According to statistics of over 60 listed enterprises in two bourse (VnMedia), real estate inventory was over 83.804 trillion dong, up 6.69 percent compared with the end of 2011. Thus, it accounted for over 45.84 percent of total assets of these enterprises.
The situation of slow consumption of real estate products in the last three years (especially apartment segment) made the inventory rate in their statements become bigger and bigger. Particularly in some enterprises, the inventory rate of the total assets hit to 70 percent – 90%.
Notably, the six biggest enterprises in real estate market held 69.4 percent amount of cash, most of the rest owned very little. The total cash at the end of Q2/2012 was insufficient to pay for all the costs including interest expense, payment for tenders and other costs. This situation meant most of enterprises did not have enough cash to operate. To pay the loans, enterprises have to accelerate debt recovery, free up inventory and liquidate short term loans on other sectors.
A huge amount of real estate inventory is regarded as a “time bomb”, if there is no suitable solutions on time, it will lead to bad results.