Student: Do Thi Thuy Dung ID: 0953040017 Group: 9.

Student: Do Thi Thuy DungID: 0953040017Group: 9

OverviewPart 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 PVDMember of PV CorpPetroVietnam Drilling and Well Services

JSC was established in 2001It began operation as a joint stock company

in 2005It 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: http://www.pvdrilling.com.vn/index.php?module=about&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 1.321.676.760 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: http://pvdrilling.com.vn/index.php?module=announcement&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:http://gafin.dvt.vn/20110822100643590p0c36/pvd-thong-qua-mua-them-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 ratiosProfitability ratiosValuation ratiosEfficiency ratiosSource: 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 riskHealthy financial structureGood profitability ratiosMoreover 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: http://www.vcsc.com.vn/Shared/Views/Web/MessagesDetail.aspx?menuid=1&id=62545&catid=1243&tab=newsvcsc&title=&lang=vi-vn

Thanks for your listening! ^^