88 HoSE-listed firms unavailable for margin lending

Thursday, Sep 10, 2020 07:17

A brewery factory run by the Ha Noi Beer Alcohol and Beverage Joint Stock Corporation (HoSE: BHN). The company's stock is among 88 items that are ineligible for margin lending on the southern bourse. — Photo baodautu.vn

The total number of listed companies whose stocks are ineligible for margin lending on the Ho Chi Minh Stock Exchange (HoSE) has reached 88.

The latest newbie on the list is Vinh Son-Song Hinh Hydropower JSC, whose stock was added to the list early this week as the company recorded a loss of VND3.2 billion (US$137,700) after tax in the first six months of the year.

In addition, the company also reported its short-term liabilities were worth VND690 billion ($29.7 million), exceeding its short-term assets.

According to Vinh Son-Song Hinh Hydropower JSC, the company was hit with a loss in the first half of the year because drought curbed the amount of water for production.

From January to June, the company’s total production fell 36.4 per cent year-on-year and revenue from selling electricity slumped nearly 63 per cent year-on-year.

In January-June, the company recorded a 53 per cent drop in financial income as it had to settle financial duties at Thuong Kon Tum hydropower plant. The project is expected to start operating later this year.

The company's shares (HoSE: VSH) dropped 1.4 per cent to VND17,000 ($0.73) apiece on Wednesday.

The hydropower firm is among 23 listed companies that recorded post-tax losses in the first six-month period. Other companies include realty firm Dat Xanh Group (DXG), textile and garment business Everpia JSC (EVE), national flag carrier Vietnam Airlines (HVN), petrol retailer Petrolimex (PLX) and taxi firm Vietnam Sun Corporation (VNS).

Others such as Song Hong Garment JSC (MSH), brewer Habeco (BHN) and light bulb producer Dien Quang Lamp JSC (DQC) were added to the list as auditors rejected their 2019 financial reports.

Other companies were added into the list of margin-lending ineligibility because their stocks have been listed on the southern bourse for less than six months, or they were penalised for tax evasion, or their stocks are under strict control for causing potential risks to investors. — VNS

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