Securities firms set mixed earnings targets this year

VIETNAM, April 15 –

Investors watch stock indices. Securities companies expect the stock market is still a channel to attract investors, but organizations and individuals need to focus more on post-pandemic recovery and production promotion. Photo

HÀ NỘI — After strong growth in 2021, securities firms have set mixed revenue targets this year.

Making a pre-tax profit of VNĐ534 billion ($23.3 million) last year, Việt Dragon Securities Co (VDS) sets a pre-tax profit target of VNĐ504 billion this year, down 5, 5%. This plan is based on the forecast that the VN index fluctuates this year around 1,340 to 1,750 points and that the average liquidity is 25 trillion VNĐ to 30 trillion VNĐ per session.

FPT Securities Joint Stock Company (FTS) sets revenue target of VN1.09 trillion this year, down 3.7% year-on-year and pre-tax profit down 6.3%, to VN680 billion NV. Việt Capital Securities (VCI) approved the plan with revenue of VNĐ 3.24 trillion, down 13% and pre-tax profit of VNĐ 1.9 trillion, a slight increase of 2.7% from to 2021.

Some other securities companies have set more optimistic targets.

Thành Công Securities Joint Stock Company (TCI) has set a profit target of VNĐ222 billion, up 2.3%.

Smart Invest Securities (AAS) expects revenue to reach VNĐ1.2 trillion, up 25%, after-tax profit is estimated at VNĐ480 billion, up 27%. Phú Hưng Securities (PHS) expects to achieve revenue of VNĐ604 billion and profit after tax of VNĐ160.5 billion, up 19% and 14% respectively from the previous year’s results .

After restructuring and strong growth, Tiên Phong Securities (TPS) sets a revenue target of 1,980 billion VN, representing a pre-tax profit of 500 billion VN, up 46% and 85%, respectively, compared to 2021.

Securities companies expect the stock market to still be an investment channel to attract investors, but organizations and individuals need to focus more on post-pandemic recovery and production promotion.

According to Việt Capital Securities (VCI), the VN-Index will reach 1,550 points by the end of 2022.

Nguyễn Miên Tuấn, chairman of the board of directors of Việt Dragon Securities (VDS), said that inflation has exploded around the world and spread to Việt Nam, thus affecting the stock market. Not to mention that the level of stock prices is at a high level, which is not favorable for proprietary trading of securities companies.

According to Tuấn, under current conditions, the proposed plan is positive. “We will do our best to carry out the plan,” Tuấn said.

Trần Sơn Hải, managing director of Tiên Phong Securities Co., the annual profit plan looks modest compared to the first quarter results of 300 billion VNĐ.

“After June, when the company finishes raising capital, it can adjust the profit plan accordingly,” Hải said.

“In addition to income from bond issuance advisory services, Tiên Phong Securities will promote segments such as equity brokerage, warrant offering, derivatives trading as well as account trading. clean,” he said.

Many securities companies have plans to raise capital. In previous years, a securities company was unlikely to have a capital of 1 trillion VNĐ, now there are companies with the capital size of a medium-sized bank, such as SSI Securities in 15 trillion VNĐ and VNDirect Securities with 12 trillion VNĐ.

Many smaller securities companies are also considering raising their capital. Smart Invest wants to increase to 5 trillion VNĐ, DNSE Securities to 3 trillion VNĐ and APG Securities to 4 trillion VNĐ.

It is not possible to take the performance results of one year with many favorable conditions to establish a step-by-step plan for the following years.

With respect to AAS, it is expected that 100% of the funds raised will be used for the company’s activities, including investment in market value papers, margin trading and underwriting and issuance activities. securities.

Securities companies are actively adding financial capacity because, in addition to increasing the capacity to provide margin, it also opens up business opportunities in other areas, with many other products. VNS

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