem tunnel. From here only take
15 minutes to district, 10 minutes to Thu
• Location: Binh Chanh District Thiem new city, 10 minutes to Phu My Hung
• VALORA: 384 units township.
• FLORA: 6,402 units • Area: 17.8 ha
• Location: District 9
• EHome S: 1,420 units
• FLORA: 234 units
• VALORA: 110 units
WATERPOINT
PROJECT
This is the biggest project of Nam Long Group

up to now, located at the gateway “dual trade”
between Ho Chi Minh City and provinces of
the Mekong River Delta: in the West of the
National Highway 1A and close to the first
opened road lane of the Saigon –Trung Luong
highway. It takes only around 30 minutes to
reach the heart of District 1, HCM City.
• Area: 355 ha
• Location: Long An
SHAREHOLDER STRUCTURE
The success of Nam Long is well illustrated by its strong partner base. Currently Nam Long possesses strategic partners at both the cor- SHAREHOLDER STRUCTURE AS OF 05/02/2017
porate level and project level.
AT THE COPORATE LEVEL: AT THE PROJECT LEVEL: SHAREHOLDERS NUMBER NUMBER OF SHARES WEIGHTAGE (%)
Nam Long cooperates with major and foreign shareholders Nam Long also attracts many international partners. Recently, two INTERNAL SHAREHOLDER 84
as well as investors, particularly Keppel Land (Singapore), IFC, Japanese investors namely Hankyu Realty Co., Ltd and Nishi-Nip-
and Nam Viet wholly owned by Goldman Sachs (USA). Not just pon Railroad are doing joint ventures with Nam Long to develop BOD, BOS, BOM, Chief Accountant 7 43,990,838 31.0%
successful in fundraising, Nam Long also captures the interest a series of projects including Flora Anh Dao, Fuji Residence and
Kikyo Residence. These international partners have over 100 years Staffs 77 1,352,264 1.0%
of other real estate developers. For example, Keppel Land, a
of experience in real estate development.
leading real estate developer in Asia in the high-end segment, EXTERNAL SHAREHOLDERS 740
currently invests in NLG in the affordable segment. It is be- Cooperation will provide mutual benefits to all parties and is based
lieved that the reputation of Nam Long is the key factor in this on the win-win philosophy. International partners will support Domestic individuals 660 24,719,405 17.4%
cooperation, despite two companies is targeting the different Nam Long in terms of professionalism and experience collected
segments in property market. throughout emerging markets. On our side of the bargain, Nam Domestic organizations 16 10,692,032 7.5%
Long will provide local knowledge and customer insight.
Foreign individuals 15 398,981 0.3%
Foreign organizations (exclude Keppel Land in BOD) 49 60,960,990 42.9%
STRATEGIC PARTNER WIN - WIN PHILOSOPHY PROJECT DEVELOPMENT PARTNER TOTAL 824 142,114,510 100.0%
* Note:
Treasury Shares: As of December 31st, Nam Long Investment Corporation has Nam Long Investment Corporation has is-
2016, the Group’s shares are held by its sub- issued shares under a Shares Emloyee sued over 500 convertible bonds (at a par val-
sidiaries and affiliated companies including Granting (“ESG”) program for its employ- ue of 1 billion dong/bond), with a 4-year term
Nam Khang Construction Investment & De- ees on August 12th, 2016, with 542,353 on August 4th, 2016 at a conversion price of
velopment One Member Co., Ltd. with over shares. The number of shares after issu- 23,500 VND/share. The number of shares
6,502,165 shares. ance is 142,114,510 shares. expected to be issued is 21,276,000 shares.
1,416 1,421
LIST OF SHAREHOLERS POSSESSING OVER 5% OF THE CHARTER CAPITAL AS OF 05/02/2017 INCREASE OF CHARTER CAPITAL 1,210
Mr.
NGUYEN XUAN QUANG
NUMBER OF 14.6%
SHAREHOLDERS (vnd billion) 955
SHARES
PYN ELITE FUND
1.000
1. Mr. Nguyen Xuan Quang 20,819,039 (NON-UCITS)
6.6%
900
2. Pyn Elite Fund (Non-Ucits) 9,413,200
Ms. 800
NGUYEN THI
3. Ms. Nguyen Thi Bich Ngoc 8,988,601 BICH NGOC
700
OTHERS 6.3%
SHAREHOLDERS 483
50.1% WEIGHTAGE (%) 600
4. Mr. Tran Thanh Phong 8,738,095
Mr.
TRAN THANH PHONG 500
5. Nam Viet Ltd. 8,658,140 6.1%
400 272
200
6. Ms. Ngo Thi Ngoc Lieu 7,150,001 NAM VIET LTD. 300
6.1%
7. IBEWORTH PTE.LTD 7,100,000 Ms.
200 55
NGO THI NGOC LIEU
5% 100
TOTAL 70,867,076
IBEWORTH
PTE. LTD
2005 2007 2008 2010 2012 2014 2015 2016
5%
GROUP’S CORPORATE CHARTER CAPITAL OWNERSHIP

COMPANY NAME BUSINESS AREA
STRUCTURE (billion dong) RATIO (%)
SUBSIDIARIES
LAND DEVELOPMENT
Nam Long VCD JSC (1) Investment in the construction and business of 1,128.9 90.40%
new township
Nguyen Son Real Estates JSC Real estate business; civil, industrial and infra- 573.2 87.33%
structure engineering
Nam Long – Hong Phat JSC (2) Real estate business; civil, industrial and infra- 60.0 75.25%
Nam Phan Investment JSC (3) Real estate business; civil, industrial and infra-
158.1 99.96%
HOUSING DEVELOPMENT
NLG-NNR-HR FUJI LLP (previously ASPL Real estate 690.0 50%
PLB-Nam Long Co Ltd)
Nam Long Apartment Development JSC Real Estate sales and management.
300.0 97.14%
(“Nam Long ADC”) Typical product is the EHome apartment
Nguyen Phuc Real Estates Investment & Real estate
Trading Co Ltd 60.0 50%
Thao Nguyen Real Estates Investment & Real estate

Trading Co Ltd 54.0 50%
NNH Kikyo Flora Co., Ltd Real estate, land use rights for lands
50.8 50%
owned, leased by the owner or rented
NN Kikyo Valora Co., Ltd Real estate land use rights for lands 198.0 50%
owned, leased by the owner or rented
OFFICE DEVELOPMENT & COMMERCE

Nam Long Property Management & Develop- Real estate; Real estate Management; 71.0 100%
ment One member Co., Ltd. (previously Nam Restaurant business
Long Development JSC)
CONSTRUCTION & SERVICES

Nam Khang Construction Investment & Devel- Real estate 116.0 100%
opment One member Co., Ltd. (“Nam Khang”)
Nam Long Real Estate Transaction Floor Co., Ltd. Real estate 6.0 100%
Nam Long Services JSC Urban and construction services 2.0 71.29%
(1) Nam Long directly owns 90.4% of Nam Long VCD and Nam Khang Corporation (100% owned by Nam Long) owns 9.5%.
(2) Nam Long directly owns 75.25% of Nam Long - Hong Phat and Nam Khang Joint Stock Company (100% owned by Nam Long)
owns 24.73%.
(3) Nam Long directly owns 99.96% Nam Phan Investment JSC, Nam Khang (100% owned by Nam Long) owns 0.02%, and
Nam Long Real Estate Transaction Floor Co., Ltd. (100% owned by Nam Long) owns 0.02%.
AFFILIATED COMPANY
Gamuda – Nam Long Development Investment in the construction of villas 30%

Co., Ltd. for sale and lease
Ehome is an affordable apartment The true intention is to provide the

KEY PRODUCT LINES designed based on 3 key criteria: economy, majority of Vietnamese people - middle
AFFORDABLE ecology and efficiency. Although the income class a quality living environment,
The Vietnamese property market is still
APARTMENT unit price is below VND 1 billion, Ehome a space for living, to work and play in
facing a paradoxical situation: 80% of
product always contain a full range conjunction with all of its services. In
the population needs a home yet lacks
of facilities such as a swimming pool, 2016, over 1,484 Ehome products have
the financial ability to obtain one while
basketball court, kindergarten, pharmacy, been purchased. Currently, Nam Long
the remaining is wealthy but not part of
convenience stores, waste water has launched Ehome S (Social housing)
the demand. To accomplish the mission
of “Creating homes for all Vietnamese treatment, fire sprinkler system, cable TV, developed for government employees.
families”, Nam Long has developed three internal telecommunications and other
key product lines to suit the financial public services.
capability and expectations of different
target customers.
Flora is an affordable condominium such as Flora Anh Dao, Flora Fuji, Flora
designed based on 3 G’s: getable, Kikyo with prices starting at 1.1 billion
green and greater. In the context of VND per unit. All of Nam Long condos
AFFORDABLE Vietnam, condominium projects all possess 24/7 security systems as
CONDOMINIUM belong to the high-end segment thanks well as family facilities such as a
to their compound format and private swimming pool, BBQ area, coffee
facilities. Nam Long is the pioneer to shop, outdoor gym, laundry room,
provide condominium standards at an and commercial areas. The concept
affordable price tag for Vietnamese
people – the middle income class
of this product line has earned the
trust of two Japanese Corporations,
SOCIAL SAVING SMART
- under the Flora brand. Currently, Hankyu Realty and Nishi Nippon
Nam Long has launched a number of Railway, to joint venture with us, and
projects under the Flora brand name achieve a high rate of success.
Valora is developed by Nam long near to CBD (District 1) or New CBD
Cuộc sống
based on 3 P’s: peace, proficiency (District 2), surrounded by features side
and perspective. Designed using such as green area and riverside, er
đơm hoa
Riv
the compound concept following maximizing every centimeter of living
AFFORDABLE international standards with private space at the price of 2.5 billion VND
VILLA facilities for residents, Valora comprises for a town house and 5 billion VND
of all the advantages of apartment and for a villa. After the Ehome and Flora
landed property. With concept design brand, Valora is another standardized
r c h il d r e n
following real demand, all projects concept carefully developed by Nam s
tie
under the Valora brand name such as Long. That is the reason for a positive
i
cil
bled Fa
Camellia Garden, Valora Fuji, Valora performance with approximately 300
t fo
Kikyo possess a prime location - townhouses and villas sold in 2016.
en
Dou
m
n
The ir o
b e st e nv
02. FINANCIAL HIGHLIGHTS
TOTAL SALES
(UNIT) (unit) 2,009
2,528
YEAR IN BRIEF 2016 2.500
2.000
1,519
1.500
711
1.000 427
500
2012 2013 2014 2015 2016
Valora
(Camellia Garden,
2016 REVENUE STRUCTURE Fuji, EHome 4)
(UNIT) 170 EHome S

(Kikyo Residence)
Land lots
SALES UNITS 293 719
Ehome S (Kikyo Residence) 719
Ehome (3,4,5) 696
Flora (Anh Dao, Fuji) 650
Land lots 293

Flora
Valora (Camellia Garden, 170 (Anh Dao,Fuji)
Fuji, Ehome 4) 650
TOTAL 2,528
EHome (3,4,5)
696
13.7% Total sales in 2016
IN THE AFFORDABLE
2,528 units
26%
HOUSING SEGMENT Incre- compared
IN HCMC.
ased by 2015
FINANCIAL HIGHLIGHTS (cont)

VND Billion
TARGET 2013 2014 2015 2016

NET REVENUE (BILLION DONG)
2,534 602 867
In 2016, Nam Long’s revenue doubled to Net Revenue 1,259 2,534
VND2,534 billion. Out of this, the apartment (billion dong)
segment accounted for 76% of total revenue, % Gross profit 231 304 418 823
61
GR
2.500
an increase of 80% yoy, more specifically the
company handed over nearly 2,000 units CA Operating profit 56 115 145 478
from the EHome 3, EHome 4, The Bridge 2.000
1,259
View and Flora Anh Dao projects Profits after tax 34 104 209 388
1.500 867
In addition, sales of the commercial 602 Profits after tax of parent company 21 96 206 345
real estate and townhouse have risen
impressively by nearly 8 times, reaching 1.000
respectively VND189 and VND166 billion. EPS 232 782 1,424 2,367
500
With respects to the land lots, the company 30% 44% 45% 101%
Revenue growth rate (yoy)
recorded a growth of more than 50% yoy to
VND166 billion, mainly from Dalia Garden, -14% 351%
Profit after tax of parent company growth rate 116% 67%
Can Tho. 2013 2014 2015 2016
Gross profit margin 38% 35% 33% 32%
Operating profit margin 9% 13% 12% 19%
NET PROFITS AFTER TAX 345 Net profits margin 4% 11% 16% 14%
& MINORITY INTERESTS
EPS growth rate (yoy) -12% 237% 82% 66%
(BILLION DONG) (billion dong)
Profit after-tax in 2016 saw a growth of 67%

300
54%
yoy, reaching VND345 billion. G R1 206
250 CA
In 2015, the company recorded VND111
billion other incomes from the increase 150
ownership rate up to 100% in ASPL -
96
Nam Long Limited Company (now NLG - 100
NNR - HR Fuji Co., Ltd.). Excluding other
incomes, the increase in profit after tax 21
50
exceeded 200% compared to 2015.
2013 2014 2015 2016
EARNINGS PER SHARE Net profits after tax
345
(EPS) (VND) (vnd) 2,367
& minority interests
17%
For 4 consecutive years, the compound 2.500
1
annual growth rates (CAGR) of profits GR
after tax & minority interests and 2.000 CA 1,424
EPS are 154% and 117% respectively.
The CAGR of EPS was lower because 1.500 782
Nam Long had issued shares under
private placement in 2014 (12,955,756 1.000
232
shares), 2015 (7,100,000 shares)
and also in 2016 under the Employee 500
billion dong
Shares Granting for senior managers
67%
(“ESG”) (542,353 shares).
2013 2014 2015 2016
Incre- compared
ased by 2015
FINANCIAL HIGHLIGHTS (cont)
REVENUE BREAKDOWN BALANCE SHEET

(BY PRODUCTS)
At the end of fiscal year 2016, Nam Long payment for construction, new project Debt/Equity ratio increased from 26%
Land lots Others
Investment Corporation’s total assets development and landbank acquisition. in 2015 to 37% in 2016 but remained
PROJECT VALUE PERCENT- 7% 3% reached VND6,208 billion with an increase relatively safe. Debt increased as at the
(billion dong) AGE (%) Commercial Total liabilities showed an increase of 18%
asset EHome 3 of more than VND1,100 billion, particularly beginning of 2016, Nam Long Investment
yoy, mainly due to growth in short-term
Ehome 3 791 32% 7% 32% from VND500 billion increase in cashes and
accrued expenses for subcontractors
Corporation issued VND500 billion
nearly VND600 billion growth in other short- converible bonds to strategic investor
in unfinished projects and expenses to
Flora Anh Dao 519 20% term receivables, as well as from advanced Keppel Land Vietnam.
support bank interest for customers.
The Bridge View
Ehome 4 420 17%
14%
The Bridgeview 360 14%
TARGET 2013 2014 2015 2016
Commercial 189 7%
assets/properties 1. Liquidity Ratio
Land lots 166 7% Short-term solvency ratio (time) 1.98 2.30 2.24 2.67
EHome 4
Others 89 3% 17% Flora
Anh Dao Quick ratio (times) 0.35 0.53 0.49 0.98
20%
2. Debt-to-equity Ratio
Liabilities/ Equity 135% 100% 117% 123%
Short-term assets/ Total assets 52% 49% 52% 49%
VND BILLION 2013 2014 2015 2016 3. Turnover Ratio
Apartment property 247 728 1,068 1,924 Inventory turnover 0.16 0.23 0.27 0.46
Townhouse 278 30 21 166 Total Asset turnover 0.22 0.24 0.28 0.45
Land lots 41 48 109 166

4. Profitability Ratio
Commercial assets 17 20 25 189
Net profit/ Total assets 0.66% 2.64% 4.60% 6.15%
Others 19 41 36 89
602 867 1,259 2,534 Net profit/ Total equity 1.64% 5.93% 9.92% 14.68%
TOTAL
6,209
Total asset at year end 2016
Apartment 2016 76% 7% 7% 7% 3%
Townhouse
2015 85% 2% 9% 2% 3%
Land lots
2014 84% 4% 6% 2% 5%
Commercial assets
billion dong
Others 41% 46% 7% 3% 3%
24%
2013
Incre- compared
0% 20% 40% 60% 80% 100%
ased by 2015
COPORATE MILESTONES
2 5 9
PROJECT FLORA AND DAO RECEIVED THE NAM LONG ANNOUNCED THE VALORA-
ASIA PACIFIC PROPERTY AWARDS 2016 TOWNHOUSE/ VILLA PRODUCT LINE
At the Asia Pacific Property Awards 2016 held in Nam Long Investment Coporation announced the
Kuala Lumpur (Malaysia), the Flora Anh Dao Project launch of its townhouse / villa product line with about
of Nam Long Investment Coporation received a five- 450 units to be made available this year.
star award in the “Best Condominium in Vietnam”
NAM LONG AND KEPPEL LAND AGREED ON THE category. Built to international compound standards (with a
NAM LONG HELD THE “BUYING A HOUSE IS NOT
INVESTMENT OF 500 CONVERTIBLE BONDS separate planning area) it has full internal services
Speaking about the award, Mr. Chu Chee Kwang, ensuring comfort and security for residents. Valora is a DIFFICULT” EVENT - AND INTRODUCED THE
The Keppel Land Group (Singapore), through its subsidiary General Director of Nam Long, emphasized: “The unique combination of the advantages of apartments EHOMES PRODUCT LINE
Ibeworth Pte. Ltd. (Ibeworth), has signed an agreement with winning of the Asia Pacific Property Award 2015 was and landed properties in Vietnam.
Nam Long Investment Corporation to register VND500 billion a great honor and a testament to the products of Buying a house with a limited budget is one of the issues that
(equivalent to SG$ 30.4 million) of convertible bonds on April 8, Nam Long. This is our accompaniment in helping our receive the most attention from over 500 participants of the
2016. In case all of these bonds are converted into shares, the new Flora line gain a strong foothold in the market as “Buying a house is not difficult” program by Nam Long Invest-
Singaporean party will hold a total of about 15% of the shares we have done with the Ehome line.” ment Joint Stock Company held at Thanh Nien Cultural House,
of Nam Long Corporation. District 1, HCMC and was broadcast live on VnExpress on the
morning of September 11th.
6 7 11
NAM LONG WAS NAMED “BEST REAL NAM LONG LAUNCHED THE FUJI
ESTATE DEVELOPER OF 2016” RESIDENCE PROJECT DEVELOPED
WITH JAPANESE PARTNERS
At the gala of Vietnam Property Awards 2016,
Nam Long Investment Corporation was honored In July 2016, the Fuji Residential Project jointed
with the “Best Real Estate Developer Award 2016”. dveloped by Nam Long Investment Corporation and
This award is the most prestigious Vietnamese two Japanese investors, Hankyu Realty and Nishi NAM LONG CONTINUED TO DEVELOP THE
NAM LONG ANNOUNCED THE SIGNING OF FUJI Property Award. In addition, Nam Long was also Nippon Railroad, introduced its model house and KIKYO RESIDENCE PROJECT AT THE CENTER OF
RESIDENCE PROJECT WITH TWO JAPANESE honored to be presented with a special certificate officially launched two projects. They are Flora Fuji DISTRICT 9 WITH HANKYU REALTY AND NISHI
for Corporate Social Responsibility and a nomina- with 789 apartments and Valora Fuji with 84 villas
INVESTORS NIPPON RAILROAD
tion for the Volora Camellia Garden Villa/Landed built to compound area which is an enclosure with
Nam Long Investment Coporation has once again confirmed its Property product line. full facilities inside to ensure comfort and security On November 8th 2016, Nam Long Investment Corporation ,togeth-
reliability and the trust of its invesrtors by continuing its cooper- for its residents. er with two Japanese investors, Hankyu Realty and Nishi Nipppon
ation with two leading Japanese investors, Hankyo Realty and Railroad – officially announced the development of the cooperative
Nishi Nipon Railroad, to develop a new project, Fuji Residence project Kikyo Residence in District 9. This is the third successive proj-
in District 9, HCMC. ect Nam Long cooperated with these Japanese investors after Flora
Sakura and Fuji Residence.
As was agreed in the signed contract, the two Japanese investors to-
gether and Nam Long contributed 50% each to the Kikyo Residence
project for 2 years.
AWARDS & ACCOLADES
• Vietnam Asia Property Awards:

 - Best Real Estate Developer Vietnam
 - Special recognition for CSR Vietnam
 - Highly Recommended Recognition for Camelia Garden project
• Asia Property Awards 2016 – Best Condominium in Vietnam for Flora Anh Dao
• Top 50 best listed companies of Vietnam by Forbes VN
• Excelent brand 2016
• Top 10 enterprise Vietnam 2016
Nam long is honoured to

received vietnam property
awards for: best real estate
developer 2016
OUTSTANDING PROJECTS
Flora Anh Dao

This is part of the affordable condominium product line.
Flora’s style is Japanese. Flora Anh Dao was launched
in Quarter I of 2015 with 500 units and has now sold
out. The condominium was finalized as planned in the
second quarter of 2016.
* Developed by:
Valora Camellia Flora Fuji

Part of the affordable Valora villa product line and beyond Inspired by Japanese-style condominiums, Flora Fuji
the expectations of single-family villas, Camellia Garden luxury condos for middle-income consumers have sold
has become the focal point of South Saigon Real Estate over 300 units after a 6-month launch. Flats are expect-
due to its prime location, full facilities, and very attractive ed to be delivered in the first quarter of 2018.
price range – only about 5 billion/unit. Launched in the
* Developed by:
second quarter of 2016, Camellia Garden project has sold
over 60% of its units, expected to hand over in the second
quarter of 2017
* Developed by:
Valora Fuji EHome 3

Affordable single-family Valora Fuji villas are built to This is the affordable housing line for the stable low-
compound standards with high-qualitiy amenities. The and middle-income segment of the Ehome line. Project
concept of “space efficiency” and neat designs with no Ehome 3 is one of the ‘phenomena’ in West Saigon with
extraneous details create one of the most affordable more than 2,000 successfully sold and which are in the
/ easy-to-buy villa projects today. Valora Fuji is a proj- process of final handover in the first quarter of 2017.
ect attracting the attention of the real estate market.
The project is expected to be handed over in the fourth * Developed by:
quarter of 2017.
* Developed by:
Dalia Garden EHome S Phu Huu

Dalia Garden is the focal project of Nam Long in Can Tho In order to satisfy the demand of middle-income earn-
City. From the project site it takes only 5-10 minutes to ers, Ehome S Phu Huu, part of the social housing mar-
the city center through the main roads such as Quang ket, has launched 1,300 units in October 2016. Within 3
Trung Bridge, Hung Loi Bridge... months all units available on the market were booked.
This project that expects to finish in 2018 sold out phase These units are expected to be handed over in the fourth
1 after one year launch. quarter of 2017.
* Developed by: * Developed by:

03.
CORPORATE
GOVERNANCE REPORT
ORGANIZATION CHART
SHAREHOLDERS
INSPECTION COMMITTEE
BOD
OFFICE
BOARD OF DIRECTOR
INTERNAL HR-ER INVESTMENT

AUDIT COMMITTEE COMMITTEE
COMMITTEE
CEO INVESTOR
RELATION
COMMITTEE
CEO OFFICE
BOARD OF MANAGEMENT
PLANNING & PROJECT DESIGN PROJECT & CAN THO HUMAN INVESMENT & FINANCE & BUSINESS SALES &
PROJECT DEVELOPMENT MANAGEMENT CONSTRUCTION BRANCH RESOURCES & INVESTOR ACCOUNTING DEVELOPMENT MARKETING
CONTROL & LEGAL DIVISION MANAGEMENT ADMINISTRATIVE RELATIONS DIVISION DIVISION DIVISION
DIVISION AFFAIRS DIVISION DIVISION DIVISION
DIVISION
THE BOARD OF DIRECTORS, THE INSPECTION

COMMITTEE & THE BOARD OF MANAGEMENT
BOARD OF DIRECTORS INSPECTION COMMITTEE
Ms.
Mr. Mr. Mr.
NGUYEN THI THANH THAO
NGUYEN XUAN QUANG TRAN THANH PHONG LINSON LIM SOON KOOI
Head of Inspection Committee
Chairman of BOD Permanent Vice Chairman of Member of BOD
BOD Member of ACCA, many years
Over 30 years of experience in Over 30 years of experience in of experience in auditing at Big 4
architecture design, construction Over 25 years of experience in construction and real estate companies – Ernst & Young VN
and real estate development construction and real estate development and over 5 years of experience in
development internal audit at Nam long Group
President of Keppel Land Ltd.
Mr. Mr.
Mr. Mr.
BUI DUC KHANG CAO TAN THACH
LAI VOON HON YIP CHONG KUAN
Member of BOD Member of BOD
Member of BOD Member of Inspection Committee
Over 30 years of experience in Construction engineer of UC Ivrine
construction and real estate University, California, USA and Over 25 years of experience in Member of ACCA, UK, many
development working experiences in Linscott architecture design years of experiences in Finance
Company, Law & Greespan at Ireka Group.
Engineers, USA. He is now a Chairman cum CEO of Ireka
member of ASCE, USA. Development Sdn Bhd.
Mr. Mr. Mr. Mr.

TRINH VAN TUAN ZIANG TONY NGO CHAD RYAN OVEL VUONG THUAN
Member of BOD Member of BOD Member of BOD Member of Inspection Committee
Over 25 year of experience in MBA in Harvard and Standford, Over 20 years of experience Many years of experience
banking sector over 15 years of experience in in business administration, in the field of Acoounting &
Finance sector (USA) investment and Finance
Finance
Chairman of OCB bank
President of Mekong Capital
Mr.
NGIAN SIEW SIONG
Member of BOD
Over 30 years of experience in

real estate evelopment
Advisor to CEO of Mah Sing Group
Former CEO of Sunway City Bhd
& advisor to Chairman of Pavilion
Group
THE BOARD OF MANAGEMENT
Mr.
STEVEN CHU CHEE KWANG
Group Chief Executive Officer
Over 30 years of experience in the
field of Project Management and
Real Estate Development in Malaysia,
Australia, Singapore and Vietnam
PROJECT DIVISIONS ECONOMICS - INVESTMENT DIVISIONS
Mr.
Mr. Mr. Mr.
CAO TAN THACH NGUYEN NGOC THANH CHAU QUANG PHUC NGUYEN VAN SANG
Acting Managing Director, Project Human Resources & Administration
Divisions Director of Design Management Director of Financial and
Division Accounting Division Director
Construction engineer of UC Ivrine
University, California, USA and working 30 years of experience in design Over 15 years of experience in finance Over 20 years of human resourc-
experiences in Linscott Company, Law & planning, architecture and and accounting at at fast-consuming es management experience at
& Greespan Engineers, USA. He is now interior as a project manager and goods and real estate companies. domestic and foreign corporations.
a member of ASCE, USA. executive.
Mr. Mr. Ms. Mr.

NGUYEN NGOC HUYEN QUACH KIM DONG NGUYEN THANH HUONG LE CHIEN THANG
Acting Director of Project Director of Can Tho Branch Director of Investment & Director of Business Development
management & construction division Investment relation division Division
Over 30 years of experience
Over 10 years of experience in in construction and project Over 20 years of experience in real 15 years of experience in real estate
the field of construction & project management. estate, finance and banking sector development
management
Mr. Mr. Mr. Ms.

DUONG TAN VINH TRAN QUOC THANG NGUYEN MINH QUANG LUONG THI KIM THOA
Acting Director of Project Acting Director of Planning & Acting director of Sales and
Chief Accountant
Development and Legal Affairs Project Control Division Marketing Division
Division 21 years of experience in account-
Over 20 years of experience in Over 15 years in real estate
ing and working for Nam Long
With 15 years of experience in real real estate development development since 2002 up to date.
estate development.
04.
CORPORATE SOCIAL
RESPONSIBILITY REPORT
HUMAN RESOURCE POLICIES AND BENEFITS
In order to create a favorable and fair work- In 2016, the company has implemented 22 • Training and staff development programs:
ing environment, as well as motivation for training programs for all levels of employ- technical skills, soft skills, and manage
staff development, Nam Long Investment ees. Successive team training programs are ment and leadership skills
Corporation has set up a system of em- also being implemented to ensure continuity Additionally, the Company also has other pro-
ployee evaluation based on the balanced of company development. More specifically: grams such as:
scorecard method. This system will enable • Recruitment and termination policy
the company to achieve its three main goals: • PVI Care’s comprehensive employee insurance
• Introduction to Recruitment policy • Holiday programs for employees in
• Company goals when individuals’ goals
are fulfilled • Physical training for staff Vietnam and abroad
• Fairness in the review, bonus, and welfare • Annual Employee Information program • Sports programs sponsored by the Com-
process • Issuance of 542,353 shares under pany such as tennis, badminton, yoga,
Employee Shares Granting (“ESG”) for and dance
• Fevelopment and selection of potential
staff for succession plan senior managers
Nam Long Annual team building event

THE TOTAL NUMBER OF EMPLOYEES OF THE COMPANY AS OF DECEMBER 2016
NO. TEAM NLIC NL VCD NL ADC REAL ESTATE NL NAM CAN TOTAL
TRADING SERVICES KHANG THO
FLOOR
1 Board of Directors 11 1 2 4 2 5 25
2 Board of Directors – Others
3 Corporate offices 4 1 1 6
4 BOM offices 4 4
5 Human Resources & Administration 16 3 3 4 1 6 33
6 Finance & Accounting 16 2 5 4 4 9 40
7 Investment & Investor Relations 9 9
Nam Long 24th anniversary event Nam Long year –end party 2016
8 Project Planning and Control 12 1 2 3 18
9 Project Development & Legal Affairs 13 13
NLIC’S LABOR STRUCTURE (AS OF DECEMBER 2016)
10 Design Management 7 3 10
11 Project Management and Construction 37 8 27 106 178
BY EDUCATIONAL TOTAL PERCENT- BY TYPE OF TOTAL PERCENT-
12 Marketing & Businesses 24 7 93 1 125 LEVEL AGE(%) CONTRACT AGE (%)
13 Business Development 8 8 University and above 147 91.3% Not specified/ Unknown 87 54.03%
14 Residential area development 1 College 10 6.3% 1-3 year duration 74 45.97%
15 Can Tho Branch 18 18 Intermediate and elementary
2 1.2%
vocational schools
16 Other services Secondary labor 2 1.2%
TOTAL 161 8 27 106 35 132 18 487
*Note: Not including seasonal employees, consultants and outsourced employees of member companies
ENVIRONMENTAL
AND SOCIAL FACTORS
Protecting our surrounding envrionment project, Nam Long requires contractors to • Nam Long always explores and strives
is the first and most important goal of apply new technologies in environmental to apply advanced technological meth-
Nam Long when investing in and de- protection such as: ods to protect and reduce environmen-
veloping projects. In 2016, Nam Long tal pollution.
• Using the Miclayco additive to turn clay
Corporation also received the CSR (copor- and salt in sand stone materials into • The new urban areas built by the com-
ate social responsibility) award from Viet- mortar and cement concrete used for pany are built with the criterion of “a
nam Asia Property Awards. transportation items, embankments to green and non-submerged city” in mind:
Nam Long has set up a management reg- minimize the use of building materials all have a separate rainwater and waste
ulation for residential areas with stringent that need to be preserved water drainage system.
provisions on environmental protection
• Encouraging the use of plastic form- • All of Nam Long projects involve the
during the construction and operation of work to be reused instead of wood construction of a waste water treat-
the project. In addition, Nam Long also molding, maximizing the use of natural ment plant with technology in accor-
formed a professional security team to resources. dance with the Environment Code and
patrol, monitor and remind the construc- are approved by the Department of
tion units and residents to collect and In each project, Nam Long separates the
rainwater drainage system from the waste Environment and Natural Resources.
treat household waste correctly so as After-treatment waste water must meet
not to affect the environment inside and water drainage system. The waste water
drainage system is treated before water the regulations specified.
outside of the project. At the same time
they also have to ensure that the safety from this system is discharged into the ar- • The residential areas of Nam Long all
measures do not release dust, emissions ea’s central water drainage system. At the meet environmental standards by the
or cause excessive noise and vibration same time, we aim to increase the number Department of Science, Technology
to the surrounding environment. In each of trees and parks in the project area. and Environment.
Vietnam - Korea concert organised in Nam Long residence
RESPONSIBILITY TO
THE COMMUNITY
Beside economic activities, Nam Long practical social programs. With respect Binh Duong province), student sports tour-
always places an emphasis in support- to philanthropic activities, Nam Long naments sponsorship (for example bad-
ing activities with long-term benefits for has dedicated an annual private fund to minton tournament in Tan Phu district),
the whole community. For instance, Nam charitable causes such as scholarship construction of houses of gratitude for the
Long has sponsored scientific workshops and textbooks sponsorship for poor stu- heroic mothers of Vietnam, Grandfather-
(including flood mitigation projects for dents, school construction sponsorship Grandmother-Children clubs, and fire and
residential areas and soft soil house (for example sponsorship for students in flood protection programs. Since 2010,
construction research), designed com- Long An province, or annual sponsorship Nam Long has organized an annual char-
Nam Long to donate books to Binh Thanh primary school Nam long receives EDGE certificate for green building petitions, doneseminars on urban plan- for poor students), book and magazine ity golf tournament to raise funding for the
ning, funded the scientific publication sponsorship for universities (University of poor students’scholarship program for
“Urban flood mitigation and sustainable Economics, Technology, Architecture, Can Ho Chi Minh City National University and
urban development”, and participated in Tho University, Long Anh provincial library, other meaningful social programs.
05.
APPENDIX 1
STATISTICAL DATA ON SHAREHOLDERS INTRODUCTION TO NAM LONG’S SUBSIDIARIES
List of shareholders who are members of the Board of Directors, Inspection Committee, Board of Management and other related major
shareholders of the Company as of 05/02/2017 SUBSIDIARIES
NAME POSITION NUMBER OF SHARES WEIGHTAGE (%) NAM KHANG CONSTRUCTION INVESTMENT & NAM LONG PROPERTY MANAGEMENT & DEVELOP-
DEVELOPMENT ONE MEMBER CO., LTD. MENT CO., LTD. (NAM LONG PMD)
BOARD OF DIRECTORS
Head office address: 147-149 Tran Trong Cung, Tan Thuan Dong Head office address: 06 Nguyen Khac Vien, District 7, HCMC
Ward, District 7, HCMC Charter capital: VND71,047,900,000
Mr. Nguyen Xuan Quang Chairman 20,819,039 14.6%
Charter capital: VND116,000.000,000 Nam Long Real Estate Management and Operation Limited (previ-
ously Nam Long Development Corporation - Nam Long DC) was
Mr. Tran Thanh Phong Vice Chairman 8,738,095 6.1% Nam Khang One Member Limited Liability Company, Formerly established in 2007 aimed at developing, managing and operating
Nam Khang Investment Joint Stock Company, was established Nam Long Group’s commercial real estate products. Nam Long DC
- Representative of IBE in 2004 and converted to One Member Limited Liability Company
Mr. Linson Lim Soon Kooi Member 7,100,000 5.0% focuses on such products as office buildings, serviced apartments
WORTH PTE., LTD since 22/07/2015 and villas for lease, hotels, resorts, international schools, medical
- Representative of Nam Khang In 2015, Nam Khang has put up great effort to fulfill the business centers and other commercial real estate properties.
Mr. Bui Duc Khang Member 6,945,958 4.9%
- Private ownership plan set by headquarters – Nam Long Investment Corporation – At the moment, Nam Long DC is currently operating and manag-
with revenue of 860 billion VND. At the same time, it handed over ing Nam Long Capital Tower (office building), the first project of
Mr. Cao Tan Thach Member 273,468 0.2% apartment blocks of EHome 3, EHome 4, the Bridgeview and other Nam Long DC, situated in the commercial finance center of Phu
townhouse/villa projects to the committed standard of the Group My Hung and the headquarters of Nam Long Group. Capital Tower
and customers on time. was officially launched in 2009 with an occupancy rate over the
Mr. Lai Voon Hon Member - -
In 2017, Nam Khang will continue to improve its efficiency and last 3 years of approximately 100% and the highest leasing price
quality by using new equipment, enhancing construction quality in the area.
Mr. Chad Ryan Ovel Member - -
as well as health safety standards to the Group & customers’ stan-
dards and has become a professional name in the field of con-
Mr. Trinh Van Tuan Member - - struction of Ho Chi Minh city. NAM LONG REAL ESTATE TRANSACTION FLOOR
CO.,LTD.
Mr. Ziang Tony Ngo Member - - Head office address: 73-75, Tran Trong Cung, Tan Thuan Dong,
NAM LONG APARTMENT DEVELOPMENT CORPO-
District 7, HCMC
RATION (NAM LONG ADC)
Mr. Ngian Siew Siong Member - - Charter capital: VND6,000,000,000
Head office address: 9th Floor, Nam Long Capital Tower – 06
Nam Long Real Estate Transaction Floor Co., Ltd. was established
Nguyen Khac Vien, District 7, HCMC
BOARD OF MANAGEMENT in 2010 aimed at distributing products of Nam Long Group to the
Charter capital: VND300,000,000,000 market in an open and transparent manner.
Mr. Chu Chee Kwang CEO 170,655 0.12% Nam Long Apartment Development Corporation (Nam Long ADC) Nam Long Transaction Floor is operating with full functions as a
was established in 11/2007 withcharter capital of 300 billion VND professional real estate transaction floor, including: sales and pur-
Mr. Châu Quang Phúc Chief Financial Officer 93,729 0.1% with the aim of becoming the first real-estate company specializing chase transactions, assignments, leases, rental purchases, broker-
in affordable housing following the legacy of Nam Long Investment ing, evaluation, advertisements, auction and real estate consultan-
CHIEF ACCOUNTANT - Corporation. cy, to support customers to carry out transactions conveniently,
safely, effectively thanks to modern equipment and professional
Ms. Luong Thi Kim Thoa Chief Accountant 20,549 0.0% and enthusiastic personnel.
With nearly 120 employees, a transaction office of over 250 square
MAJOR SHAREHOLDERS WHOM ARE RELATED TO BOARD MEMBERS meters in the heart of District 1 and transaction offices at other
Nam Long main project sites, Nam Long Transaction Floor is ex-
Ms. Ngo Thi Ngoc Lieu Major shareholder 7,150.001 5.0% pected to meet the business plan of the corporation in 2017.
Ms. Nguyen Thi Bich Ngoc Major shareholder 8,988,601 6.3%

NAM LONG SERVICES JOINT STOCK COMPANY NGUYEN SON REAL ESTATE JOINT STOCK COMPANY THAO NGUYEN REAL ESTATE INVESTMENT & NLG - NNR - HR FUJI CO., LTD.
(NAM LONG SERVICES) Head office address: 5B Floor, Nam Long Capital Tower, No. 6 TRADING CO., LTD. Head office address: 5B Floor, Nam Long Capital Tower, No. 6
Head office address: 73-75 Tran Trong Cung, Tan Thuan Dong Nguyen Khac Vien, Tan Phu Ward, District 7, HCMC Nguyen Khac Vien, Tan Phu Ward, District 7, HCMC
Head office address: 9th Floor, Capital Tower, 6 Nguyen Khac
Ward, District 7, HCMC Charter capital: VND573,222,130,000
Vien, Tan Phu Ward, District 7, HCMC Charter capital: VND690,000,000,000
Charter capital: VND2,000,000,000 Nguyen Son Construction and Trading Co., Ltd. was established
Charter capital: VND54,000,000,000 NLG - NNR - HR FUJI Co., Ltd (previously ASLP PLB – Nam Long
Nam Long Services Joint Stock Company was established in 2005 in 1999 aimed at land development in a new township of South
Saigon, which was rated as one of the central urban areas in the Nguyen Phuc Investment and Real Estate Trading Co., Ltd. was Co., Ltd.) aims to invest and develop Flora Fuji high-end apartment
aimed at specializing in after-sales operation and providing urban
future. Currently, the company focuses on implementing the established in December 2012 to implement a high-rise project lo- project and Valora Fuju high-class villa project in Phuoc Long B
services, maintaining closed cycles of real estate development Ward. District 9, Ho Chi Minh City.
Aquamarine residences project with an area of 37.4 hectares cated on Long Thanh My Ward, District 9, Ho Chi Minh City with an
products, and increasing value-added to for Nam Long Group to
close to the strategic Nguyen Van Linh avenue. area of 8,517.6 m2 . In 2016, Nam Long successfully negotiated a partnership with two
complete value chain.
With such a strategic location, large scale and impressive master Following the success of the co-operation in Flora Anh Dao project, Japanese partners (Hankyu Realty Co., Ltd. and Nishi-Nippon Rail-
Nam Long Services JSC currently manages services for residential road Co., Ltd.) in this project.
plan, the project has received lots of attention from both foreign Nam Long and two Japanese investors (Hankyu Realty Co., Ltd.
areas in and outside Nam Long Group such as environmental ser- and Nishi-Nippon Railroad Co., Ltd.) have signed an agreement to
and domestic real estate developers.
vices, providing nursery plants, parking, security guard, electricity and continue a joint venture development of this project.
water services, etc. to serve the day-to-day activities of the residents.
In the near future, Nam Long Services JSC will further improve the NAM PHAN INVESTMENT JOINT STOCK COMPANY
service quality to meet the high expectations of Nam Long residents.
Head office address: 31D, Ly Tu Trong, Ben Nghe Ward, District NNH KIKYO FLORA CO., LTD. KIKYO VALORA CO., LTD.
1, HCMC
Head office address: Capital Tower, 6 Nguyen Khac Vien, Tan Phu Head office address: Capital Tower, 6 Nguyen Khac Vien, Tan Phu
Charter capital: VND158,167,670,000 Ward, District 7, HCMC Ward, District 7, HCMC
NAM LONG VCD JOINT STOCK COMPANY
The Company currently implements the 17.8 hectare project lo- Charter capital: VND50,821,000,000 Charter capital: VND198,000,000,000
Head office address: 24 Nguyen Huu Tho, Quarter 3, Ben Luc
cated at Phu Huu Ward, District 9, Ho Chi Minh City. Nam Phan
Town, Ben Luc District, Long An Province NNH Kikyo Flora Limited Company was established to continue the Kikyo Valora Co., Ltd. was established to continue the project de-
Investment JSC is the investor of the first social housing project
project development with two Japanese partners (Hankyu Realty velopment with our Japanese partner (Nishi-Nippon Railroad Co.,
Representative office in HCMC: 5B Fl, Nam Long Capital Tower - 06 of Nam Long Corporation in 2016. This project has met the high
Co., Ltd. and Nishi-Nippon Railroad Co., Ltd.). It is located in Phu Huu Ltd.). It is located in Phu Huu Ward, District 9, Ho Chi Minh City.
Nguyen Khac Vien, District 7, HCMC housing demand of low-income customers.
Ward, District 9. HCMC. Kikyo Flora is 5,339 square meters in size, KikyValora is 47,790 square meters in size, and 110 luxury villas are
Charter capital: VND1,128,991,150,000 and 224 apartments are expected to be developed here. expected to be developed here.
Nam Long VCD Joint Stock Company was established to focus NGUYEN PHUC REAL ESTATE INVESTMENT & This is a promising project that is expected to contribute to the rev-
on developing the Waterpoint township of 355 hectares located enue and profitability of the Corporation in 2017.
TRADING CO., LTD.
in Ben Luc, Long An Province. This is the largest project of Nam
Head office address: 9th Floor, Capital Tower, 6 Nguyen Khac
Long Group.
Vien, Tan Phu Ward, District 7, HCMC
Charter capital: VND60,000,000,000
AFFILIATED COMPANY
NAM LONG – HONG PHAT JOINT STOCK COMPANY
Nguyen Phuc Investment and Real Estate Trading Co., Ltd.
Head office address: A201, Street No. 10, Nam Long Residential was established in December 2012 to implement the Flora GAMUDA – NAM LONG DEVELOPMENT
Area, Hung Thanh Ward, Cai Rang District, Can Tho City Anh Dao project located on Do Xuan Hop Street, Phuoc Long
CO., LTD.
B Ward, District 9, Ho Chi Minh City with an area of 11,236 m2
Charter capital: VND60,000,000,000
planned for development of a 16-storied apartment building Head office address: No. 6 Nguyen Khac Vien, Tan Phu Ward,
Nam Long – Hong Phat was established in 2007 for the purposes with 500 modern units of Japanese-style apartments. District 7, HCMC
of developing land assets in the Mekong Delta. At present, the Com-
Flora Anh Dao project marks an important milestone in the co- Charter capital: VND142,809,333,333
pany is implementing the Nam Long – Hong Phat Residence proj-
operation between Nam Long Group and Japanese investors Gamuda is the leading real estate group in Malaysia. The co-
ect covering an area of 15.4 hectares at Hung Thanh Commune,
(Hankyu Realty Co. LTD and Nishi-Nippon Railroad Co., LTD). operation and joint venture with Gamuda will help Nam Long
Can Tho City. Phase I of the project (the launching of villas and land-
The handover stage of the project has been completed in 2016. Group improve its operation and management experience, and
ed properties) has been completed. Phase II (sales of properties) is
affirm its position in the real estate market in Vietnam.
also expected to be a great success.
This joint venture has successfully implemented a part of Nam
Phu Villas project in Tan Thuan Dong Ward, District 7 in 2008,
setting the foundation for further co-operation and a coalition
between both parties in the future.
LIST OF NAM LONG‘S PROJECTS AWARDS & ACCOLADES IN HISTORY
PROJECTS COMMER- LOCATION OWNER- AREA PRODUCT NUMBER OF DEVELOPMENT

CIAL NAME SHIP (m2) LINES PRODUCTS GFA (m2) TIMELINE
Asia Property Awards 2014-2015, 2016-2017 Property Awards 2015 Asia Property Awards Property Excellence Awards 2015
Tien Hung Ehome 3 - Binh Tan, 100% 63,891 EHome 2,204 144,740 2013 - 2016
West Sai Gon HCM
Tan Thuan Dong EHome 5 - The Dist. 7, HCM 100% 20,185 EHome 578 49,521 2014 - 2015
Bridgeview
Phuoc Long B - Flora Anh Dao Dist. 9, HCM 50% 11,628 Flora 500 37,581 2015 - 2016 Asia Property Awards - for Bridgeview, Vietnam Gold Star Awards 2007, 2008, Trusted Quality Supplier (TQS) - Vietnam Excellent Brand 2012
Do Xuan Hop Waterpoint, EHome 3 2009, 2010, 2011, 2013 Management System 2014
9B7 Camellia Binh Chanh Townhouse 102 8,783 2016 - 2017

Garden Dist., HCM 60% 59,593
Villas 84 13,914
Casa Project Fuji Residence Dist. 9, HCM 50% Flora 789 59,775 2016 - 2018
54,346
Valora 84 10,285 BCI top 10 award for developer 2013 BCI Asia top 10 awards – best Top 100 Trusted brand 2008 Gold Award 2008
architecture firm
8C Residential Dalia Garden Can Tho 75.25% (1) Land lots 588 N/A 2016 - 2018
Area 159,875
Villas 29
Can Tho 23 Nam Long 100% 230,000 Land lots 548 N/A 2016 - 2018 CHANGES IN BOD, IC, BOM AND GROUP HUMAN RESOURCES
Hung Thanh CHANGES IN BOD AND IC:
All members of the Board of Directors are re-elected for the new term 2016 - 2021 at the 2016 Annual General Meeting of Shareholders on
Phu Huu Kikyo Dist. 9, HCM 50% 178,287 Valora 110 15,940 April 23, 2016.
Residence • Mr Timothy Thien Chau was dismissed from the position of Member of the Inspection Committee on April 23.
Flora 224 18,880 2017 - 2019
• Mr David Yip resigned as Head of Supervisory Board and was appointed to the position of Member of the Inspection Committee for
100% EhomeS 1,420 78,468 the term 2016-2021 on April 23.
• Ms. Nguyen Thi Thanh Thao was appointed to the position of Head of Inspection Committee for the term 2016 - 2021 on April 23.
Hoang Nam Hoang Nam Binh Tan Dist., 100% 88,659 Flora 4,624 397,345 2017 - 2022 • Mr. Vuong Thuan was appointed to the position of Member of the Inspection Committee for the term 2016 - 2021 on April 23.
HCM
CHANGES IN THE BOARD OF MANAGEMENT:
Long An Water point Long An 90.4% (2) 3.551,435 Township N/A N/A 2018 - 2028
• Mr Nguyen Ngoc Huyen was appointed as Project Manager and Construction Manager on February 14th, 2016
Nguyen Son Mizuki Park Binh Chanh 87.33% 374,123 Valora 384 27,118 • Mr. Le Chien Thang resigned from the position of Director of Marketing & Business from January 23th, 2016
Dist., HCM 2017 - 2023 • Mr. Pham Tuan Nam was appointed as Acting Director of Marketing & Sales from January 23th.
Flora 6,402 405,470
• Mr Le Chien Thang was appointed as Director of Business Development from February 01st, 2016
Ehome S 1,726 101,425 2017 - 2025 • Mr. Pham Tuan Nam resigned from the position of Acting Head of Marketing & Business from September 20th, 2016
• Mr. Nguyen Minh Quang was appointed as Acting Director of Marketing & Sales from September 21st, 2016
Nam Long Villas land lots 44 N/A 2016 - 2017 • Mr. Nguyen Huu Nhon resigned from the position of Director of Can Tho Branch from April 01st, 2016
Villas • Mr. Quach Kim Dong was appointed Director of Can Tho Branch from April 01st, 2016
• Mr Cao Tan Thach was dismissed from the position of Project Planning and Control Project Manager from October 14th, 2016. Currently
Mr Thach continues to hold the position of Acting Managing Directors, Project Divisions.
(1) Nam Long directly owns 75.25% of Nam Long – Hong Phat and Nam Khang (100% owned by Nam Long) owns 24.73%
• Mr. Tran Quoc Thang was appointed Acting Director of Project Planning and Control from October 14th, 2016
(2) Nam Long directly owns 90.4% of Nam Long VCD and Nam Khang (100% owned by Nam Long) owns 9.5%. • Mr. Nguyen Phuc resigned from the position of Director of Project Development and Legal Affairs from June 01st, 2016.
• Mr Duong Tan Vinh was appointed Acting Director of Project Development and Legal Affairs Department since June 01st, 2016.
06.
APPENDIX 2
GENERAL INFORMATION
THE COMPANY THE COMPANY (continued)

Nam Long Investment Corporation (“the Company”) is a joint stock company incorporated under the Law on Enterprise of Vietnam The current principal activities of Nam Long Investment Corporation and its subsidiaries (“the Group”) are the engaging in civil
pursuant to the Business Registration Certificate (“BRC”) No. 4103004194 issued by the Ho Chi Minh City Department of Planning and industrial construction; housing renovation and interior decoration; housing trade (construction, renovation of houses for sale
and Investment (“DPI”) on 27 December 2005, and the fifteenth amended BRC dated 5 September 2016. or lease); harbour and road bridge construction; ground levelling, construction of drainage systems; installation and repair of elec-
The Company’s shares were listed on the Ho Chi Minh City Stock Exchange (“HOSE”) with code NLG in accordance with Decision trical systems under 35KV; housing brokerage services; sale and purchase of construction materials; investment in construction
No. 14/2013/QD-SGDHCM issued by HOSE on 25 January 2013. and trade of urban areas; investment in construction and trade of infrastructures for industrial zones and hi-tech parks. Investment
in construction, trade, management and lease of: office buildings, supermarkets, schools, swimming pools, hotels, restaurants,
As at 31 December 2016, the Company has fourteen direct subsidiaries and two indirect subsidiaries, one associate and one jointly-
golf course, sports facility zones and resorts (outside office premises); project management advisory service; design verification;
controlled entity with details as follows:
real estate brokerage services; real estate valuation services; real estate exchange services; real estate consulting services; real
estate auction services; real estate advertising services; real estate management services.
COMPANY LOCATION BUSINESS
The Company’s head office is located at 11th Floor, Capital Tower, 6 Nguyen Khac Vien Street, Tan Phu Ward, District 7, Ho Chi
SUBSIDIARIES Minh City, Vietnam and one branch in Can Tho City, Vietnam.
Nam Long Property Management and Development Ho Chi Minh City Construction and
One Member Limited Company (“HCMC”) real estate BOARD OF DIRECTORS
Nam Long Service Joint Stock Company HCMC Service and Members of the Board of Directors during the year and at the date of this report are:
construction Mr Nguyen Xuan Quang Chairman
Nam Long - Hong Phat Joint Stock Company Can Tho City Construction and Mr Tran Thanh Phong Vice Chairman
real estate
Mr Lai Voon Hon Member
Nguyen Son Real Estate Joint Stock Company HCMC Real estate
Mr Bui Duc Khang Member
Nam Long Apartment Development Corporation HCMC Construction and Mr Chad Ryan Ovel Member
real estate
Mr Trinh Van Tuan Member
Nam Long Real Estate Transaction Floor One Member HCMC Real estate trading
Limited Liability Company floor Mr Ziang Tony Ngo Member
Construction and Mr Ngian Slew Siong Member

Nam Khang Construction Investment Development HCMC
One Member Limited Liability Company real estate Mr Cao Tan Thach Member
Nam Vien Construction and Design Consulting Joint HCMC Service Mr Linson Lim Soon Kooi Member
Stock Company
BOARD OF SUPERVISION
Nam Khang Construction Materials Trading Company HCMC Construction material
Limited trading Members of the Board of Supervision during the year and at the date of this report are:
Nam Long VCD Corporation Long An Province Construction and real Ms Nguyen Thi Thanh Thao Head of the Board of Supervision appointed on 23 April 2016
estate Mr Yip Chong Kuan Head of the Board of Supervision resigned on 23 April 2016
Nam Phan Investment Corporation HCMC Construction and
real estate Mr Vuong Thuan Member appointed on 23 April 2016
Nguyen Phuc Real Estate Investment and Trading HCMC Real estate Mr Timothy Thien Chau Member resigned on 25 April 2016
Company Limited
MANAGEMENT
Thao Nguyen Real Estate Investment and Trading HCMC Real estate
Company Limited Members of the Management during the year and at the date of this report are:
NLG – NNR – HR Fuji Company Limited HCMC Construction and Mr Chu Chee Kwang General Director
real estate Mr Chau Quang Phuc Chief Financial Officer
NNH Kikyo Flora Company Limited HCMC Real estate Ms Nguyen Thanh Huong Investment Director
NNH Kikyo Valora Company Limited HCMC Real estate
LEGAL REPRESENTATIVE
Joint venture
The legal representative of the Company during the year and at the date of this report is Mr Nguyen Xuan Quang.
Gamuda - Nam Long Development Limited Liability HCMC Real estate
Mr Chu Chee Kwang is authorised by Mr Nguyen Xuan Quang to sign the accompanying consolidated financial statements for
Company
the year ended 31 December 2016.
Associate
Okamura Tokyo Co., Ltd HCMC
AUDITORS
Real estate
The auditor of the Company is Ernst & Young Vietnam Limited.
Report of management Independent auditors’ report

Reference: 60755865/18591923-HN
Management of Nam Long Investment Corporation (“the records are kept which disclose, with reasonable accuracy at any TO: THE SHAREHOLDERS AND THE BOARD
Company”) is pleased to present its report and the consoli- time, the consolidated financial position of the Group and to ensure OF DIRECTORS OF NAM LONG INVESTMENT
dated financial statements of the Company and its subsidiaries that the accounting records comply with the applied accounting sys-
(“the Group”) for the year ended 31 December 2016. tem. It is also responsible for safeguarding the assets of the Group
CORPORATION
and hence for taking reasonable steps for the prevention and detec- We have audited the accompanying consolidated financial state- An audit involves performing procedures to obtain audit
MANAGEMENT’S RESPONSIBILITY IN RESPECT OF tion of fraud and other irregularities. ments of Nam Long Investment Corporation (“the Company”) evidence about the amounts and disclosures in the con-
THE CONSOLIDATED FINANCIAL STATEMENTS and its subsidiaries (“the Group”) as prepared on 6 March 2017 solidated financial statements. The procedures selected
Management confirmed that it has complied with the above
Management is responsible for the consolidated financial and set out on pages 6 to 46, which comprise the consolidated depend on the auditor’s judgment, including the assess-
requirements in preparing the accompanying consolidated fi-
statements of each financial year which give a true and fair balance sheet as at 31 December 2016, the consolidated income ment of the risks of material misstatement of the consoli-
nancial statements.
view of the consolidated financial position of the Group and statement and the consolidated cash flow statement for the year dated financial statements, whether due to fraud or error.
of the consolidated results of its operations and its consoli- then ended and the notes thereto. In making those risk assessments, the auditor considers
STATEMENT BY MANAGEMENT
dated cash flows for the year. In preparing those consoli- internal control relevant to the Group’s preparation and
Management does hereby state that, in its opinion, the accompa-
MANAGEMENT’S RESPONSIBILITY
dated financial statements, management is required to: fair presentation of the consolidated financial statements
nying consolidated financial statements give a true and fair view Management is responsible for the preparation and fair presen- in order to design audit procedures that are appropriate in
- Select suitable accounting policies and then apply them of the consolidated financial position of the Group as at 31 De- tation of these consolidated financial statements in accordance the circumstances, but not for the purpose of expressing
consistently; cember 2016, and of the consolidated results of its operations with Vietnamese Accounting Standards, Vietnamese Enterprise an opinion on the effectiveness of the Group’s internal
- Make judgements and estimates that are reasonable and and its consolidated cash flows for the year then ended in ac- Accounting System and the statutory requirements relevant to control. An audit also includes evaluating the appropriate-
prudent; cordance with Vietnamese Accounting Standards, Vietnamese preparation and presentation of consolidated financial state- ness of accounting policies used and the reasonableness
Enterprise Accounting System and the statutory requirements ments, and for such internal control as management determines of accounting estimates made by management, as well
- State whether applicable accounting standards have been relevant to preparation and presentation of consolidated financial is necessary to enable the preparation and presentation of the as evaluating the overall presentation of the consolidated
followed, subject to any material departures disclosed and statements. consolidated financial statements that are free from material financial statements.
explained in the consolidated financial statements; and misstatement, whether due to fraud or error.
We believe that the audit evidence we have obtained is
- Prepare the consolidated financial statements on the going
concern basis unless it is inappropriate to presume that the
AUDITORS’ RESPONSIBILITY sufficient and appropriate to provide a basis for our audit
For and on behalf of management: opinion.
Group will continue its business. Our responsibility is to express an opinion on these con-
Management is responsible for ensuring that proper accounting
solidated financial statements based on our audit. We con- OPINION
ducted our audit in accordance with Vietnamese Standards
In our opinion, the consolidated financial statements give a
on Auditing. Those standards require that we comply with
true and fair view, in all material respects, of the consolidated
ethical requirements and plan and perform the audit to ob-
financial position of the Group as at 31 December 2016, and
tain reasonable assurance about whether the consolidated of the consolidated results of its operations and its consoli-
financial statements are free from material misstatement. dated cash flows for the year then ended in accordance with
Vietnamese Accounting Standards, Vietnamese Enterprise
Accounting System and the statutory requirements relevant
Ernst & Young Vietnam Limited to preparation and presentation of consolidated financial
statements.
CHU CHEE KWANG
General Director
Ho Chi Minh City, Vietnam
6 March 2017
Duong Le Anthony Pham Thi Cam Tu

Deputy General Director Auditor
Audit Practicing Registration Certificate Audit Practicing Registration Certificate
No. 2223-2013-004-1 No. 2266-2013-004-1
Ho Chi Minh City, Vietnam
6 March 2017
Consolidated balance sheet B01-DN/HN Consolidated balance sheet (continued) B01-DN/HN

as at 31 December 2016 as at 31 December 2016
VND VND
CODE ASSETS NOTES ENDING BALANCE BEGINNING BALANCE CODE ASSETS NOTES ENDING BALANCE BEGINNING BALANCE
100 A. CURRENT ASSETS 5.828.216.387.403 4.699.301.116.653 300 C. LIABILITIES 3.061.535.857.828 2.595.523.472.612

110 I. Cash and cash equivalents 4 931.562.883.084 423.195.907.688 310 I. Current liabilities 2.179.393.749.379 2.101.740.888.702
111 1. Cash 391.805.138.578 311.195.907.688 311 1. Short-term trade payables 17 199.476.008.760 198.261.908.912
112 2. Cash equivalents 539.757.744.506 112.000.000.000
312 2. Short-term advances from customers 18 651.548.705.368 998.895.163.496
120 II. Short-term investments 5 38.869.085.285 16.636.025.899
313 3. Statutory obligations 19 166.366.982.121 127.893.160.997
123 1. Held-to-maturity investments 38.869.085.285 16.636.025.899
314 4. Payables to employees 20.358.866.753 27.917.490.446
130 III. Current accounts receivable 1.094.934.187.907 516.419.212.557
340.384.104.224 161.835.378.672 315 5. Short-term accrued expenses 20 604.558.704.171 231.850.184.841
131 1. Short-term trade receivables 6
132 2. Short-term advances to suppliers 7 556.785.295.674 261.657.351.595 319 6. Other short-term payables 21 172.835.810.056 284.741.797.335
135 3. Short-term loan receivables 8 41.780.000.000 - 320 7. Short-term loan 22 353.654.528.674 224.500.478.171
136 4. Other short-term receivables 9 160.823.879.547 97.863.848.386 322 8. Bonus and welfare fund 10.594.143.476 7.680.704.504
137 5. Provision for doubtful debts (4.839.091.538) (4.937.366.096)
140 IV. Inventories 3.698.432.512.033 3.673.388.910.652 330 II. Non-current liabilities 882.142.108.449 493.782.583.910
141 1. Inventories 10 3.700.202.039.743 3.673.388.910.652
337 1. Other long-term liabilities 21 7.971.859.607 8.101.840.437
149 2. Provision for obsolete inventories (1.769.527.710) -
338 2. Long-term loans and debts 22 349.613.387.000 412.995.740.905
150 V. Other current assets 64.417.719.094 69.661.059.857
339 3. Convertible bond 23 463.083.450.079 -
151 1. Short-term prepaid expenses 11 7.423.269.944 11.417.452.846 341 4. Deferred tax liabilities 31.3 55.331.868.345 60.556.424.403
152 2. Value-added tax deductible 56.962.394.171 52.438.921.019
342 5. Long-term provisions 6.141.543.418 12.128.578.165
153 3. Tax and other receivables from the State 32.054.979 5.804.685.992
400 D. OWNERS’ EQUITY 3.147.273.609.838 2.426.494.702.355
200 B. NON-CURRENT ASSETS 380.593.080.263 322.717.058.314 410 I. Capital 3.147.273.609.838 2.426.494.702.355
210 I. Long-term receivables 124.874.169.981 85.684.209.409 411 1. Share capital 24.1 1.421.145.100.000 1.415.721.570.000
211 1. Long-term trade receivables 151.739.000 900.551.000 411a - Shares with voting rights 1.421.145.100.000 1.415.721.570.000
216 2. Other long-term receivables 9 124.722.430.981 84.783.658.409 412 2. Share premium 24.1 492.161.147.061 492.337.147.061
220 II. Fixed assets 55.173.350.327 50.178.439.885 413 3. Convertible bond options 24.1 40.503.427.830 -
221 1. Tangible fixed assets 12 42.094.934.637 38.519.919.078 415 4. Treasury shares 24.1 (60.464.200.000) (60.464.200.000)
222 Cost 75.999.017.018 67.426.067.523 418 5. Investment and development fund 24.1 10.929.726.999 10.929.726.999
223 Accumulated depreciation (33.904.082.381) (28.906.148.445) 420 6. Other funds belonging to owners’ equity 24.1 1.081.198.777 1.115.488.341
227 2. Intangible fixed assets 13 13.078.415.690 11.658.520.807 421 7. Undistributed earnings 24.1 578.402.902.765 358.306.808.042
228 Cost 17.927.596.237 15.733.694.202
421a - Undistributed earnings up to the
229 Accumulated amortisation (4.849.180.547) (4.075.173.395) end of prior year-end 277.746.420.785 173.481.865.767
230 III. Investment properties 14 39.335.877.272 56.822.725.097 421b - Undistributed earnings ofcurrent
231 1. Cost 54.222.910.307 79.604.413.956 year 300.656.481.980 184.824.942.275
232 2. Accumulated depreciation (14.887.033.035) (22.781.688.859) 429 8. Non-controlling interests 25 663.514.306.406 208.548.161.912
240 IV. Long-term assets in progress - 262.801.148
242 1. Construction in progress - 262.801.148 440 TOTAL LIABILITIES AND OWNERS’ EQUITY 6.208.809.467.666 5.022.018.174.967
250 V. Long-term investments 15 30.520.390.516 29.680.999.956
252 1. Investments in the associate and 15.1 24.797.751.856 24.198.842.309
jointly controlled entity
253 2. Investment in other entities 15.2 5.942.300.000 5.942.300.000
254 3. Provision for long-term investments (219.661.340) (460.142.353)
260 VI. Other long-term assets 130.689.292.167 100.087.882.819
261 1. Long-term prepaid expenses 11 48.237.961.214 10.161.449.598
262 2. Deferred tax assets 31.3 68.614.084.713 70.925.102.370
269 3. Goodwill 16 13.837.246.240 19.001.330.851 NGUYEN THI THU HIEN LUONG THI KIM THOA CHU CHEE KWANG
Preparer Chief Accountant General Director
270 TOTAL ASSETS 6.208.809.467.666 5.022.018.174.967 6 March 2017
B02-DN/HN B02-DN/HN
Consolidated income statement Consolidated income statement (continued)
for the year ended 31 December 2016 for the year ended 31 December 2016
VND VND
CODE ITEMS NOTES CURRENT YEAR PREVIOUS YEAR CODE ITEMS NOTES CURRENT YEAR PREVIOUS YEAR
01 1. Revenues from sale of goods and 26.1 2.533.798.820.045 1.267.221.417.021 52 17. Deferred tax income (expense) 31.3 2.913.538.401 (13.261.871.723)
rendering of services 60 18. Net profit after tax 387.570.169.878 208.588.667.394
02 2. Deductions 26.1 - (8.677.878.248) 61 19. Net profit after tax attributable to 345.217.739.625 206.244.169.156
shareholders of the parent
10 3. Net revenues from sale of goods and 26.1 2.533.798.820.045 1.258.543.538.773
rendering of services 62 20. Net profit after tax attributable to 42.352.430.253 2.344.498.238
non-controlling interests
11 4. Costs of goods sold and services 27 (1.710.918.684.683) (840.782.402.552)
70 21. Basic earnings per share 33 2.367 1.424
rendered
71 22. Diluted earnings per share 33 2.149 1.424
20 5. Gross profit from sale of goods and 822.880.135.362 417.761.136.221
rendering of services
21 6. Finance income 26.2 25.688.673.908 16.565.348.949
22 7. Finance expenses 29 (28.610.444.253) (16.550.976.269)

23 - In which: Interest expenses (20.554.703.566) (10.560.127.150)
24 8. Shares of profit of associate, joint- 598.909.547 197.425.839

controlled entity
25 9. Selling expenses 28 (188.619.929.874) (118.736.024.011)
26 10. General and administration expenses 28 (154.386.517.693) (154.374.884.096)
30 11. Operating profit 477.550.826.997 144.862.026.633

NGUYEN THI THU HIEN LUONG THI KIM THOA CHU CHEE KWANG
31 12. Other income 30 11.012.029.151 148.046.652.354 Preparer Chief Accountant General Director
6 March 2017
32 13. Other expenses 30 (4.221.939.695) (16.880.842.305)
40 14. Other profit 30 6.790.089.456 131.165.810.049
50 15. Accounting profit before tax 484.340.916.453 276.027.836.682
51 16. Current corporate income tax expense 31.1 (99.684.284.976) (54.177.297.565)

Consolidated cash flow statement B03-DN/HN Consolidated cash flow statement (continued) B03-DN/HN
for the year ended 31 December 2016 for the year ended 31 December 2016
VND VND
CODE ITEMS NOTES CURRENT YEAR PREVIOUS YEAR CODE ITEMS NOTES CURRENT YEAR PREVIOUS YEAR
I. CASH FLOWS FROM OPERATING III. CASH FLOWS FROM FINANCING

ACTIVITIES ACTIVITIES
01 Net profit before tax 484.340.916.453 276.027.836.682 31 Issuance of convertible bond 24.1 40.503.427.830 145.573.822.374
Adjustments for: Capital contribution from non-controlling 345.459.240.000 50.000.000.000
interest
02 Depreciation and amortisation 12,13,14,16 13.735.081.154 14.290.975.762
33 Drawdown of borrowings 22.4, 23 865.185.286.783 301.867.740.905
03 Provisions 1.430.772.139 (292.679.174)
34 Repayment of borrowings 22.4 (339.607.527.274) (282.848.937.760)
04 Unrealised foreign exchange losses - 2.549.497.346
36 Dividends paid to equity holders 24.3, 25 (96.548.456.872) (61.412.876.632)
05 Profits from investing activities (43.708.871.266) (50.596.447.301)
40 Net cash flows from financing activities 814.991.970.467 153.179.748.887
06 Interest expense 29 20.554.703.566 10.560.127.150
50 Net increase in cash and cash 508.366.975.396 49.199.368.992
08 Operating profit before changes in working 476.352.602.046 252.539.310.465 equivalents
capital
60 Cash and cash equivalents at beginning 4 423.195.907.688 373.996.538.696
09 Increase in receivables (566.792.764.022) (74.783.878.536) of year
10 Increase in inventories (35.055.433.091) (280.245.329.022) 4 931.562.883.084 423.195.907.688
70 Cash and cash equivalents at end of year
11 Increase in payables 27.371.102.993 242.319.582.597
12 (Decrease) increase in prepaid expenses (34.082.328.714) 488.704.214
14 Interest paid (34.165.987.336) (10.560.127.150)
15 Corporate income tax paid 19 (80.824.364.594) (54.186.323.541)
17 Other cash outflows used in operating (13.961.844.924) (16.680.928.201)
activities
Net cash flows (used in) from operating (261.159.017.642) 58.891.010.826
20
activities
II. CASH FLOWS FROM INVESTING
ACTIVITIES
21 Purchases and construction of fixed assets 12,13,14 (7.916.759.074) (1.575.858.091) NGUYEN THI THU HIEN LUONG THI KIM THOA CHU CHEE KWANG
Preparer Chief Accountant General Director
22 Proceeds from disposals of fixed assets 35.601.770.596 528.334.020
6 March 2017
23 Loans to other entities (64.013.059.386) (636.025.899)
25 Payments for investments in other entities (246.410.911.921) (248.096.476.237)
26 Proceeds from sale of an investment in other 211.584.308.448 81.154.388.649
entities
27 Interest and dividends received 26.2 25.688.673.908 5.754.246.837
30 Net cash flows used in investing activities (45.465.977.429) (162.871.390.721)
Notes to the consolidated financial statements B03-DN/HN Notes to the consolidated financial statements (continued) B09-DN/HN
as at and for the year ended 31 December 2016 as at and for the year ended 31 December 2016
1. CORPORATE INFORMATION
Nam Long Investment Corporation (“the Company”) is a joint stock company incorporated under the Law on Enterprise of Viet- The current principal activities of Nam Long Investment Corporation and its subsidiaries (“the Group”) are the engaging in civil
nam pursuant to the Business Registration Certificate (“BRC”) No. 4103004194 issued by the Ho Chi Minh City Department of and industrial construction; housing renovation and interior decoration; housing trade (construction, renovation of houses for
Planning and Investment (“DPI”) on 27 December 2005, and the fifteenth amended BRC dated 5 September 2016. sale or lease); harbour and road bridge construction; ground levelling, construction of drainage systems; installation and repair
The Company’s shares were listed on the Ho Chi Minh City Stock Exchange (“HOSE”) with code NLG in accordance with Decision of electrical systems under 35KV; housing brokerage services; sale and purchase of construction materials; investment in
No. 14/2013/QD-SGDHCM issued by HOSE on 25 January 2013. construction and trade of urban areas; investment in construction and trade of infrastructures for industrial zones and hi-tech
parks. Investment in construction, trade, management and lease of: office buildings, supermarkets, schools, swimming pools,
As at 31 December 2016, the Company has fourteen direct subsidiaries and two indirect subsidiaries, one associate and one hotels, restaurants, golf course, sports facility zones and resorts (outside office premises); project management advisory
jointly-controlled entity with details as follows:
service; design verification; real estate brokerage services; real estate valuation services; real estate exchange services; real
estate consulting services; real estate auction services; real estate advertising services; real estate management services.
OWNERSHIP
COMPANY LOCATION BUSINESS (%) The head office of Nam Long Investment Corporation is located at 11th Floor, Capital Tower, 6 Nguyen Khac Vien Street, Tan
Phu Ward, District 7, Ho Chi Minh City, Vietnam and one its branch in Can Tho City, Vietnam.
SUBSIDIARY
The number of the Group’s employees as at 31 December 2016 is 624 (31 December 2015: 456 employees).
Nam Long Property Management and Development Ho Chi Minh City Construction and 100
One Member Limited Company (Nam Long PMD) (“HCMC”) real estate
Nam Long Service Joint Stock Company (“Nam Long HCMC Service and 71,29 2. BASIS OF PREPARATION
Service”) construction
2.1 Accounting Standards and System consolidated financial statements starts on 1 January and
Nam Long - Hong Phat Joint Stock Company (“Nam Can Tho City Construction and 99,98 ends on 31 December.
Long - Hong Phat”) real estate The consolidated financial statements of the Group ex-
pressed in Vietnam dong (“VND”) are prepared in accor- 2.4 Accounting currency
Nguyen Son Real Estate Joint Stock Company HCMC Real estate 87,33 dance with the Vietnamese Enterprise Accounting System
(“Nguyen Son”) and Vietnamese Accounting Standards issued by the Minis- The consolidated financial statements are prepared in VND
try of Finance as per: which is also the Group’s accounting currency.
Nam Long Apartment Development Corporation HCMC Construction and 97,14
(“Nam Long ADC”) real estate • Decision No. 149/2001/QD-BTC dated 31 December 2.5 Basis of consolidation
2001 on the Issuance and Promulgation of Four Vietnam-
Nam Long Real Estate Transaction Floor One Mem- HCMC Real estate trading 100 ese Accounting Standards (Series 1); The consolidated financial statements comprise the financial
ber Limited Liability Company (“Trading Floor”) floor statements of the parent company and its subsidiaries for the
• Decision No. 165/2002/QD-BTC dated 31 December
Nam Khang Construction Investment Development HCMC Construction and 2002 on the Issuance and Promulgation of Six Vietnam- year ended 31 December 2016.
100
One Member Limited Liability Company (“Nam real estate ese Accounting Standards (Series 2); Subsidiaries are fully consolidated from the date of acquisition,
Khang”) • Decision No. 234/2003/QD-BTC dated 30 December being the date on which the Company obtains control, and
2003 on the Issuance and Promulgation of Six Vietnam- continued to be consolidated until the date that such control
Nam Vien Construction and Design Consulting Joint HCMC Service 81,25
Stock Company (“Nam Vien”) ese Accounting Standards (Series 3); ceases.
• Decision No. 12/2005/QD-BTC dated 15 February 2005
Nam Khang Construction Materials Trading Company HCMC Construction 100 on the Issuance and Promulgation of Six Vietnamese Ac- The financial statements of subsidiaries are prepared for the
Limited (“Nam Khang Materials”) material trading counting Standards (Series 4); and same reporting period as the parent company, using consistent
accounting policies.
Nam Long VCD Corporation (“Nam Long VCD”) Long An Province Construction and 99,91 • Decision No. 100/2005/QD-BTC dated 28 December
real estate 2005 on the Issuance and Promulgation of Four Vietnam- All intra-company balances, income and expenses and unre-
HCMC 100 ese Accounting Standards (Series 5). alised gains or losses resulting from intra-company transac-
Nam Phan Investment Corporation (“Nam Phan”) Construction and
real estate tions are eliminated in full.
Accordingly, the accompanying consolidated balance
Nguyen Phuc Real Estate Investment and Trading HCMC Real estate 50,00 Non-controlling interests represent the portion of profit or loss
sheet, consolidated financial statements and related notes,
Company Limited (“Nguyen Phuc”) and net assets not held by the Group and are presented sepa-
including their utilisation are not designed for those who
are not informed about Vietnam’s accounting principles, rately in the consolidated income statement and within equi-
Thao Nguyen Real Estate Investment and Trading HCMC Real estate 50,00
Company Limited (“Thao Nguyen”) procedures and practices and furthermore are not intended ty in the consolidated balance sheet, separately from parent
to present the financial position and results of operations shareholders’ equity.
NLG – NNR – HR Fuji Company Limited (“NLG – NNR HCMC Construction 50,00 and cash flows in accordance with accounting principles Impact of change in the ownership interest of a subsidiary,
– HR Fuji”) and real estate and practices generally accepted in countries other than without a loss of control, is recorded in undistributed earnings.
NNH Kikyo Flora Company Limited (“Kikyo Flora”) HCMC Real estate 50,00 Vietnam.
NNH Kikyo Valora Company Limited (“Kikyo Valora”) HCMC Real estate 50,00 2.2 Applied accounting documentation system
JOINT VENTURE The Group’s applied accounting documentation system is
the General Journal system.
Gamuda - Nam Long Development Limited Liability HCMC Real estate 30,00
Company (“Gamuda – Nam Long”)
2.3 Fiscal year
ASSOCIATE The Group’s fiscal year applicable for the preparation of its
Okamura Tokyo Co., Ltd TPHCM Real estate 31,10
Notes to the consolidated financial statements (continued) B09-DN/HN Notes to the consolidated financial statements (continued) B09-DN/HN
3. SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES
3.1 Cash and cash equivalents 3.4 Fixed assets 3.6 Depreciation and amortisation 3.8 Borrowing costs
Cash and cash equivalents comprise cash on hand, cash at Tangible and intangible fixed assets are stated at cost less Depreciation of tangible fixed assets and amortisation of in- Borrowing costs consist of interest and other costs that
banks and short-term, highly liquid investments with an origi- accumulated depreciation and amortisation. tangible assets are calculated on a straight-line basis over an entity incurs in connection with the borrowing of
nal maturity of less than three months that are readily con- The cost of a fixed asset comprises its purchase price and the estimated useful life of each asset as follows: funds and are recorded as expense during the year in
vertible into known amounts of cash and that are subject to any directly attributable costs of bringing the fixed asset to Buildings and structures 25 - 47 years which they are incurred, except to the extent that they
an insignificant risk of change in value. working condition for its intended use. are capitalized as explained in the following paragraph.
Machinery and equipment 5 - 12 years
Expenditures for additions, improvements and renewals Borrowing costs that are directly attributable to the acqui-
3.2 Inventories are added to the carrying amount of the assets and ex- Means of transportation 6 - 8 years sition, construction or production of an asset that neces-
Inventories comprise development projects undertaken by penditures for maintenance and repairs are charged to the Office equipment and furniture 3 - 8 years sarily take a substantial period of time to get ready for its
the Group which are in the work in progress stage and includ- separate income statement as incurred. intended use or sale are capitalized as part of the cost of
ing mainly apartments, town houses and villas for sale under Computer software 3 - 5 years the respective asset.
When fixed assets are sold or retired, any gain or loss re-
construction and land held for sale. sulting from their disposal is (the difference between the Land use rights 47 years
Apartments, town houses and villas for sale under construc- net disposal proceeds and the carrying amount) included in 3.9 Prepaid expenses
the separate income statement. Other assets 3 - 5 years
tion are carried at the lower of cost and net realizable value. Prepaid expenses are reported as short-term or long-term
Costs include all expenditures including borrowing costs, di- Land use rights (“LURs”) 3.7 Investment properties prepaid expenses on the consolidated balance sheet and
rectly attributable to the development and construction of the amortised over the period for which the amounts are paid
LURs are recorded as intangible fixed assets if the land is Investment properties are stated at cost including transaction
apartments, town houses and villas. Net realizable value rep- held for use in the production or business, for rental to oth- or the period in which economic benefits are generated in
resents current selling price less estimated cost to complete costs less accumulated depreciation and amortisation.
ers by the enterprise and when the Company receives the relation to these expenses.
apartments, town houses and villas, and estimated selling LUR certificate. The cost of LUR comprises any directly at- Subsequent expenditure relating to an investment property that
and marketing expenses. The following types of expenses are recorded as long-term
tributable costs of preparing the land for its intended use. has already been recognized is added to the net book value of
the investment property when it is probable that future eco- prepaid expense and are amortised to the consolidated in-
Land held for constructing apartments, town houses and vil- LUR with indefinite useful life is not amortised.
nomic benefits, in excess of the originally assessed standard of come statement:
las which is presented as part of “Inventories” is carried at The advance payment for land rental, of which the land
the lower of cost and net realizable value. Costs include all lease contracts have effectiveness prior to 2003 and the performance of the existing investment property, will flow to the - Tools and consumables with large value issued into con-
expenditures including borrowing costs directly related to land use rights certificate being issued are recorded as Group. struction and can be used for more than one year;
the acquisition, site clearance, land compensation, and infra- intangible asset according to Circular No. 45/2013/TT-BTC Depreciation and amortisation of investment properties are cal- - Show houses; and
structure construction. Net realizable value represents esti- issued by the Ministry of Finance on 25 April 2013 guid- culated on a straight-line basis over the estimated useful life of
mated current selling price less anticipated cost of disposal. ing the management, use and depreciation of fixed assets each asset as follows: - Commissions.
Provision for obsolete inventories (“Circular 45”). The land use right is amortized over the
useful life, except for land use right having indefinite useful Buildings and structures 6 - 47 years
3.10 Business combinations and goodwill
An inventory provision is created for the estimated loss aris- life is not amortised. Land use rights 47 years
ing due to the impairment of value (through diminution, dam- Business combinations are accounted for using the pur-
age, obsolescence, etc.) of inventories owned by the Group, 3.5 Leased assets Investment properties are derecognised when either they have chase method. The cost of a business combination is mea-
based on appropriate evidence of impairment available at the been disposed of or when the investment properties are per- sured as the fair value of assets given, equity instruments
balance sheet date. Where the Group is the lessee manently withdrawn from use and no future economic benefit issued and liabilities incurred or assumed at the date of
Increases or decreases to the provision balance are recorded Rentals under operating leases are charged to the consoli- is expected from its disposal. The difference between the net exchange plus any costs directly attributable to the busi-
into the cost of goods sold account in the consolidated in- dated income statement on a straight-line basis over the disposal proceeds and the carrying amount of the assets is rec- ness combination. Identifiable assets and liabilities and
come statement. lease term. ognised in the consolidated income statement in the year of re- contingent liabilities assumed in a business combination
Where the Group is the lessor tirement or disposal. are measured initially at fair values at the date of business
Transfers are made to investment properties when, and only combination.
3.3 Receivables Assets subject to operating leases are included as the
Group’s investment properties in the consolidated bal- when, there is a change in use, evidenced by ending of owner- Goodwill acquired in a business combination is initially
Receivables are presented in the consolidated financial state-
ance sheet. Initial direct costs incurred in negotiating an occupation, commencement of an operating lease to another measured at cost being the excess of the cost the busi-
ments at the carrying amounts due from customers and oth-
er debtors, after provision for doubtful debts. operating lease are recognised in the consolidated income party or ending of construction or development. Transfers are ness combination over the Group’s interest in the net
statement as incurred to the carrying value of the leased made from investment properties when, and only when, there is fair value of the acquirer’s identifiable assets, liabilities
The provision for doubtful debts represents amounts of out- change in use, evidenced by commencement of owner-occupa-
asset for amortisation to the consolidated income state- and contingent liabilities. If the cost of a business com-
standing receivables at the balance sheet date which are tion or commencement of development with a view to sale. The
ment over the lease term. bination is less than the fair value of the net assets
doubtful of being recovered. Increases and decreases to the transfer from investment property to owner-occupied property or
provision balance are recorded as general and administrative Lease income is recognised in the consolidated income of the subsidiary acquired, the difference is recognized
inventories does not change the cost or the carrying value of the directly in the consolidated income statement. After ini-
expense in the consolidated income statement. statement on a straight-line basis over the lease term. property for subsequent accounting at the date of change in use. tial recognition, goodwill is measured at cost less any
accumulated amortization.
ACCOUNTING POLICIES (Continued)
Goodwill is amortized over a maximum period of 10 years on a presented on face of the consolidated income statement vice up to 31 December 2008 in accordance with the Labour Code The Group maintains the following reserve funds which are ap-
straight-line basis. The parent company conducts the periodical and its share of post-acquisition movements in reserves and related implementing guidance. The average monthly salary propriated from the Group’s net profit as proposed by the Board
review for impairment of goodwill of investment in subsidiaries. is recognised in reserves. The cumulative post-acquisition used in this calculation will be revised at the end of each reporting of Management and subject to approval by shareholders at the
If there are indicators of impairment loss incurred is higher than movements are adjusted against the carrying amount of the period following the average monthly salary of the 6-month period annual general meeting.
the yearly allocated amount of goodwill on the straight-line basis, investment. Dividend/profit sharing received or receivable up to the reporting date. Increases and decreases to the accrued - Investment and development fund
the higher amount will be recorded in the consolidated income from jointly controlled entities reduce the carrying amount amount other than actual payment to employee will be taken to the
statement. of the investment. interim consolidated income statement. This fund is set aside for use in the Group’s expansion of its
operation or of in-depth investments.
3.11 Investments The financial statements of the jointly controlled entities are This accrued severance pay is used to settle the termination allow-
prepared for the same reporting period and use the same ance to be paid to employee upon termination of their labour con- - Other funds belonging to owners’ equity
Investments in associates
accounting policies as the Group. Where necessary, adjust- tract following Article 48 of the Labour Code. Subsidised funds for operating activities, projects include remu-
The Group’s investment in its associate is accounted for using ments are made to bring the accounting policies in the line neration schedule fund and operating budget fund.
the equity method of accounting. An associate is an entity with those of the Group. 3.14 Foreign currency transactions
in which the Group has significant influence that is neither - Bonus and welfare fund
Investments in other entities Transactions in currencies other than the Group’s reporting cur-
subsidiaries nor joint ventures. The Group generally deems This fund is set aside for the purpose of pecuniary rewarding
rency of VND are recorded at the actual transaction exchange
they have significant influence if they have over 20% of the Investments in other entities are stated at their and encouraging, common benefits and improvement of the
rates at transaction dates which are determined as follows:
voting rights. acquisition costs. employees’ benefits, and presented as a liability on the consoli-
- Transactions resulting in receivables are recorded at the buy-
Under the equity method, the investment is carried in the con- Provision for investments dated balance sheet.
ing exchange rates of the commercial banks designated for col-
solidated balance sheet at cost plus post acquisition changes Provision is made for any diminution in value of investments lection; and
in the Group’s share of net assets of the associates. Goodwill in capital of other entities at the interim balance sheet date 3.17 Earnings per share
arising on acquisition of the associate is included in the carry- - Transactions resulting in liabilities are recorded at the selling
representing the excess of the acquisition cost over the mar- Basic earnings per share amount is computed by dividing net
ing amount of the investment. Goodwill is not amortised and exchange rates of the transaction of commercial banks desig-
ket value at that date in accordance with the guidance under profit attributable to ordinary equity holders of the Company (af-
subject to annual review for impairment. The consolidated nated for payment.
Circular No. 228/2009/TT-BTC dated 7 December 2009 and ter adjusting for the bonus and welfare fund) by the weighted
income statement reflects the share of the post-acquisition Circular No. 89/2013/TT-BTC dated 28 June 2013 issued by the At the end of the period, monetary balances denominated in foreign average number of ordinary shares outstanding during the year.
results of operation of the associate. Ministry of Finance. Increases or decreases to the provision currencies are translated at the actual transaction exchange rates at
Diluted earnings per share amounts are calculated by dividing
The share of post-acquisition profit (loss) of the associates is balance are recorded as finance expense in the consolidated the balance sheet dates which are determined as follows:
the net profit after tax attributable to ordinary equity holders
presented on face of the consolidated income statement and income statement.
- Monetary assets are translated at buying exchange rate of of the Company by the weighted average number of ordinary
its share of post-acquisition movements in reserves is rec- Held-to-maturity investments the commercial bank where the Group conducts transactions shares outstanding during the year plus the weighted average
ognised in reserves. The cumulative post-acquisition move- regularly; and number of ordinary shares that would be issued on conversion
Held-to-maturity investments are stated at their acqui-
ments are adjusted against the carrying amount of the invest- of all the dilutive potential ordinary shares into ordinary shares.
sition costs. After initial recognition, held-to-maturity - Monetary liabilities are translated at selling exchange rate of
ment. Dividends/profit sharing received or receivable from
investments are measured at recoverable amount. Any the commercial bank where the Group conducts transactions
associates reduces the carrying amount of the investment.
impairment loss incurred is recognised as expense in the regularly. 3.18 Revenue recognition
The financial statements of the associates are prepared for consolidated financial statements and deducted against
All foreign exchange differences are taken to the consolidated Revenue is recognised to the extent that it is probable that the
the same reporting period and use the same accounting poli- the value of such investments.
income statement. economic benefits will flow to the Group and the revenue can
cies as the Group. Where necessary, adjustments are made
to bring the accounting policies in line with those of the Group. 3.12 Payable and accruals be reliably measured. Revenue is measured at the fair value
3.15 Treasury shares of the consideration received or receivable, excluding trade dis-
Interests in joint ventures Payable and accrual are recognised for amount to be paid in count, rebate and sales return. The following specific recogni-
Own equity instruments which are reacquired (treasury shares) are
the future for goods and services received, whether or not tion criteria must also be met before revenue is recognised:
The Group’s investment in jointly controlled entity is account- recognised at cost and deducted from equity. No gain or loss is rec-
billed to the Group.
ed for using the equity method of accounting. Under the eq- ognised in profit or loss upon purchase, sale, issue or cancellation Sale of villas, town houses, and apartments
uity method, the investment is carried in the consolidated of the Group’s own equity instruments.
3.13 Accrual for severance pay For villas, town houses and apartments sold after completion of
balance sheet at cost plus post joint venture changes in the 3.16 Appropriation of net profit
Group’s share of net assets of the jointly controlled entity. The The severance pay to employee is accrued at the end of each construction, the revenue and associated costs are recognised
consolidated income statement reflects the share of the post- reporting period for all employees who have been in service Net profit after tax (excluding negative goodwill arising from a bar- when the significant risks and rewards of ownership of the vil-
acquisition results of operation of the jointly controlled entity. for more than 12 months up to 31 December 2008 at the rate gain purchase) is available for appropriation to investors after approv- las, town houses, or apartments have passed to the buyers.
of one-half of the average monthly salary for each year of ser- al by appropriate level of authority, and after making appropriation to
The share of profit (loss) of the jointly controlled entity is reserve funds in accordance with the Group’s Charter and Vietnam-
ese regulatory requirements.
ACCOUNTING POLICIES (Continued)
Sale of residential plots and related infrastructure Current income tax assets and liabilities are offset when Deferred tax assets and liabilities are measured at the tax Transaction costs are amortised during the lifetime of the bond.
there is a legally enforceable right for the Group to set off rates that are expected to apply in the year when the asset At initial recognition, issuance costs are deducted from the li-
Revenue from the sale of residential plots and related in-
current tax assets against current tax liabilities and when is realised or the liability is settled based on tax rates and ability component of the bond.
frastructure are recorded at the total consideration received
the Group intends to settle its current tax assets and liabili- tax laws that have been enacted at the balance sheet date.
when residential plots and related infrastructure are trans- 3.21 Related parties
ties on a net basis.
ferred to the customers. Deferred tax is charged or credited to the consolidated in- Enterprises and individuals that directly, or indirectly through
Deferred tax come statement, except when it relates to items recog- one or more intermediaries, control, or are controlled by, or are
Rendering of other services
Deferred tax is provided using the liability method on tem- nised directly to equity, in which case the deferred tax is under common control with, the Group, including holding com-
Revenue is recognised when services have been rendered and porary differences at the consolidated balance sheet date also dealt with in the equity account. panies, subsidiaries and fellow subsidiaries are related parties
completed. between the tax base of assets and liabilities and their car- of the Group.
Deferred tax assets and liabilities are offset when there is a
Interest rying amount for financial reporting purposes. legally enforceable right for the Group to set off current tax Associates and individuals owning, directly or indirectly, an in-
Deferred tax liabilities are recognised for all taxable tem- assets against current tax liabilities and when they relate to terest in the voting power of the Group that gives them signifi-
Revenue is recognised as the interest accrues (taking into ac-
porary differences, except where the deferred tax liability income taxes levied by the same taxation authority on either cant influences over the Group, key management personnel,
count the effective yield on the asset) unless collectability is in
arises from the initial recognition of an asset or liability in a the same taxable entity or when the Group intends either including directors and officers of the Group and close mem-
doubt.
transaction which at the time of the related transaction af- settle current tax liabilities and assets on a net basis or to bers of the families of these individuals and companies associ-
Dividends realise the assets and settle the liabilities simultaneously, in ated with these individuals also constitute related parties. In
fects neither the accounting profit nor taxable profit or loss
each future year in which significant amounts of deferred considering each possible related party relationship, attention
Income is recognised when the Group’s entitlement as an in-
Deferred tax assets are recognised for all deductible tem- income tax liabilities or assets are expected to be settled or is directed to the substance of the relationship, and not merely
vestor to receive the dividend is established.
porary differences, carried forward unused tax credit and recovered. the legal form.
Rental income unused tax losses, to the extent that it is probable that tax-
able profit will be available against which deductible tem- 3.20 Convertible bond
Rental income arising from operating leases is accounted for on 3.22 Segment information
porary differences, carried forward unused tax credit and Bonds that are convertible by the holder into a fixed number of
a straight line basis over the lease term. A segment is a component determined separately by the
unused tax losses can be utilised, except where the de- ordinary shares of the entity are separated into financial liability
Group which is engaged in providing products or related ser-
ferred tax asset in respect of deductible temporary differ- (a contractual arrangement to deliver cash or other financial as-
3.19 Taxation vices (business segment), or providing products or services
ence which arises from the initial recognition of an asset or sets) and equity instrument (a call option granting the holder the
right, for a specified period of time) based on the terms of the in a particular economic environment (geographical segment),
Current income tax liability which at the time of the related transaction, affects
contract. that is subject to risks and returns that are different from those
neither the accounting profit nor taxable profit or loss.
Current income tax assets and liabilities for the current and of other segments. As the Group’s revenue and profit are de-
prior years are measured at the amount expected to be The carrying amount of deferred tax assets is reviewed at On issuance of the convertible bond, the fair value of the liability rived mainly from real estate business in Vietnam while other
recovered from or paid to the taxation authorities. The tax each balance sheet date and reduced to the extent that component is determined by discounting the future payment sources of revenue are not material as a whole. As a result, the
rates and tax laws used to compute the amount are those it is no longer probable that sufficient taxable profit will (including principal and interest) to present value at the market Group’s management is of the view that there is only one seg-
that are enacted as at the balance sheet date. be available to allow all or part of the deferred tax as- rate for an equivalent non-convertible bond less issuance cost. ment for business and geography and therefore presentation
set to be utilised. Previously unrecognised deferred tax This amount is classified as a financial liability measured at am- of segmental information is not required.
Current income tax is charged or credited to the consolidat- ortised cost (net of issuance costs) until it is extinguished on
assets are re-assessed at each balance sheet date and
ed income statement, except when it relates to items rec- conversion or redemption.
are recognised to the extent that it has become probable
ognised directly to equity, in which case the current income
that future taxable profit will allow the deferred tax assets The remainder of the proceeds is allocated to the conversion
tax is also dealt with in equity.
to be recovered. option that is recognised and included in shareholders’ equity.
The carrying amount of the conversion option is not re-mea-
sured in subsequent periods.
4. CASH AND CASH EQUIVALENTS

VND Details of the loan receivables are as follows:
ENDING BALANCE BEGINNING BALANCE BORROWER ENDING BALANCE DUE DATE INTEREST RATE
(VND) (% p.a)
Cash on hand 4.103.225.059 3.568.746.299 Mr Nguyen Thanh Dong

Cash at banks 387.701.913.519 307.627.161.389 Loan Agreement dated 23.180.000.000 30 December 7,0
Cash equivalents (*) 539.757.744.506 112.000.000.000 30 December 2016 2017
TOTAL 931.562.883.084 423.195.907.688 Ms Vu Bich Lan
(*) Cash equivalents comprise bank deposits with original maturity of less than three months and earn interest at the rate Loan Agreement dated 18.600.000.000 28 December 7,0
of from 4.3% to 5.5% per annum. 28 December 2016 2017
41.780.000.000
5. SHORT-TERM INVESTMENTS
Held-to-maturity investments represent the term deposits at the commercial banks with the original maturity of six
months and earning the interest at the rates of 5.3% to 6.4% per annum. 9. OTHER RECEIVABLES
VND
6. SHORT-TERM TRADE RECEIVABLES ENDING BALANCE BEGINNING BALANCE

VND
Short-term
ENDING BALANCE BEGINNING BALANCE Staff advances for land compensation purpose 111.354.640.763 29.564.479.516
Staff advances for other purposes 14.261.932.186 12.159.465.000
Trade receivables from other customers 340.042.349.127 161.447.651.685
Prepayment of corporate income tax based on 9.213.961.104 10.812.576.880
Trade receivables from related parties (Note 32) 341.755.097 387.726.987 payment progress of customers
340.384.104.224 161.835.378.672 Receivable from disposal of investment in Business 6.210.353.467 -
TOTAL Cooperation Contracts (“BCC”)
Deposit for loans - 18.841.428.377
Others 19.782.992.027 24.485.935.304
7. SHORT-TERM ADVANCES TO SUPPLIERS Other receivables from related parties - 1.999.963.309
VND
160,823,879,547 97,863,848,386
ENDING BALANCE BEGINNING BALANCE
Advances for purchases of land use rights 477.881.353.363 208.532.133.047 Long-term

- Hoang Nam Company Limited 471.400.000.000 206.406.869.085 Investments in BCC projects (i) 117.264.530.680 78.934.497.680
Advances to employees - 5.849.160.729
- Others 6.481.353.363 2.125.263.962
Deposit 7.457.900.301 -
Advances for construction services 70.998.535.407 48.324.118.507
- Dien Quang Nguyen Construction Joint Stock 14.317.824.472 9.112.823.000
124.722.430.981 84.783.658.409
Company
- Pacific Property and Infrastructure Development - 6.500.000.000
Joint Stock Company TOTAL 285,546,310,528 182,647,506,795
- Others 56.680.710.935 32.711.295.507 Provision for doubtful debts (4.653.330.043) (4.823.235.536)
Others 7.905.406.904 4.801.100.041 NET 280.892.980.485 177.824.271.259
TOTAL 556.785.295.674 261.657.351.595 In which:
Due from other parties 280.892.980.485 175.824.307.950
8. SHORT-TERM LOAN RECEIVABLES Due from related parties - 1.999.963.309
VND
ENDING BALANCE BEGINNING BALANCE (i) This amount mainly represented the BCC with 21 Century Joint Stock Company in 2015 to develop Lot 9B7 Residen-
tial Area on an area of 5.9 hectares in South Sai Gon Urban Area. The Company has 60% interest in this BCC. As at 31
Loans to individuals 41.780.000.000 _ December 2016, this project was under completion stage and hand over.
10. INVENTORIES 11. PREPAID EXPENSES

VND VND
ENDING BEGINNING ENDING BEGINNING

BALANCE BALANCE BALANCE BALANCE
Inventory properties under development (*) 3.653.677.010.465 3.648.140.790.364 Short-term
Engineering Procurement Contracts (“EPC”) 44.069.063.208 24.438.542.886 Tools and supplies 3.987.948.691 2.567.770.089
services Operating expenses 2.960.621.998 2.029.218.634
Finished goods 1.687.790.909 169.234.947 Commission fees - 6.820.464.123
Construction materials 768.175.161 640.342.455 Others 474.699.255 -
TOTAL 3.700.202.039.743 3.673.388.910.652
7.423.269.944 11.417.452.846
(*) Details of inventory properties under development are as follows: Long-term

VND
Commission fees 46.037.828.520 6.585.650.053
ENDING BEGINNING Tools and supplies 2.069.793.214 1.504.229.831
BALANCE BALANCE
Others 130.339.480 2.071.569.714
Long An project (i) (ii) 1.410.132.529.019 1.372.672.355.842
48.237.961.214 10.161.449.598
Casa project (ii) 693.986.174.349 355.560.197.731
Nguyen Son project (ii) 581.124.624.485 334.586.969.131 TOTAL 55.661.231.158 21.578.902.444
Phu Huu project 515.253.842.875 355.148.920.824
8C Residential Areas 160.568.491.597 113.995.287.413
Phuoc Long B project – Extension 72.484.697.580 59.708.453.218
Tan Thuan Dong project (ii) 66.297.696.252 227.862.292.437
Can Tho project (i) 48.647.599.538 55.199.336.366
Thao Nguyen project 48.142.041.859 46.199.374.859
Phuoc Long B project – Apartment (i) 13.050.022.077 244.292.610.089
Ehome West Sai Gon project (“Ehome 3 project”) (i) (ii) 8.867.612.807 227.935.804.332
Binh Duong project (“Ehome 4 project”) (ii) 6.677.696.256 224.801.319.063
Nhon Trach project 211.865.659 10.838.215.659
Others 28.232.116.112 19.339.653.400
TOTAL 3.653.677.010.465 3.648.140.790.364
(i) LURs have been mortgaged to secure the Group’s outstanding borrowings (Note 22):
- LURs in Hung Thanh Ward, Cai Rang District, Can Tho City;
- LURs in An Thanh Ward, Ben Luc District, Long An Province; and
- LURs in An Lac Ward, Binh Tan District, Ho Chi Minh City;
(ii) During the year, the Group capitalised interest amounting to VND 68,367,854,650 (for the year ended 31 December 2015:
VND 53,272,512,168) to work in progress. These loans and borrowings are used to finance apartments, town houses, villa
projects and acquisition of land for development for Ehome 3, Ehome 4, Long An, Tan Thuan Dong and Hoang Nam Resi-
dence projects.
B09-DN/HN
Notes to the consolidated financial statements (continued)
as at and for the year ended 31 December 2016
12. TANGIBLE FIXED ASSETS

VND
BUILDINGS AND MACHINERY AND MEANS OF OFFICE EQUIPMENT

OTHER ASSETS TOTAL
STRUCTURES EQUIPMENT TRANSPORTATION AND FURNITURE
Cost:
74 NAM LONG | TOWARD 25 YEARS AHEAD
Beginning balance 44.533.057.668 10.639.518.709 5.928.055.293 5.342.102.007 983.333.846 67.426.067.523

Transfer from investment properties 8.109.909.370 - - - - 8.109.909.370
New purchase 321.760.383 1.813.699.283 2.595.149.112 152.700.000 156.000.000 5.039.308.778
Disposal (2.185.151.938) (749.951.920) (1.542.501.122) (98.663.673) - (4.576.268.653)
Ending balance 50.779.575.483 11.703.266.072 6.980.703.283 5.396.138.334 1.139.333.846 75.999.017.018
In which
Fully depreciated 349.211.061 171.890.000 1.346.238.364 2.040.011.375 983.333.846 4.890.684.646
Accumulated depreciation:

Beginning balance (14.766.694.706) (6.158.583.305) (4.388.996.266) (2.608.540.322) (983.333.846) (28.906.148.445)
Depreciation for the year (2.242.201.272) (1.095.132.191) (1.312.430.506) (579.874.929) (5.200.000) (5.234.838.898)
Transfer from investment properties (2.525.927.625) - - - - (2.525.927.625)
Disposal 1.345.863.323 426.765.271 891.540.320 98.663.673 - 2.762.832.587
Ending balance (18.188.960.280) (6.826.950.225) (4.809.886.452) (3.089.751.578) (988.533.846) (33.904.082.381)
Net carrying amount:
Beginning balance 29.766.362.962 4.480.935.404 1.539.059.027 2.733.561.685 - 38.519.919.078

Ending balance 32.590.615.203 4.876.315.847 2.170.816.831 2.306.386.756 150.800.000 42.094.934.637
In which:
Pledged/mortgaged as loan security 28.852.509.243 - - - - 28.852.509.243
(Note 22)
Cost:
In which
In which
Disposal
Disposal
(Note 22)
New purchase
Ending balance
Ending balance
Ending balance
Beginning balance
Beginning balance
Beginning balance
Fully depreciated

Amortization for the year
Accumulated amortisation:
Pledged/mortgaged as loan security

Transfer from investment properties
13. INTANGIBLE ASSETS
Transfer from investment properties

RIGHTS
LAND USE
7.899.586.078
11.668.887.135
10.688.599.689
(1.459.217.583)
33.824.856
(287.870.426)
(203.516.723)
(1.001.655.290)
-
13.128.104.718
(235.521.227)
-
1.673.370.966
11.690.254.979
-
1.409.528.555
969.921.118
(3.389.962.964)
140.210.000
-
(456.654.859)
(3.073.518.105)
386.040.600
4.799.491.519
(140.210.000)
896.262.296
-
4.043.439.223
SOFTWARE
COMPUTER
TOTAL
ANNUAL REPORT 2016
VND
75
7.899.586.078
13.078.415.690
11.658.520.807
(4.849.180.547)
174.034.856
(287.870.426)
(660.171.582)
(4.075.173.395)
386.040.600
17.927.596.237
(375.731.227)
896.262.296
1.673.370.966
15.733.694.202
B09-DN/HN
14. INVESTMENT PROPERTIES VND

15. LONG-TERM INVESTMENTS
VND
Land use Buildings and TOTAL ENDING BEGINNING

rights structures BALANCE BALANCE
Cost: Investment in an associate and jointly controlled 24.797.751.856 24.198.842.309

entity (Note 15.1)
Beginning balance 14.458.202.755 65.146.211.201 79.604.413.956
Other long-term investments (Note 15.2) 5.942.300.000 5.942.300.000
Transfer from inventory - 8.242.304.000 8.242.304.000 Provision for long-term investments (219.661.340) (460.142.353)
New purchase - 1.981.188.000 1.981.188.000
NET 30.520.390.516 29.680.999.956
Disposal (5.039.962.143) (20.781.753.170) (25.821.715.313)
Transfer to owner-occupied property - (9.783.280.336) (9.783.280.336)
15.1 INVESTMENT IN AN ASSOCIATE AND JOINTLY CONTROLLED ENTITY
Ending balance 9.418.240.612 44.804.669.695 54.222.910.307 VND
In which - 816.491.827 816.491.827 As at 31 December 2016 and 2015
Fully depreciation ENTITIES BUSINESS
INTEREST (%) COST OF INVESTMENT
Accumulated depreciation and
amortisation: Gamuda - Nam Long Development Real estate 30 22.400.000.000
Limited Liability Company
Beginning balance (8.947.051.112) (13.834.637.747) (22.781.688.859)
Charge for the year (170.864.163) (2.505.121.901) (2.675.986.064) Okamura Tokyo Co., Ltd. Real estate 31,1 834.000.000
Disposal 638.829.908 7.118.013.928 7.756.843.836

Detail of this investment in an associate and jointly-controlled entity are as follows:
Transfer to owner-occupied property - 2.813.798.052 2.813.798.052
(8.479.085.367) (6.407.947.668) (14.887.033.035) VND
Ending balance
Net carrying amount: OKAMURA GAMUDA –
NAM LONG TOTAL
Beginning balance 5.511.151.643 51.311.573.454 56.822.725.097 TOKYO CO., LTD.
Ending balance 939.155.245 38.396.722.027 39.335.877.272 Cost of investment:
Beginning balance and Ending balance 834.000.000 22.400.000.000 23.234.000.000
Accumulated share in post-acquisition profit (loss)
Additional disclosures: Beginning balance (565.958.825) 1.530.801.134 964.842.309
- The rental income and operating expenses relating to investment properties is presented as below: Share in post-acquisition profit for the period 100.674.816 498.234.731 598.909.547
VND
Ending balance (465.284.009) 2.029.035.865 1.563.751.856
ENDING BEGINNING
BALANCE BALANCE Net carrying amount
Beginning balance 268.041.175 23.930.801.134 24.198.842.309
Rental income from investment properties 20.377.823.683 24.745.587.012
Ending balance 368.715.991 24.429.035.865 24.797.751.856
Direct operating expenses of investment (9.450.300.155) (12.582.946.035)
properties that generated rental income during
the year
The future annual rental receivable under the operating leases is included in Note 34.
The fair value of the investment properties had not yet been formally assessed and determined as at 31 December 2016.
However, management believes that these properties’ market values are much higher than their carrying values as at the
balance sheet date.
15. LONG-TERM INVESTMENTS (continued) 18. ADVANCES FROM CUSTOMERS

15.2 OTHER LONG-TERM INVESTMENTS This amount represented advances from customers for apartments, town houses, villas and land purchases which
VND
were not handed over.
As at 31 December 2016 and 2015
19. STATUTORY OBLIGATIONS
QUANTITY OF SHARES INTEREST (%) COST OF INVESTMENT
VND
Bac Trung Nam Housing Development Joint 353.330 7,00 3.533.300.000 BEGINNING ENDING
Stock Company BALANCE INCREASE DECREASE BALANCE
Hong Phat Finance Investment Corporation 150.000 1,25 2.409.000.000 Corporate income tax 69.358.572.449 97.403.687.446 (80.824.364.594) 85.937.895.301
TOTAL 5.942.300.000 Value-added tax 53.570.252.697 267.682.038.044 (286.194.423.922) 35.057.866.819

Land use fee 4.964.335.851 77.910.628.126 (37.503.743.976) 45.371.220.001
TOTAL 127.893.160.997 442.996.353.616 (404.522.532.492) 166.366.982.121

16. GOODWILL
VND
Goodwill arising from investment in TỔNG CỘNG 20. SHORT-TERM ACCRUED EXPENSES VND
TOTAL
NGUYEN SON NAM LONG HONG PHAT
ENDING BEGINNING
BALANCE BALANCE
Cost:
Beginning balance and Ending
Cost-to-complete of projects that revenues 494.846.884.624 184.820.883.491
32.906.583.473 2.336.088.442 35.242.671.915 have been recognised
balance
Interest expense payables 36.325.426.027 16.074.883.773
Accumulated amortisation: 21.983.341.011 19.517.356.135
Warranty expenses for projects
Beginning balance (14.037.611.328) (2.203.729.736) (16.241.341.064) Other operating costs 51.403.052.509 11.437.061.442
Amortization for the year (5.031.725.905) (132.358.706) (5.164.084.611) TOTAL 604.558.704.171 231.850.184.841
Ending balance (19.069.337.233) (2.336.088.442) (21.405.425.675)
Beginning balance 18.868.972.145 132.358.706 19.001.330.851
21. OTHER PAYABLES
VND
Ending balance 13.837.246.240 - 13.837.246.240 ENDING BEGINNING
BALANCE BALANCE
Short-term
Maintenance fee for Ehome projects 98.663.839.102 40.269.102.714
17. SHORT-TERM TRADE PAYABLES
VND Payables for on-going projects 40.874.681.511 33.410.275.452
ENDING BEGINNING Investment contributions received for BCCs 7.764.901.664 32.983.198.438
BALANCE BALANCE Dividends payable to non-controlling interests 1.846.051.299 224.911.050
Trade payables to other suppliers 199.476.008.760 190.543.508.912 Deposits received 755.635.000 982.135.000
Hung Quoc Thinh Services Trading Company Limited 51.254.292.144 -
Acquisition of ownership interest in ASPL - 147.062.264.265
6D Joint Stock Company 25.517.601.720 31.537.339.100 Others 22.930.701.480 22.801.110.416
Uni Eastern VN Company 12.523.635.523 -
Other payables to related parties - 7.008.800.000
QH Plus Corporation 10.405.912.933 6.655.408.412
172.835.810.056 284.741.797.335
Payables to other construction contractors 99.774.566.440 152.350.761.400
-
Long-term
Trade payables to related parties 7.718.400.000
Deposits for rental office 7.971.859.607 8.101.840.437
TOTAL 199.476.008.760 198.261.908.912
TOTAL 180.807.669.663 292.843.637.772
TOTAL
Long-term
Short- term
22. LOANS
- Current portion
- Current portion
Bonds (Note 22.3)
- Non-current portion
- Non-current portion
Loans from banks (Note 22.2)
Loans from individuals and entities

Current portion of bonds (Note 22.3)
80 NAM LONG | TOWARD 25 YEARS AHEAD
Short-term loan from banks (Note 22.1)

Short-term loans from individuals (Note 22.1)
Current portion of long-term loans (Note 22.2)

BALANCE
ENDING
703.267.915.674
349.613.387.000
-
-
99.690.509.259
99.690.509.259
349.613.387.000
101.943.358.000
451.556.745.000
353.654.528.674
101.943.358.000
99.690.509.259
82.126.096.080
69.894.565.335
BALANCE
BEGINNING
VND
637.496.219.076
412.995.740.905
20.846.995.905
150.000.000.000
94.000.000.000
244.000.000.000
242.148.745.000
37.722.000.000
279.870.745.000
224.500.478.171
37.722.000.000
94.000.000.000
13.750.000.000
79.028.478.171
B09-DN/HN
B09-DN/HN
22. LOANS (continued)

22.1 SHORT-TERM LOANS
Details of the short-term loans are as follows:
ENDING BALANCE INTEREST DESCRIPTION OF COLLATERAL

(VND) DUE DATE PURPOSE TAYE (%/p.a) (NOTE 12,13)
Loans from individuals
Short-term loans from individuals 69.894.565.335 9 December 2017 Support working 9,5 –10,5 Unsecured
capital needs
Loans from banks
Orient Commercial Joint 56.928.466.222 March 2017 Support working 8,0 LUR in map number 5, An Thanh Ward,Ben
Stock Bank capital needs Luc District, Long An Province
Vietnam Bank for 12.197.629.858 January 2017 Support working 8,0 LUR and associated assets of An Thanh
Agriculture and Rural capital needs Ward, Ben Luc District, Long An Province
Development - Brand 8
Ho Chi Minh City 13.000.000.000 November 2017 Finance Ehome, 9,5 1 LUR in Hung Thanh Ward, Cai Rang District,
Housing Development Long An and Nguyen Can Tho; and 1 LUR in An Thanh Ward, Ben
Bank Son projects Luc District, Long An Province.
TOTAL 82.126.096.080
ANNUAL REPORT 2016
81
B09-DN/HN
Notes to the consolidated financial statements (continued) B09-DN/HN
LUR and associated assets owned by Nam

LUR for 1,064,307 square meters and future
associated assets of Long An VCD project
Guaranteed by Hoang Nam Construction

Trading Limited
Long VCD Corporation and Nguyen Son house

construction project at Binh Chanh District
Assets attached to land mortage:

Floor 1, 7, 8, 9, 10, 11, 12, basement, mezza-
nine and rooftop of Nam Long Office Building
at land lot
Cr 3-4 – Cr 3-5, A Zone Phu My Hung, Tan
Phu Ward, District 7, Ho Chi Minh City
DESCRIPTION OF COLLATERAL
(NOTE 10,12,13)
VNĐ
22.3 BOND
On 28 July 2014, the Company issued 350 non-convertible bonds to Orient Commercial Joint Stock Bank at par value
of VND 1,000,000,000 per bond and at interest rate of 8.78% per annum for the first half year, paid on issuance date,
and of 2.5% plus average interest rate of 12 month deposits at Bank for Foreign Trade of Vietnam, Vietnam Joint Stock
Commercial Bank for Industry and Trade, Joint Stock Commercial Bank for Investment and Development of Vietnam
and Orient Commercial Joint Stock Bank, for the following years. The bonds will expire on 28 July 2017, and are used
to finance working capital and for Ehome projects.
Description of collaterals
59 LURs at An Thanh residential compound, An Thanh, Ben Luc, Long An (Note 13).
INTEREST
TATE (%/p.a)
9,7
9,9
10,7
7,5
22.4 MOVEMENTS OF LOANS AND BOND DURING THE PERIOD
VND
Finance Ehome 3
project
Purchase project
Hoang Nam
Finance Nguyen Son

projects
Support working
capital needs
LOANS BOND TOTAL
PURPOSE
Beginning balance 393.496.219.076 244.000.000.000 637.496.219.076

Drawdown from borrowings 405.688.714.613 - 405.688.714.613
Repayment from borrowings (195.607.527.274) (144.000.000.000) (339.607.527.274)
Cost of issuing bonds - (309.490.741) (309.490.741)

Ending balance 603.577.406.415 99.690.509.259 703.267.915.674
PRINCIPAL
REPAYMENT TERM
From 26 September 2016

to 6 May 2018
From 12 October 2017

to 12 October 2022
From 26 September 2016

to 26 December 2023
Quarterly repayment up
to 19 January 2017
23. CONVERTIBLE BOND

On 8 April 2016, the Board of Directors approved a detailed plan to execute the issuance of the convertible bonds
amounting to VND 500,000,000,000 to Ibeworth Pte. Ltd, a wholly-owned subsidiary of Keppel Land Ltd. in accor-
dance with the terms and conditions stipulated in the shareholders’ resolution No. 01/2016/NQ/ĐHĐCĐ/NLGs dated
18 March 2016. On 15 April 2016, the Company issued VND 500,000,000,000 convertible bonds at par value of VND
1,000,000,000 per unit. The bonds will be converted into equity at the bond holder’s option upon maturity and interest
Details of the long-term loans from banks are as follows:
is charged from the purchase date at 7% per annum. Interest since the Interest Payment date last preceding the rel-
ENDING BALANCE
T349.613.387.000
127.004.745.000
275.000.000.000
45.352.000.000
4.200.000.000
451.556.745.000
101.943.358.000
evant Conversion date is waived if conversion option is exercised at a conversion price of VND 23,500 per share which
22.2 LONG-TERM LOANS FROM BANKS
is subject to adjustments for dilutive events if any.

(VND)
The equity and liability component of the convertible bond are presented as below:
22. LOANS (Continued)
VND
31 December 2016
Value of convertible bond 500.000.000.000

long-term loans
Long-term loans
CTBC Bank Co., Ltd – Ho
Orient Commercial Joint

Equity component (Note 24.1) (40.503.427.830)

Current portion of
Chi Minh City Branch
Stock Bank – Loan 2

Liability component at initial recognition 459.496.572.170

Add: Amortisation in year 3.586.877.909
Liability component at end of year 463.083.450.079
In which:
TOTAL
BANK

1.933.690.678.758
145.573.822.374
206.244.169.156
(60.071.816.382)
(10.040.407.661)
(712.360.000)
3.262.454.198
2.217.946.540.443
2.217.946.540.443
5.247.530.000
40.503.427.830
345.217.739.625
(97.655.580.121)
(18.471.825.009)
(3.546.570.605)
(5.481.958.731)
2.483.759.303.432
TOTAL
B09-DN/HN
VND
B09-DN/HN
(*) On 12 August 2016, the Company issued 542,353 ordinary shares at agreed value of VND 10,000 per share to the executives in
accordance with the Executive Stock Grant program. This issuance was appropriated from bonus and welfare funds and in accor-
dance with the Resolution of Shareholders No. 02/2016/NQ/DHDCD/NLG dated 23 April 2016 and the relevant the Board of Directors’
-
-
-
-
-
-
-
-
-
-
40.503.427.830
-
-
-
-
-
40.503.427.830
CONVERTIBLE
BOND OPTION
Resolutions.
(**)During the year, the Group additionally acquired/disposed ownership in certain subsidiaries without losing control in these enti-
ties. The difference between the consideration transferred to/ received from non-controlling interests and the carrying value of net
assets received/transferred is recorded into retained earnings.
24.2 SHARES
VND
UNDISTRIBUTED
EARNINGS
218.912.408.731
-
206.244.169.156
(60.071.816.382)
(10.040.407.661)
-
3.262.454.198
358.306.808.042
358.306.808.042
-
345.217.739.625
(97.655.580.121)
(21.984.106.050)
-
(5.481.958.731)
578.402.902.765
Number of shares Number of shares
Authorized shares 142.114.510 141.572.157

Issued shares
OTHER FUNDS
BELONGING TO
OWNERS’ EQUITY
1.827.848.341
-
-
-
-
(712.360.000)
-
1.115.488.341
1.115.488.341
-
-
-
3.512.281.041
(3.546.570.605)
-
1.081.198.777
Issued and paid-up shares 142.114.510 141.572.157
Ordinary shares 142.114.510 141.572.157
Treasury shares
Held by subsidiaries 6.502.165 6.502.165
Ordinary shares 6.502.165 6.502.165
INVESTMENT AND
DEVELOPMENT
FUND
(60.464.200.000) 10.929.726.999
-
-
-
-
-
-
(60.464.200.000) 10.929.726.999
(60.464.200.000) 10.929.726.999
-
-
-
-
-
-
(60.464.200.000) 10.929.726.999
Shares in circulation
Ordinary shares 135.612.345 135.069.992
24.3 DIVIDENDS
VND
-
-
-
-
-
-
-
-
-
-
-
TREASURY SHARE
CURRENT YEAR PREVIOUS YEAR
Contributed capital
24.1 INCREASES AND DECREASES IN OWNERS’ EQUITY
Beginning balance 1.415.721.570.000 1.339.692.790.000

Increase 5.423.530.000 76.028.780.000
Ending balance 1.421.145.100.000 1.415.721.570.000
422.792.104.687
69.545.042.374
-
-
-
-
-
492.337.147.061
492.337.147.061
(176.000.000)
-
-
-
-
-
492.161.147.061
SHARE PREMIUM
Dividends declared (to be 97.655.580.121 60.071.816.382

payable in cash)
Dividends paid 96.034.439.872 59.846.905.332
25. NON-CONTROLLING INTERESTS

1.339.692.790.000
76.028.780.000
-
-
-
-
-
1.415.721.570.000
1.415.721.570.000
5.423.530.000
-
-
-
-
-
1.415.721.570.000
SHARE CAPITAL
VND

24. OWNERS’ EQUITY
Contributed charter capital 599.906.143.470 152.963.455.026

Share premium 26.412.286.830 20.768.642.586
Treasury shares (656.280.000) (656.280.000)
Net profit for the year
Net profit for the year
Investment and development funds 125.693.756 125.693.756

Other decrease (**)
Appropriation of net
Appropriation of net
Beginning balance
Beginning balance
Utilisation of funds
Utilisation of funds
PREVIOUS YEAR
Dividend declared
CURRENT YEAR
convertible bond
Dividend declare
Issuance of new
Issuance of new
Other funds belonging to owner’s equity 846.532.269 94.403.051

Ending balance
Other increase
Số cuối năm
Asset revaluation reserve 63.818.489 35.638.600.611

Issuance of
(Note 23)
share (*)
Undistributed earnings (accumulated losses) 36.816.111.592 (386.353.118)

shares
profit
profit
TOTAL 663.514.306.406 208.548.161.912

vào ngày 31 tháng 12 năm 2016 và cho năm tài chính kết thúc cùng ngày vào ngày 31 tháng 12 năm 2016 và cho năm tài chính kết thúc cùng ngày
Movements of non-controlling interests (“NCI”) are as follows: 27. COST OF GOODS SOLD AND SERVICES RENDERED
VND VND
CURRENT YEAR CURRENT YEAR PREVIOUS YEAR
Beginning balance 208.548.161.912 Cost of land, apartments, town houses and villas (*) 1.669.369.283.118 816.956.724.260
Received interests from the Group 189.771.970.622 Cost of rendering of services 32.099.101.410 11.242.732.257
Additional capital contribution 360.514.530.000 Operating costs of investment property 9.450.300.155 12.582.946.035
Capital withdrawal (65.000.000.000) 1.710.918.684.683 840.782.402.552
TOTAL
Net profit for the period 42.352.430.253
Transferred non-controlling interest to the Group (72.054.351.099) (*) Details of costs of property inventories sold are as follow:
VND
Dividends paid (514.017.000)
Cost of land, apartments, town houses and villas
Fund contribution (104.418.282)
Ending balance 663.514.306.406 CURRENT YEAR PREVIOUS YEAR
Actual costs incurred 1.284.918.289.880 804.535.810.024
26. REVENUES Accrued as at 31 December 384.450.993.238 12.420.914.236
Total cost of goods sold recognised 1.669.369.283.118 816.956.724.260

26.1 REVENUES FROM SALE OF GOODS AND RENDERING OF SERVICES
VND
Gross revenues 2.533.798.820.045 1.267.221.417.021 28. SELLING EXPENSES AND GENERAL AND ADMINISTRATIVE EXPENSES
In which: VND
Sale of land, apartments, town houses and vilas 2.479.838.501.617 1.228.069.415.072 CURRENT YEAR PREVIOUS YEAR
Rendering of services 33.582.494.745 14.406.414.937
Selling expenses
- Commission fee 70.668.124.394 38.891.847.674
Less
- Marketing fees and show-houses construction cost 31.825.380.779 15.781.628.495
Sales returns - (8.677.878.248) - Salary expenses 27.929.894.511 21.986.558.293
Net revenues 2.533.798.820.045 1.258.543.538.773 - Consultant fee 19.254.849.729 14.635.739.550
In which: - Others 38.941.680.461 27.440.249.999
Sale of land, apartments, town houses and villas 2.479.838.501.617 1.219.391.536.824 188.619.929.874 118.736.024.011
Rendering of services 33.582.494.745 14.406.414.937
General and administrative expenses
- Salary expenses 110.869.605.453 96.892.442.094
In which:
- External services 21.175.728.643 21.607.608.886
Sale to other parties 2.533.798.820.045 1.258.543.538.773
- Rental fee 2.178.868.003 2.113.309.350
- Depreciation 2.031.459.342 1.165.897.513
26.2 FINANCE INCOME - Others 18.130.856.252 32.595.626.253
VND
154.386.517.693 154.374.884.096
TOTAL 343.006.447.567 273.110.908.107
Interest income 18.976.347.441 5.754.246.837
Profit received from BCCs 6.210.353.467 -
Dividends income 501.973.000 -
Gains from disposals of investment - 10.811.102.112
TOTAL 25.688.673.908 16.565.348.949
29. FINANCE EXPENSES Reconciliation between CIT expense and the accounting profit multiplied by CIT rate is presented below:
VND VND
CURRENT YEAR PREVIOUS YEAR CURRENT YEAR PREVIOUS YEAR
Interest expense on bonds issued and bank loans 20.554.703.566 10.560.127.150 Accounting profit before tax 484.340.916.453 276.027.836.682
Foreign exchange loss - 2.549.497.346 At CIT normal applicable rate (2016: 20%, 2015: 22%) 96.868.183.291 60.726.124.070
Other finance expenses 8.055.740.687 3.441.351.773 CIT deduction - (2.375.853.015)
Adjustments to increase (decrease)
TOTAL 28.610.444.253 16.550.976.269
Amortisation of goodwill in business combination 1.032.816.922 1.165.217.621
Losses of subsidiaries 97.633.888 895.917.000
Non-deductible interest expenses 995.235.394 428.269.600
Income from business activities not subject to CIT (5.497.051.732) (43.433.685)
30. OTHER INCOME AND EXPENSES Tax loss carried forward (1.742.586.387) -
VND
Other non-deductible expenses 3.887.795.749 5.228.372.046
CURRENT YEAR PREVIOUS YEAR Under provision of CIT from previous years 1.128.719.450 1.414.555.651
Other income 11.012.029.151 148.046.652.354 CIT expense 96.770.746.575 67.439.169.288
Penalties received from contract violation 5.698.061.496 935.061.715
Land rental income 1.594.571.123 -
31.2 CURRENT CIT
Negative goodwill on acquisition - 33.833.673.323
The current tax payable is based on taxable profit for the year. The taxable profit of the Company for the year differs
Income relating to Phuoc Long B project - 111.071.460.611 from profit as reported in the consolidated income statement because it excludes items of income or expense that are
Others 3.719.396.532 2.206.456.705 taxable or deductible in other years and it further excludes items that are not taxable or deductible. The Group’s liability
for current tax is calculated using tax rates that have been enacted at the balance sheet date.
Other expenses (4.221.939.695) (16.880.842.305)
Interest on tax late payment (904.737.630) (14.245.992.904)
Others (3.317.202.065) (2.634.849.401)
31.3 DEFERRED CORPORATE INCOME TAX
NET 6.790.089.456 131.165.810.049 The following comprise the Group’s deferred tax assets and the movements thereon, during the year and the previous year.
VNĐ
CONSOLIDATED BALANCE SHEET CONSOLIDATED INCOME STATEMENT
31. CORPORATE INCOME TAX
ENDING BEGINNING CURRENT PREVIOUS
The statutory enterprise income tax (“CIT”) rate applicable to the Group is 20% of taxable profits. BALANCE BALANCE YEAR YEAR
The tax returns filed by Group are subject to examination by the tax authorities. As the application of tax laws Deferred tax assets
and regulations is susceptible to varying interpretations, the amounts reported in the consolidated financial Intra-group unrealised profits eliminated 50.473.975.502 55.912.148.612 (5.438.173.110) (17.371.145.965)
statements could change later upon final determination by the tax authorities. in consolidation
Accrued expenses 15.852.626.714 13.755.515.281 2.097.111.433 1.996.893.450
31.1 CIT EXPENSE Severance allowance 437.989.175 372.434.000 65.555.175 (65.599.662)
VND
Interest expenses 647.954.204 855.047.802 (207.093.598) (1.021.859.951)
CURRENT YEAR PREVIOUS YEAR 1.201.539.118 29.956.675 1.171.582.443 -
Loss in subsidiaries
Current CIT expense 98.555.565.526 52.762.741.914 68.614.084.713 70.925.102.370
Adjustment for under accrual of tax from previous periods 1.128.719.450 1.414.555.651 Deferred tax liabilities
Deferred tax loss (2.696.372.478) (2.696.372.478) - 204.284.927
Deferred tax (income) expense (Note 31.3) (2.913.538.401) 13.261.871.723
Temporary difference in cost of sales - (5.224.556.058) 5.224.556.058 2.995.555.478
Fair value adjustment on assets (52.635.495.867) (52.635.495.867) - -
TOTAL 96.770.746.575 67.439.169.288
acquired in business combination
(55.331.868.345) (60.556.424.403)
Net deferred income tax income (expense) 2.913.538.401 (13.261.871.723)
32. TRANSACTIONS WITH RELATED PARTIES 33. EARNINGS PER SHARE

Significant transactions of the Group with related parties during the year were as follows: Basic earnings per share amounts are calculated by dividing net profit after tax for the year attributable to ordinary
VND shareholders of the Group by the weighted average number of ordinary shares outstanding during the year.
RELATED PARTIES RELATIONSHIP TRANSACTIONS CURRENT YEAR PREVIOUS YEAR The following reflects the income and share data used in the basic earnings per share computations:
VND
Mr Tran Thanh Phong Vice chairman Dividend payable 2.175.785.655 4.019.523.700
PREVIOUS YEAR
CURRENT YEAR
(Restated)
Mr Nguyen Xuan Quang Chairman Acquire ownership 20.412.500.000 24.291.250.000
interest in an entity Net profit after tax (VND) 345.217.739.625 206.244.169.156
5.183.940.711 8.518.757.940
Dividend payable Less: Bonus and welfare fund (VND) (i) (24.165.241.774) (13.158.377.992)
Net interest after tax on convertible bonds charged to the 16.062.809.514 -
Ms Nguyen Thi Ngoc Lan Related party Loan repayment 5.000.000.000 1.000.000.000
consolidated income statement (VND)
Borrowing 5.000.000.000 -
Net profit attributable to ordinary shareholders (VND) 337.115.307.365 193.085.791.164
Loan interest 203.534.000 -
Weighted average number of ordinary shares during the year (VND) 135.612.345 135.612.345
Ms Nguyen Thi Phuc Nguyen Related party Loan repayment 4.692.821.000 1.281.100.000
Adjusted weighted average number of potential shares from 21.276.596 -
Advance for purchase 1.560.085.727 - convertible bonds (VND) (ii)
land
Weighted average number of ordinary shares adjusted for the 156.888.941 135.612.345
Transfer capital in - 22.084.500.000
effect of dilution
Nguyen Phuc
Borrowing Earnings per share (VND)
- 2.675.966.000
Basic earnings per share 2.367 1.424
Ms Nguyen Thi Bich Ngoc Related party Dividend payable 2.238.161.649 4.314.756.460
Diluted earnings per share 2.149 1.424
Ms Ngo Thi Ngoc Lieu Related party Advance for purchasing of 1.312.559.042 -
Apartment
(i) Net profit used to compute earnings per share for the year 2015 was restated following the actual distribution to Bo-
Dividend payables 1.780.350.249 -
nus and welfare funds from 2015 undistributed earnings as approved in the Annual General Meeting 2015’s Resolution
dated 25 April 2016 (“AGM Resolution 2015”).
Amounts due to and due from related parties were as follows:
VND Net profit used to compute earnings per share for the year 2016 is adjusted for distribution to Bonus and welfare funds,
which is appropriated at 7% of net profit after tax as approved in accordance with AGM Resolution 2015.
ENDING BEGINNING
RELATED PARTIES RELATIONSHIP TRANSACTIONS BALANCE (ii) As disclosed in Note 23 to the consolidated financial statements, on 8 April 2016, the Company issued VND
BALANCE
500,000,000,000 convertible bonds at par value of VND 1,000,000,000 per unit. These convertible bonds could poten-
Short-term trade receivables (Note 6) tially dilute basic earnings per share in the future as calculated for the year 2016.
Ms Nguyen Thi Bich Ngoc Related party Sales of Apartment 231.750.000 231.750.000
Ms Ngo Thi Ngoc Lieu Related party Sales of Apartment 110.005.097 155.976.987 34. CORRESPONDING FIGURES
341.755.097 387.726.987
Certain corresponding figures on the consolidated financial statements for the year ended 31 December 2015 have
been reclassified to reflect the presentation of the current year’s consolidated financial statements in accordance
with Circular 200.
Remunerations for members of the Board of Directors (“BOD”) and the Management are as follows:
VNĐ
Remunerations for members of the BOD 6.762.000.000 5.641.666.667

Remunerations for members of the Management 8.028.240.852 5.006.260.139
TOTAL 14.790.240.852 10.647.926.806

35. COMMITMENTS AND CONTINGENCIES 36. EVENTS AFTER THE BALANCE SHEET DATE
There is no matter or circumstance that has arisen since the balance sheet date that requires adjustment or disclosure
OPERATING LEASE COMMITMENTS
in accompanying consolidated financial statements of the Group.
The Group leases assets under operating lease arrangements. The future minimum rental payable as at 31 December
2016 under the operating lease agreements are as follows:
VND
Less than one year 2.596.923.678 11.732.276.491

From one to five years 8.811.533.769 27.486.746.979
More than five years 407.492.800 3.923.975.000
TOTAL 11.815.950.247 43.142.998.470
NGUYEN THI THU HIEN LUONG THI KIM THOA CHU CHEE KWANG
The Group leases out assets under operating lease arrangements. The future minimum rental receivable as at 31 Chief Accountant
Preparer General Director
December 2016 under the operating lease agreements are as follows:
6 March 2017
VND
Less than one year 5.327.026.280 18.950.018.773

From one to five years 15.741.304.299 31.288.805.857
More than five years 18.374.978.680 -
TOTAL 39.443.309.259 50.238.824.630
CAPITAL COMMITMENTS
As at 31 December 2016, the Group has contractual commitments for the construction work for its apartments, villa
projects as follows:
VND
CONTRACTED RECOGNIZED REMAINING

AMOUNT AMOUNT COMMITMENT
Fuji Residence Project 240.053.717.070 (68.533.153.992) 171.520.563.078

Tien Hung Project 193.304.759.891 (138.404.089.963) 54.900.669.928
Nguyen Son Project 95.028.478.660 (58.019.447.986) 37.009.030.674
Phu Huu Project 57.145.267.353 (25.465.403.283) 31.679.864.070
Kykio Residence Project 45.396.580.000 - 45.396.580.000
21 Century Project 38.472.457.672 (14.448.649.467) 24.023.808.205
Binh Duong Project 26.131.658.439 (24.277.838.658) 1.853.819.781
Flora Anh Dao Project 23.415.308.491 (14.614.756.548) 8.800.551.943
Nam Long Hong Phat Project 17.924.861.892 (5.174.224.090) 12.750.637.802
Other projects 68.875.040.328 (44.533.970.334) 24.341.069.994
TOTAL 805.748.129.796 (393.471.534.321) 412.276.595.475

NLG - Annual Report 2016

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years

Creating homes for over

Charter capital : VNĐ 1,415,721,570,000

To be top 3 To be top 3 Professional- Human Alignment Joining

• Nam Viet company

1992 2005 2007 2008 2010 2013 2014 2015 2016

GROUP CEO ’ S REPORT

Steven Chu Chee Kwang

CORPORATE OVERVIEW 2016

In keeping with the benchmark, we will continuously improve

KEY DRIVEN PROJECTS

A project dedicate to supporting

This is the biggest project of Nam Long Group

Foreign organizations (exclude Keppel Land in BOD) 49 60,960,990 42.9%

GROUP’S CORPORATE CHARTER CAPITAL OWNERSHIP

Thao Nguyen Real Estates Investment & Real estate

OFFICE DEVELOPMENT & COMMERCE

CONSTRUCTION & SERVICES

Gamuda – Nam Long Development Investment in the construction of villas 30%

Ehome is an affordable apartment The true intention is to provide the

Valora is developed by Nam long near to CBD (District 1) or New CBD

02. FINANCIAL HIGHLIGHTS

YEAR IN BRIEF 2016 2.500

2012 2013 2014 2015 2016

(UNIT) 170 EHome S

Ehome S (Kikyo Residence) 719

Ehome (3,4,5) 696

Flora (Anh Dao, Fuji) 650

Land lots 293

13.7% Total sales in 2016

FINANCIAL HIGHLIGHTS (cont)

TARGET 2013 2014 2015 2016

Gross profit margin 38% 35% 33% 32%

Operating profit margin 9% 13% 12% 19%

Profit after-tax in 2016 saw a growth of 67%

2013 2014 2015 2016

EARNINGS PER SHARE Net profits after tax

FINANCIAL HIGHLIGHTS (cont)

REVENUE BREAKDOWN BALANCE SHEET

Liabilities/ Equity 135% 100% 117% 123%

Short-term assets/ Total assets 52% 49% 52% 49%

VND BILLION 2013 2014 2015 2016 3. Turnover Ratio

Land lots 41 48 109 166

AWARDS & ACCOLADES

• Vietnam Asia Property Awards:

Nam long is honoured to

Flora Anh Dao

Valora Camellia Flora Fuji

Valora Fuji EHome 3

Dalia Garden EHome S Phu Huu

* Developed by: * Developed by:

INTERNAL HR-ER INVESTMENT

THE BOARD OF DIRECTORS, THE INSPECTION

Mr. Mr. Mr. Mr.

Over 30 years of experience in

THE BOARD OF MANAGEMENT

PROJECT DIVISIONS ECONOMICS - INVESTMENT DIVISIONS

Mr. Mr. Ms. Mr.

Mr. Mr. Mr. Ms.

Nam Long Annual team building event

Vietnam - Korea concert organised in Nam Long residence

Ms. Nguyen Thi Bich Ngoc Major shareholder 8,988,601 6.3%

LIST OF NAM LONG‘S PROJECTS AWARDS & ACCOLADES IN HISTORY

PROJECTS COMMER- LOCATION OWNER- AREA PRODUCT NUMBER OF DEVELOPMENT