Novaland executive says company assets exceed liabilities.

Novaland Group (NVL) said it has passed the most difficult period and that its comprehensive restructuring is “basically been completed,” with 2026 set as the final year to gradually fulfill commitments to customers and investors and return to growth.

Restructuring progress and debt outlook

At a press briefing on April 14, NVL leadership stated that the company has moved beyond the brink of a liquidity crisis. The company said its debt structure is being adjusted to ease near-term financial pressure.

As of the end of 2025, NVL reduced about 18% of privately placed bonds issued privately compared with the end of 2022. The company said this involved reducing more than 3,324 billion dong of debt through exchanging debt for shares and converting part of an international bond package.

NVL also reported additional drawdowns of new loans to supplement project financing. The total credit lines granted and expected to be extended amounted to nearly 30,500 billion dong, to be disbursed as construction progresses.

CFO: land bank value covers debt obligations

Novaland’s Chief Financial Officer, Võ Quốc Đức, said the company is confident it has overcome the survival phase and can return to growth in the real estate sector. He said the key basis for this confidence is that the land bank the company owns is worth more than its debt.

Mr. Đức noted that the land value in the audited 2025 financial statements is recorded at book value. He said that if valued at market prices, the figure would be higher, and that the market value of the company’s assets is sufficient to cover all debt obligations.

2025 audited figures

According to NVL’s audited consolidated financial statements for 2025, inventory reached over 153.324 trillion dong, mainly real estate for sale under construction and completed. Total financial borrowings were 67.391 trillion dong, mainly bank loans and bonds. The company said it has the ability to repay all of these obligations.

Land bank legal clearance and cash-flow conversion

NVL said it holds large land banks in Ho Chi Minh City, Dong Nai, and Lam Dong. The company stated that these projects have been legally cleared since 2025, enabling it to open for sale and delivery and convert asset values into cash flow.

By the end of 2025, NVL recorded more than 20.353 trillion dong in advance payments from buyers, which the company said will be recognized as revenue when it completes and hands over properties to customers.

Project updates and delivery timelines

On key projects, NVL said Aqua City has largely completed legal procedures and is expected to have a sales permit no later than the end of Q2 or early Q3. The company said it can then convert agreement documents into sale contracts to recognize revenue. NVL reported that Aqua City has traded about 10,000 units out of a total of more than 13,000.

For NovaWorld Phan Thiet, NVL said it has completed converting land use rights to a lump-sum payment and is awaiting valuation results to finalize financial obligations in May or June. After that, the company said it will be eligible to obtain a title deed and continue business.

For projects in Ho Chi Minh City, NVL said The Grand Manhattan and Victoria Village are expected to hand over within this year. It said Palm City (high-rise) will begin construction mid-year to target delivery in 2027.

At NovaWorld Ho Tram, NVL said most subzones have completed legal procedures, except for Bình Châu Onsen and Long Island, which are expected to finalize remaining procedures in Q2 or Q3.

NVL also said The Water Bay project has not yet secured a final legal direction, but it remains a major investor in the 30-hectare land bank and views it as having substantial potential.

2026 business plan and profit assumptions

NVL said its 2026 business results plan includes revenue of 22,715 billion dong and net profit after tax of 1,852 billion dong, a slight decrease of 0.5%.

The company said it will focus on stabilizing cash flow by delivering more than 2,600 units and launching more than 2,100 new products.

Interest-rate sensitivity and financing measures

NVL said rising interest rates have led to a more cautious profit plan for 2026. A company representative said the impact would not affect all debt categories at once: only about 30–40% of outstanding debt would be directly affected by floating rates, while the remaining borrowings continue to benefit from fixed rates for 12–36 months depending on the contract.

NVL said it will continue implementing measures including restructuring payment schedules to align with existing debts, raising funds through private share placements, and obtaining financing from financial institutions to ensure resources for project development.

International bond negotiations and proposed conversion

NVL said debt-extension negotiations for international loans and bonds have taken longer than domestic debt due to multiple layers of approvals and the involvement of various advisory units.

One proposed restructuring option discussed by the company was converting bonds into equity. NVL representatives said the proposed price—up to around 40,000 dong per share—was much higher than the market price at the negotiation time (roughly 11,000–15,000 dong), making the option less attractive to bondholders.