Vietnam Manufacturing and Export Processing (Holdings) Limited (VMEP Holdings) reported a US$47.66 thousand loss for the three months ended 31 March 2026, reversing the US$0.93 million profit recorded a year earlier.

Revenue fell 5.7% year on year to US$18.69 million, reflecting softer sales versus the US$19.82 million generated in the first quarter of 2025. Gross profit contracted 43.4% to US$1.41 million, and the gross margin narrowed to 7.5% from 12.5%, underscoring heightened cost pressure despite broadly stable cost of sales (down 0.3%).

Operating performance deteriorated notably: results from operations swung from a US$0.59 million profit to a US$0.28 million loss, weighed by lower gross profit and a US$0.06 million impairment charge on property, plant and equipment. Net finance income softened 7.9% to US$0.33 million as interest income declined and finance costs remained elevated.

Balance-sheet metrics were largely resilient. Net current assets stood at US$44.71 million, broadly unchanged from end-2025. Bank loans were trimmed to US$22.51 million from US$37.18 million, contributing to a 31.3% fall in total current liabilities. Cash and cash equivalents, however, more than halved to US$15.66 million after a US$13.34 million net outflow, mainly due to financing cash outlays.

Total equity slipped marginally to US$48.15 million from US$48.51 million at 31 December 2025, reflecting the quarterly loss and negative foreign-exchange translation of US$0.30 million.

VMEP Holdings’ board approved the unaudited results on 13 May 2026, maintaining its practice of quarterly disclosures under Hong Kong Listing Rules and relevant regulatory provisions.