VinFast Auto Ltd. Ordinary Shares 2026 Q2 Earnings Call

Please go ahead, ma'am. Thank you, operator, and good morning, everyone.

Welcome to VinFast's second quarter 2026 earnings call. Please note that today's call will include forward-looking statements under U.S. federal securities law. These statements reflect our current views on future events, financial operational performance, and other matters that might involve risk and uncertainties. Before we begin, I would like to introduce today's speakers in light of our recent leadership changes. Joining me is our Chief Executive Officer and Chairman of the Board of Directors, Mr. Pham Nhat Quan Anh, who was appointed CEO on September 12th, after serving in several key leadership roles at VinFast. Also on today's call are our Chief Financial Officer, Ms. Lan Anh Nguyen, and our Chief Investment Officer, Mr. Chien Nguyen. The management team has worked closely together over the past few years, providing continuity as we execute on VinFast's next phase of growth and profitability.

With that, I would like to invite our CEO and Chairman, Mr. Quan Anh, to begin the management remarks.

Hello, everyone. Since our last earnings call, VinFast has continued to build significant momentum across our business. We have expanded our product and technology roadmap, debuted next-gen platform models with in-house developed driver assistance technologies, launched our e-scooter business overseas, and taken important steps to support our long-term financial profile. We announced VinFast's participation in the investor consortium developing the Hanoi International Sports Urban Area project, where we now hold, through Ngoc Hoi, a 20% economic interest. Our participation in the group's connected urban ecosystem creates another avenue to support VinFast's long-term development while complementing our core mobility strategy. in Q2 2026, VinFast delivered 70,085 electric four-wheelers, up 20% quarter-over-quarter and 96% year-over-year. We also delivered 286,000 electric two-wheelers, up 100% quarter-over-quarter and 311% year-over-year. First half of 2026 deliveries totaled 128,662 electric four-wheelers and 429,175 electric two-wheelers.

Nearly a decade since our founding, we have cumulatively delivered over 500,000 four-wheelers and 1 million two-wheelers, establishing an increasingly diversified presence globally. Today's progress validates investment in our products, manufacturing capabilities, technology, and ecosystem. Looking ahead, our priorities are clear. Ramp up production at our international factories, broaden our product portfolio, advance our autonomous driving capabilities, and expand into new markets alongside Green SM. In parallel, we remain focused on strengthening our after-sales network and service quality to our growing customer base. Together, these initiatives are designed to support sustainable volume growth, improve operating leverage, and advance our path to profitability. VinFast now operates in 15 countries. We continue to evaluate additional opportunities where we see structural tailwinds for adoption of electric smart mobility solutions and a viable path to scale. With that, I will turn it over to Chien to walk through the key business updates.

Thank you. Indeed, the last few months have marked exciting progresses across both our product roadmap and technology capabilities, demonstrating our continued focus on innovation while executing our strategic priorities. A key highlight was the launch of the VF Wild REEV, the newest addition to our product portfolio and an important milestone for the company. Built on VinFast's next-generation large vehicle platform, the VF Wild combines the smooth, responsive driving experience of an electric vehicle with the practicality of an extended range technology, delivering over 1,000 kilometers of total driving range while remaining fundamentally electric in how it performs. Our first range extended electric vehicle, the VF Wild, expands our addressable market and gives customers greater confidence and flexibility, particularly in segments where long-distance capability is highly valued. The VF Wild is now available in Vietnam, and we expect to bring it to the international market next year.

Equally important, with the start of production of the all-new VF 8, the first commercial deployment of our in-house driver assistance technology. It carries a novel ADAS Level 2 suite covering active safety, warning and detection, intelligent driving assistance and parking, as well as several smart services. We used to license the technologies, and now we develop these capabilities in-house at a fraction of the previous cost. More importantly, this creates a scalable technology foundation that paves the way for future model launches. Speaking of ADAS and autonomous driving, we showcased our latest robotaxi prototypes during the Vingroup Investor Tour 2026 earlier this month. Recent improvements included smoother acceleration and braking, more natural cornering, and vehicle following behavior, and an overall more refined driving experience. We are also continuing to improve our navigation on autopilot capabilities, with particular emphasis on driving quality, predictability, and passenger comfort.

In parallel with technology development, we are working with the relevant authorities on the regulatory sandbox, safety standard, and training protocols. Together, these developments reflect the rapid progress we are making toward our planned pilot of 200 Level 4 robotaxis at Vinhomes Green Paradise in Cần Giờ in late 2027. Turning to key market updates, starting with Vietnam, where VinFast has maintained the number one position for 22 consecutive months since September 2024. As of June 30, our share of the overall Vietnam automotive market was approximately 38%. During the quarter, we launched the all-new VF 8 as well as the VF 2, our most compact passenger vehicle model. Initial customer response was strong, with pre-orders of more than 28,700 VF 2s within the first three days, and more than 12,700 VF 8s within the first eight days of launch.

Our two-wheeler business also continued to scale, reinforcing VinFast's position as the number 2 player and further narrowing the gap with the market leader. We also produced our 1 millionth electric two-wheeler since inception, an important milestone for the business we launched nearly 8 years ago. Our latest models incorporate dual removable batteries, giving customers the flexibility to charge at home or use battery swapping infrastructure. In parallel, V-Green continued to expand its battery swapping network across the country. Now, moving on to our international market. In Southeast Asia, one of our key priorities this quarter was the expansion of our electric two-wheeler business in Indonesia and the Philippines. We opened 20 new electric two-wheeler dealerships across Indonesia and 21 new electric two-wheeler dealerships across the Philippines. We are also introducing 3 battery swapping models supported by a battery subscription program.

The opportunity is significant because the two-wheeler population in both countries are substantially larger than their passenger vehicle market. V-Green battery swapping and subscription model is designed to reduce upfront ownership costs while addressing charging inconvenience, 3 important considerations for mass market adoption. In four-wheelers, B2B fleet sales continue to play an important role in building vehicle visibility and utilization. In the Philippines, the VF 3 is being piloted as police patrol vehicles in Manila. In Indonesia, we secured a wholesale order from the Bogor Regency government, making further progress in the public sector fleet segment. Turning to India. Effective July 1st, we implemented a second 5% price increase on the VF 6 and VF 7, reflecting our disciplined approach to pricing as the business scales.

We also expanded our product offering with the launch of the 7-seater VF MPV 7, followed by the soft launch of the Limo Green Taxi variant in India. At the end of the quarter, VinFast ranked as the number 1 BEV brand in the Philippines, number 5 in India, and number 8 in Indonesia. Overall, during the quarter, 11% of our EV deliveries was to international markets. The Limo Green accounted for 23% of deliveries. The VF 8, overall, during the quarter, 11% of our EV deliveries was to international markets. The Limo Green accounted for 23% of deliveries, and the VF 3 and VF 5 collectively accounted for 38% of deliveries. Electric four-wheeler deliveries to related party accounted for approximately 6%, and electric two-wheeler deliveries to related party accounted for approximately 4% during the quarter. Finally, I would like to provide an update on GSM international expansion.

As we have discussed previously, GSM can serve as an important market development channel for VinFast. By introducing VinFast vehicles through mobility services, GSM can build vehicle exposure, generate real-world usage data, and help us assess customer behavior before we commit to a broader commercial presence. GSM is now operating in Kazakhstan, Denmark, and the Netherlands, and most recently in the U.S., with additional markets are expected to follow. GSM presence provide opportunities for customers to experience VinFast vehicles directly while giving us additional insight into local operating conditions and customer preference. This is another example of how the broader VinFast ecosystem can support disciplined international expansion and help us evaluate new markets before scaling investment. With that, I'll hand over the call to Lan Anh to review our financial results.

Thank you, Chien. Before I walk through the details, let me briefly frame the quarter and the second half outlook. We delivered strong revenue growth as vehicle volumes continued to scale, while profitability remained affected by several factors, including revenue deferrals, continued investment in our next-generation product and technology platforms, and the transition to our asset-light manufacturing model in Vietnam. Following the restructuring of our Vietnam manufacturing operations, the disposed manufacturing operations have been classified as discontinued operations, while the businesses and activities that remain with VinFast are presented as continuing operations. Accordingly, our prior period income statements have been recast to present the results of these operations separately from continuing operations. We believe this provides a clearer view of the underlying performance and financial profile of VinFast following the restructuring. Please refer to the Form 6-K filed this morning for additional details.