Robust  bottom-line growth. DRC has posted a 1QFY12 revenue of VND698bn (+21.6% y-o-y, +2.2% q-o-q) and net profit of VND57bn (+42% y-o-y, -2.2% q-o-q). The strong 1QFY12 earnings performance was driven by lower cost of goods sold and financial expenses. Raw material costs, as a percentage of net sales, declined 0.6% y-o-y to 84% in 1QFY12. The gross profit margin increased  only marginally from 15.4% in 1QFY11 to 16% in 1QFY12. DRC also incurred  lower financial expenses of VND11bn (-30% y-o-y) in 1QFY12. It reported a 17% increase in its EBIT margin to 10.8%, while staff cost increased  33%  to  VND14bn  and  selling  cost jumped by 17%  to VND50bn. The net profit margin for 1QFY12  stood at 8.3% compared with 7.1% in 1QFY11.