VNDirect expects profits to hit nearly $70 million in first half of 2022

Wednesday, Jun 22, 2022 08:02

VNDirect's office in Hai Chau District, Da Nang City. — Photo

In the first six months of 2022, VNDirect Securities Corporation's (HoSE: VND) profit before tax is estimated to reach about VND1.62 trillion (US$69.7 million), an increase of 43 per cent year-on-year, said Nguyen Vu Long, Acting General Director of VNDirect.

The result is expected to complete approximately 45 per cent of the business plan in 2022 that was approved by the General Meeting of Shareholders.

VNDirect keeps its parent company’s profit plan unchanged despite recent unfavourable conditions on the market.

Accordingly, the General Meeting of Shareholders has approved the parent company’s profit after tax of over VND3.6 trillion, up 32 per cent over last year.

Although the target is quite challenging, the securities firm will strive to achieve it in the second half of 2022.

According to the Acting General Director, the company completed the capital raising in April, increasing equity to over VND14 trillion and is one of the securities companies with the largest capital scale in the market.

It continues to diversify mobilised capital sources by continuing to make more syndicated loans in the foreign market with a value of up to $300 million. The loans are expected to be implemented in the third and fourth quarters of 2022.

The large capital helps VNDirect continue to expand its business capacity for activities in the capital market, such as consulting services and securities underwriting.

The stock market is facing risks due to macro factors caused by geopolitical conflicts, trade war-related conflicts, disruptions of global supply chains and rising inflation in many economies.

However, in the long term, in the general picture of the whole market, Viet Nam is still a bright spot with a stable macro foundation and strong economic growth prospects in the next cycle.

On Tuesday, VND shares rose 0.95 per cent to VND15,900 per share. The gain ended its long losing streak of seven sessions, with four trades hitting floor prices. — VNS

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