Professional Documents
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Phân Tích BCTC Công Ty Cao Su Phư C Hòa (PHR)
Phân Tích BCTC Công Ty Cao Su Phư C Hòa (PHR)
--- * ---
ĐỀ TÀI:
PHÂN TÍCH DOANH NGHIỆP
CAO SU PHƯỚC HÒA
Môn học : Phân tích báo cáo tài chính
Lớp MH : TC302DE_2878. (20.1B)
Nhóm Sinh viên thực hiện : Nhóm 06
1. Trương Mỹ Ngân (MSSV:
2190546)
2. Trịnh Thanh Mi (MSSV:
2192793)
3. Huỳnh Thanh Ngân (MSSV:
2181752)
i
TP. Hồ Chí Minh, tháng 06 năm 2020
TABLE OF CONTENTS
TABLE OF CONTENTS............................................................................................ii
LIST OF TABLES.....................................................................................................iv
LIST OF CHARACTERS...........................................................................................v
LIST OF PICTURES.................................................................................................vi
CONTENTS................................................................................................................ 1
I. General Overview:...........................................................................................1
1. Overview of Vietnam's rubber industry:.....................................................1
1.1 Current situation:.....................................................................................1
ii
2.1 Liquidity ratios:.....................................................................................22
III. Recommendations:.......................................................................................30
REFERENCE DOCUMENT.....................................................................................31
iii
LIST OF TABLES
Table 1: Rubber tree acreage, production, and productivity in Vietnam 2017-2019. . .1
Table 2: Income statement of PHR 2018-2020..........................................................13
Table 3: Balance sheet of PHR 2018-2020................................................................14
Table 4: Resources of PHR 2018-2020.....................................................................16
Table 5: Income statement of PHR 2018-2020..........................................................18
Table 6: Balance sheet of PHR 2018-2020................................................................19
Table 7: Resources of PHR 2018-2020.....................................................................20
Table 8: Cash flow from operation ratio of PHR 2018-2020....................................21
Table 9: Debt to total capital & Debt to equity of PHR 2018-2020..........................24
Table 10: Net debt to equity & Debt to equity of PHR 2018-2020...........................24
Table 11: Times interest earned, Fixed charge coverage, Financial Leverage of PHR
2018-2020.................................................................................................................24
Table 12: Inventory turnover & Average number of days inventory in stock of PHR
2018-2020.................................................................................................................25
Table 13: Receivables turnover ratio & Average number of days receivables of PHR
2018-2020.................................................................................................................26
Table 14: Payables turnover & Average number of days of payables of PHR 2018-
2020........................................................................................................................... 26
Table 15: Working capital turnover ratio of PHR 2018-2020..................................27
Table 16: Total asset turnover & Fixed asset turnover of PHR 2018-2020..............28
iv
LIST OF CHARACTERS
Chart 1: Rubber tree acreage, production in Vietnam 2017-2019..............................2
Chart 2: Rubber prices at SHFE Shanghai - Source: Export Department, Ministry of
Industry and Trade......................................................................................................3
Chart 3: Rubber tree acreage, production in Vietnam.................................................5
Chart 4: Business field of PHUOC HOA rubber joint stock company........................6
Chart 5: The chart shows the product structure.........................................................10
Chart 6: The chart shows consumer market...............................................................12
Chart 7: Current asset & current liabilities of PHR 2018-2020................................21
Chart 8: Components of current assets of PHR 2018-2020......................................22
Chart 9: Cash flow from operation & current liabilities of PHR 2018-2020............23
Chart 10: Inventory turnover ratio of PHR 2018-2020.............................................25
Chart 11: Net sales & Average working capital of PHR 2018-2020........................27
Chart 12: Profitability ratios of PHR 2018-2020......................................................28
v
LIST OF PICTURES
Picture 1: Phuoc Hoa Rubber Joint Stock Company organizational chart (Source: PHR
Annual Report 2020)................................................................................................................6
Picture 2: Productions of Phuoc Hoa firm...............................................................................8
vi
CONTENTS
I. General Overview:
1
1400
Area and production of rubber trees in
Vietnam
1200 1,185.20
1,137.70
1,094.50
1000 971.6 961.8 941.3
800
685.5 710.7
653.2
600
400
200
0
2017 2018 2019
2
The average export price decreased 10.1% over the same period in
2019, down to 1,291 USD/ton.
However, in 2020, China is still the largest rubber export market
of Vietnam, accounting for 77.88% of the total rubber export volume of
the country, reaching 1.36 million tons, worth 1.83 billion USD, up 17.3%
in volume and 18.1% in value compared to 2019; The average export
price to the Chinese market reached 1,343 USD/ton, an increase of 0.6%
compared to 2019.
3
2. Overview of Phuoc Hoa Rubber Joint Stock Company:
2.1 Introduction:
Phuoc Hoa Rubber Joint Stock Company (PHR) was formerly
known as Phuoc Hoa Rubber Plantation, after the liberation of the South,
it was renamed as Phuoc Hoa State- owned Rubber Farm. This is a state-
owned enterprise directly under Vietnam Rubber Group.
On 25/12/1982, Phuoc Hoa Rubber Company was officially
established under the decision of the General Department of Rubber of
Vietnam and transformed name from Phuoc Hoa State-owned Rubber
Farm to Phuoc Hoa Rubber Company.
In 2007, transformed into a Joint Stock Company.
In 2009, officially listed on the Ho Chi Minh City Stock
Exchange (HOSE) with the stock symbol is PHR.
Phuoc Hoa is one of the companies with the largest rubber
plantation area in the top 5 rubber area and production in the industry.
With a total area of more than 15,000 hectares of rubber plantation, along
with nearly 30,000 tons of rubber processed and consumed annually,
Phuoc Hoa company is currently one of the leading companies in the
rubber industry.
4
Chart 3: Rubber tree acreage, production in Vietnam
2.3 Development prospects of the company and industry
The exploited output of Vietnam's rubber industry compared to
other countries such as Thailand, Malaysia, Indonesia,... is still quite
small, so we can not be proactive about the price as well as the supply and
demand of the output and have to depend on fluctuations of the world
market.
However, recently, Vietnam has joined The International Rubber
Conference Organization (IRCO) to cooperate in stabilizing rubber prices
on the world market. This is a good sign for rubber growers in Vietnam in
this era of price volatility.
5
6
2.4 Organizational structure:
7
2.6 Executive Board:
8
Businesses scale:
9
Product structure:
10
Captions:
11
Chart 5: The chart shows the product structure
(Source https://www.phr.vn/san-pham.aspx)
Analysis SWOT
Strengths:
Because PHR is a leading company in the rubber industry, PHR
has many advantages compared to other companies in the same industry,
such as: Having the highest scale among 5 listed companies and receiving
many advantages in price rubber rose.
Weakness:
PHR has a large rubber plantation area, so this can be both a
benefit and a weakness, because old rubber has to be disposed of and new
planting should reduce rubber production.
Subsidiaries are only put into operation, so they have not achieved
high efficiency,
Opportunity:
PHR already has a foothold in the domestic market because it is
an extremely large-scale enterprise, and not to mention there are two
12
subsidiaries: Truong Phat Rubber Joint Stock Company (Binh Duong),
Phuoc Phuoc Rubber Development Co., Ltd. Hoa Kampong Thom
(Cambodia), it shows that PHR has entered foreign markets to enhance its
position compared to competitors.
And also links with companies such as Nam Tan Uyen Industrial
Park Joint Stock Company, Vietnam Rubber Infrastructure Business
Construction Company Limited.
Threats:
Depends on world prices and bad weather
Due to the epidemic and the lack of containers, the transportation
to the large Chinese market plummeted
Prices are intermixed due to oversupply.
Consumer market
Over the past years, Phuoc Hoa Rubber Joint Stock Company has
boldly built a consulting system, building a suitable factory system to
have enough production facilities and upgrade product quality according
to customers' requirements. row. The company's products are ranked in
the domestic and international line, with high quality, beautiful colors,
ensuring the prestige of receiving customers, the school is always stable
and expanding. The company's products consume more than 30 countries
around the world. Strong consumption markets in East Asia, Europe and
North America.
Exporting markets:
+Asia: China, Koria,Japan,Taiwan,…
+ Europe: Spain , Turkey , England, Italy,…
13
+ Americas: Brazil, Mexico, Argentina,…
14
II. Financial Analysis:
1. Common-size:
VERTICAL COMMON SIZE
INCOME STATEMENT
2018 2019 2020
Net revenue 100.00% 100.00% 100.00%
Cost of good sold 82.39% 78.45% 76.18%
Gross profit 17.61% 21.55% 23.82%
Financial income 10.45% 11.42% 11.52%
Financial expenses 2.62% 2.93% 3.30%
In which: Interest expense 1.78% 1.85% 3.09%
Share of profit/(loss) in associates 4.41% -0.05% 2.31%
Selling expense 1.57% 1.69% 1.79%
General and administration expense 5.04% 5.51% 5.15%
Net operating profit 23.24% 22.78% 27.41%
Other income 26.95% 14.36% 57.34%
Other expenses 0.76% 0.10% 0.04%
Other activities profits 26.19% 14.25% 57.30%
Profit before tax 49.43% 37.04% 84.72%
Income tax 8.12% 7.27% 15.76%
Net profit after tax 41.31% 29.77% 68.95%
Table 2: Income statement of PHR 2018-2020
The income statement of PHR shows that the percentage of COGS to net revenue
fluctuates from year to year, which has affected the firm's gross profit.
- Cost of good sold: From 2018-2020: the ratio of gross profit to net revenue
was 17.61% to 23.82% => Gross profit margin increased by 6.21%, showing that
PHR is efficient and profitable.
- Gross profit: From 2018-2019 the ratio of net profit after tax to net revenue is
41.31% to 29.77% => Net profit after tax decreased by 11.54%, showing that
PHR had difficulties in business and production activities due to the decrease
in rubber prices at that time.
15
From 2019-2020 the ratio of net profit after tax to net revenue is 29.77% to
68.95% => Net profit after tax increased by 39.18%, showing that PHR is
profitable due to the rubber market has recovered well and the export value is
increasing.
Conclusion: PHR's business is highly effective.
BALANCE SHEET
2018 2019 2020
CURRENT ASSETS 26.91% 39.32% 47.57%
Cash and cash equivalents 7.12% 11.44% 6.54%
Short-term financial investment 6.77% 16.54% 31.66%
Accounts receivable short-term 5.84% 3.88% 3.69%
Inventories 6.05% 5.59% 4.50%
Other current assets 1.13% 1.87% 1.18%
LONG-TERM ASSETS 73.09% 60.68% 52.43%
Account receivable long- term 0.18% 0.11% 0.03%
Fixed assets 23.83% 24.38% 27.24%
Investment property 2.40% 3.03% 2.68%
Long - term work in progress 23.48% 16.34% 8.77%
Long - term financial investments 17.79% 10.21% 6.33%
Other long - term assets 5.40% 6.62% 7.38%
TOTAL ASSETS 100.00% 100.00% 100.00%
Table 3: Balance sheet of PHR 2018-2020
Conclusion:
- From 2018 to 2020:
16
The increase in short-term assets due to the increase in short-term financial
investments shows that the enterprise knows how to take advantage of money
in financial investment activities to increase the profit rate for the business.
The small inventory and decrease over the years shows that the enterprise
has almost no inventory to spare, which will affect the asset structure.
17
RESOURCES
2018 2019 2020
LIABILITIES 47.19% 55.57% 49.36%
1. Current liabilities 15.38% 21.27% 17.39%
Accounts payable to suppliers 1.23% 1.30% 0.80%
Advances from customers 1.07% 0.53% 0.36%
Taxes and others payable to State 0.87% 0.34% 1.47%
Treasury
Short-tem borrowings 2.50% 1.70% 1.78%
Bonus and weifare fund 2.82% 1.21% 0.76%
2. Long-term liabilities 31.80% 34.30% 31.97%
Long-term accrued expenses 1.51% 1.32% 1.19%
Other long-term payments 0.12% 0.10% 0.00%
Long-term borrowings and finance 7.42% 7.16% 8.08%
lease liabilities
EQUITY 52.81% 44.43% 50.64%
Owners’ equity 52.81% 44.43% 50.59%
Paid-in capital 26.63% 23.14% 20.72%
Capital surplus 0.42% 0.36% 0.32%
Exchange rate differences 2.60% 2.02% 1.97%
Development investment fund 15.62% 15.64% 17.76%
Undistributed profit after tax 6.13% 2.03% 8.11%
Non-controlling interest 1.40% 1.24% 1.69%
Other funds 0.00% 0.00% 0.05%
TOTAL RESOURCES 100.00% 100.00% 100.00%
Table 4: Resources of PHR 2018-2020
18
- Liabilities: Liabilities from 2018 to 2019 increased by 8.38% but from
2019 to 2020 decreased by 6.21%, showing that PHR has quite good debt
payment ability.
- Equity: Equity has not changed much over the years, always
maintaining at 45% to over 50%.
Conclusion: PHR's capital structure is quite stable, showing that the enterprise has a
strict financial management policy. A debt ratio of less than 65% shows that the
enterprise has good control over its liabilities, ensuring that it does not create a
burden on the business.
19
HORIZONTAL COMMON SIZE
INCOME STATEMENT
2018 2019 2020
Revenue from sales of goods and
provision of services 100.00% 105.05% 104.71%
Revenue deductions 100.00% 27.87% 90.77%
Net revenue 100.00% 105.20% 104.74%
Cost of good sold 100.00% 100.18% 96.84%
Gross profit 100.00% 128.72% 141.68%
Financial income 100.00% 114.91% 115.42%
Financial expenses 100.00% 117.60% 131.76%
In which: Interest expense 100.00% 109.03% 181.45%
Share of profit/(loss) in associates 100.00% -1.28% 54.84%
Selling expense 100.00% 112.75% 119.13%
General and administration
expense 100.00% 115.02% 107.08%
Net operating profit 100.00% 103.13% 123.53%
Other income 100.00% 56.05% 222.88%
Other expenses 100.00% 14.50% 5.46%
Other activities profits 100.00% 57.26% 229.20%
Profit before tax 100.00% 78.83% 179.51%
Income tax 100.00% 94.26% 203.40%
Net profit after tax 100.00% 75.80% 174.82%
Table 5: Income statement of PHR 2018-2020
Revenue decreased but profit after tax increased: due to the decrease in demand and
price reduction of the market, combined with the stagnation of production activities
due to the epidemic, sales decreased significantly. However, the sharp increase came
from other sources of income (mainly from the recognition of the first phase of
compensation from the Nam Tan Uyen project phase 2), at the same time cutting
management costs, and supporting corporate tax cuts. of the State, profit after tax
gives extremely positive results.
BALANCE SHEET
20
2018 2019 2020
CURRENT ASSETS 100.00% 168.14% 227.24%
Cash and cash equivalents 100.00% 184.79% 118.08%
Short-term financial investment 100.00% 281.32% 601.44%
Accounts receivable short-term 100.00% 76.48% 81.16%
Inventories 100.00% 106.24% 95.48%
Other current assets 100.00% 190.58% 95.48%
LONG-TERM ASSETS 100.00% 95.55% 134.71%
Account receivable long- term 100.00% 69.96% 23.65%
Fixed assets 100.00% 117.74% 146.93%
Investment property 100.00% 145.08% 143.05%
Long - term work in progress 100.00% 80.06% 48.02%
Long - term financial investments 100.00% 66.04% 45.74%
Other long - term assets 100.00% 140.93% 175.48%
TOTAL ASSETS 100.00% 115.08% 128.53%
Table 6: Balance sheet of PHR 2018-2020
RESOURCES
21
2018 2019 2020
100.00 135.53
LIABILITIES
% % 134.46%
100.00 159.10
1. Current liabilities
% % 145.28%
100.00 121.74
Accounts payable to suppliers % % 83.63%
100.00
Advances from customers % 56.78% 43.18%
100.00
Taxes and others payable to State Treasury % 44.64% 217.96%
100.00
Short-tem borrowings % 77.98% 91.45%
100.00
Bonus and weifare fund % 49.23% 34.45%
100.00 124.13
2. Long-term liabilities
% % 129.22%
100.00 100.47
Long-term accrued expenses % % 101.24%
100.00 100.00
Other long-term payments % % 1.06%
100.00 111.08
Long-term borrowings and finance lease liabilities % % 139.93%
100.00
EQUITY
% 96.81% 123.24%
100.00
1. Owners’ equity
% 96.81% 123.12%
100.00 100.00
Paid-in capital % % 100.00%
100.00 100.00
Capital surplus % % 100.00%
100.00
Exchange rate differences % 89.18% 97.31%
100.00 115.19
Development investment fund % % 146.16%
100.00
Undistributed profit after tax % 38.07% 170.07%
100.00 101.49
Non-controlling interest % % 155.09%
100.00 301.39 8144.49
2. Other funds
% % %
22
100.00 115.08
TOTAL RESOURCES
% % 128.53%
Table 7: Resources of PHR 2018-2020
PHR's debt structure is still considered low risk due to its strong liquidity, being able
to pay all debts without much impact on the Company's day-to-day operations.
23
2. Ratio Analysis:
2.1 Liquidity ratios:
2018 2019 2020
Current ratio 1.75 1.85 2.74
Quick ratio 1.36 1.59 2.48
Cash ratio 0.9 1.32 2.2
Cash flow from operation ratio 0.6 0.51 0.69
2,000,000,000,000
1,368,946,392,56
2 1,245,108,606,28
1,500,000,000,000 4 1,136,931,679,24
2
1,000,000,000,000 782,596,523,887
500,000,000,000
0
2018 2019 2020
24
However, the main reason for increasing these ratios is the increase in
current assets, especially, at the end of 2018, the firm’s current assets was
1,369 billion VND, equivalent to 26.9% of total assets. By 2020, PHR's
current asset value increased to 3,111 billion VND, equivalent to 47.6% of
total assets.
The reason for the increase in current assets came from the
cooperation in converting rubber plantations to industrial real estate.
Income from land compensation and profits distributed from industrial
zones increases the value of the firm's short-term investments, so the size of
current assets of PHR increased sharply in the past two years. However, it
is warned that, due to limited land reserves, the conversion of rubber
plantation land to industrial zone real estate will directly affect the firm's
core business of rubber production.
1,500,000,000,000
968,455,029,175
1,000,000,000,000
669,749,069,862
362,430,068,707
344,259,853,216 427,963,672,949
327,128,862,028
500,000,000,000 307,901,995,744
297,005,379,236 227,152,626,379 293,974,204,639
241,058,784,239
57,349,095,659 109,294,792,364 0
0
2018 2019 2020
25
- Cash flow from operation ratio
782,596,523,887 783,671,874,505
800,000,000,000
641,118,844,311
600,000,000,000
468,443,139,887
400,000,000,000
200,000,000,000
0
2018 2019 2020
Chart 9: Cash flow from operation & current liabilities of PHR 2018-2020
From 2018 to 2020 the firm’s CFO ratio increased gradually from 0.6
to 0.69. CFO ratio was not higher than 1, which indicates that the firm is
not generating sufficient revenues from its core business operations to pay
its current liabilities, and therefore it needs to generate additional positive
cash flow from either financing or investment activities.
However, it was still positively higher than Industry’s average CFO
ratio (nearly 0.3), so that the firm still had a stable financial health
compared to other firms in the industry.
26
2.2 Solvency ratios:
Table 10: Net debt to equity & Debt to equity of PHR 2018-2020
Although the debt to equity ratio is quite high, if assessed carefully, the net debt to
equity is still remained below 20%, which indicates that borrowings and finance
lease liabilities are still kept at a reasonable level and do not put too much pressure
on a company with a quite good financial health as Phuoc Hoa company.
201
8 2019 2020
Times interest 28.7
earned 3 21.05 28.43
Fixed charge Tab
le 11:
coverage 8.82 6.26 10.01
Financial 184.
Leverage 06% 206.92% 209.62%
Times interest earned, Fixed charge coverage, Financial Leverage of PHR 2018-
2020
27
From 2018 to 2020, the times interest earned is higher than benchmark (> 6), means
that the firm has a good ability to pay back interest.
The firm’s fixed charge coverage is a good figure which indicates that the firm
can comfortably cover its fixed costs with its current earnings.
PHR’s financial leverage has increased gradually over the years. In 2018
reached 184.06% and in 2020 reached 209.62%, which indicates that the firm took
debt to explore its performance and took advantage of using financial leverage to
earn 2018 2019 2020
Inventory turnover 4.54 4.05 4
Average number of days inventory
in stock 79.37 88.91 90
profits for the corporation.
Table 12: Inventory turnover & Average number of days inventory in stock of
PHR 2018-2020
6 5.51
5 4.54
times
4.05 4
4 3.41
3 2.56
1.97
2
1
0
TNC PHR HRC DPR
28
PHR’s inventory turnover ratio was below than benchmark (<6) and this ratio is also
not very impressive compared to other competitors in the industry, which indicates
that the firm is selling goods relatively slowly and the demand for its products is not
very high.
29
- The working capital turnover
Chart 11: Net sales & Average working capital of PHR 2018-2020
2018 2019 2020
Working capital turnover ratio 5.42 2 1.08
30
- The asset turnover
2018 2019 2020
Total asset turnover 0.33 0.3 0.26
Fixed asset turnover 1.46 1.24 1.02
Table 16: Total asset turnover & Fixed asset turnover of PHR 2018-2020
The firm’s total asset turnover ratio decreased gradually from year to year and always
kept below 1, indicates that the company is underperforming, as the company is
generating less revenue compared to per unit of total assets spent. However, it is
typical for firms in the rubber sector. Since these companies have large asset bases, it
is expected that they would slowly turn over their assets through sales.
Looking at it objectively, the fixed asset turnover ratio still remained more than 1,
which indicates that the firm still generates more net revenue than net fixed assets
spent.
2.4 Profitability ratios:
Profitability ratios
80.00%
68.95% 68.95%
70.00%
60.00%
50.00%
41.31% 41.31%
38.06%
40.00%
29.75% 29.75%
30.00% 23.82% 25.25%
21.54%
20.00% 17.61% 18.16% 18.45%
13.72%
8.92%
10.00%
0.00%
Net profit margin Gross profit margin ROS ROA ROE
31
Although the firm used a high debt ratio, it knows how to use financial leverage,
there by generating very good profit for the business, especially in 2020 all
profitability ratios reached a new level, indicates that the company has extremely
good profit growth.
PHR's ROA remains higher than the bank loan interest rate and ROE also maintained
higher than bank deposits rate shows that the company creates very good benefits for
existing shareholders and this is very attractive to potential new investors in the
future.
III. Recommendations:
Highlights:
- The main highlight for PHR's position is the advantage of land reserves and
the transformation into industrial zone real estate with the potential to bring
large cash flow in at least the next 3-5 years.
- With a healthy financial position, cash flow from business activities always
remains at a high level, on that basis, PHR always maintains a very high
cash dividend payout ratio (annual dividend payout ratio of 15-35%) and
with the profits from the handover of industrial land in the future, this
figure is expected to be even more attractive.
Investment risk:
- The Covid-19 epidemic caused the price of rubber to fall deeply although
after that the price gradually recovered, however, facing with the current
serious epidemic situation, it is inevitable that the rubber price will continue
to follow the downward trend.
- According to experts, there will be more challenges in 2021 when the
export is limited. Besides, exports to the largest market - China showed
signs of slowing down as China bought strongly in the last quarters of
2020.
32
REFERENCE DOCUMENT
Introduce about the company PHUOC HOA RUBBER JOINT STOCK
COMPANY and Businesses scale:
https://www.phr.vn/gioi-thieu.aspx?pid=1(Retrieved 9 April 2021)
Product structure:
https://www.phr.vn/san-pham.aspx (Retrieved 9 April 2021)
Consumer market:
https://www.phr.vn/gioi-thieu.aspx?pid=3 (Retrieved 10 April 2021)
Analysis SWOT:
http://luanvan.co/luan-van/xay-dung-chien-luoc-san-xuat-va-dieu-hanh-
cong-ty-co-phan-cao-su-phuoc-hoa-57992/ (Retrieved 10 April 2021)
CafeF:
https://cafef.vn/trien-vong-thi-truong-cao-su-the-nao-trong-nam-2021-
20210212233641258.chn
Vietnamfinance:
https://vietnamfinance.vn/nam-2020-cao-su-phuoc-hoa-phr-bao-lai-tang-gap-
doi-nho-tien-boi-thuong-dat-20180504224248241.htm
Vietstock:
https://finance.vietstock.vn/DPR-ctcp-cao-su-dong-phu.htm?tab=BCTQ
Vietstock:
https://finance.vietstock.vn/PHR/tai-tai-lieu.htm
Vietstock:
https://finance.vietstock.vn/TRC-ctcp-cao-su-tay-ninh.htm
Tăng trưởng chỉ số nhóm ngành:
https://www.cophieu68.vn/category_finance.php
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