Student: Do Thi Thuy Dung ID: Group: 9

Overview Part 1: Overview of PVD Part 2: The relationship between Vietnamese financial markets and corporate financial management of PVD Part 3: Analyzing typical information from PVD financial statement

I. Overview of PVD Member of PV Corp PetroVietnam Drilling and Well Services JSC was established in 2001 It began operation as a joint stock company in 2005 It was officially listed on Vietnam's stock market with the stock code “PVD" with an initial capital of VND 680 billion in 2006 Headquarter: Floor 2-3, Nam Ki Khoi Nghia Building, Nguyen Thai Binh, Dis 1, HCMC

PVD offers technical services to the oil and natural gas industry. The Company offers drilling and work-over contracting; chartering and operating drilling rigs; well testing, cementing, wire-line logging, tubular handling and other services; and engineering, fabrication, installation, inspection, refurbishment and maintenance of tools Source: ut&id=7

II. The relationship between Vietnamese financial markets and PVD corporate financial management

In the annual shareholders’ meeting report 2008 of PV Drilling, the chairman announced the raising the charter capital up to VND.  Additional capital for investing projects of PVD’s subsidiaries  Reduce the financial burden of having to get bank loans with high interest rates. Source: ment&function=detail&year_id=11&c_id=2&id=61

On August 19, 2011, PVD has announced the resolution of buying back 1 million shares.  Aims to stabilize the stock price and the purchase source from development investment fund.  EPS = 4900 VND  Moreover, they want to raise the stock price. Source: 1-trieu-co-phieu-quy.htm

1. Balance sheet 2. Income Statement 3. Ratios 4. Cash flow III. ANALYZING TYPICAL INFORMATION FROM PVD FINANCIAL STATEMENT

1. Balance Sheet (VND bn)

1.Balance sheet ( cont.)

2. Income statement

3.Financial ratio analysis: Liquidity/Solvency ratios Profitability ratios Valuation ratios Efficiency ratios Source: Viet Capital Securities

Liquidity/Solvency Ratios Current ratio( R c) over 3 recent years is not low  ok because it’s assets were used properly Cash ratio ( CR) and Quick ratio ( R q) are high  have ability to pay back liabilities with high liquidating inventory

4. Cash flow

Conclusion:  Low liquidity risk  Healthy financial structure  Good profitability ratios  Moreover P/E is 8.4x in 2011, and P / B is 1.43 x  VCSC hold recommendations for investing into PVD  PVD is still prefered with the positive results inspite of the difficult macro economy  Source: Detail.aspx?menuid=1&id=62545&catid=1243&tab=news vcsc&title=&lang=vi-vn

Thanks for your listening! ^^