Firms ask for delay financial statements release

 The Ho Chi Minh Stock Exchange (HOSE) has received dozens of documents from listed companies asking to extend the deadline for the disclosure of this year's financial statements.

Firms ask for delay financial statements release

Market regulators must perform effective monitor and sanctions mechanism over listed businesses, violators must be fined or even suspended transactions. — Photo tinnhanhchungkhoan.vn

Refrigeration Electrical Engineering Corporation (REE) recently sent a letter to the HOSE, asking to delay the deadline to announce this year’s financial statements.

REE requested to extend the deadline for the submission of last year’s Q4 financial statement, within 30 days of the end of the quarter (December 31, 2019).

The company also asked to extend the deadline for the submission of the 2020 reviewed semi-annual financial statement, within 60 days from the end of the first half of this year.

REE said it needed more time to prepare the separate financial statements of its subsidiaries and process the consolidated figures.

Phu Nhuan Jewelry Joint Stock Company (PNJ) also requested an extension for last year’s Q4 financial statement and this year’s reviewed semi-annual financial statement.

PNJ said the company would struggle to complete the publication of financial statements on the due date as it had up to 376 stores and branches as well as four subsidiaries across the country. It also said the compilation of documents, reporting and consolidating reports took a long time.

Hoang Anh Gia Lai Joint Stock Company (HAG) faces the same situation. The enterprise attributed the delay to the diversification of business lines and its large number of subsidiaries and affiliates, both locally and in Laos and Cambodia.

It was time-consuming to gather data for the preparation of separate financial statements and consolidated financial statements, HAG said.

Some businesses even asked for the extension at the end of 2019, such as Nam Kim Steel Joint Stock Company (NKG), Apax Holdings Joint Stock Company (IBC), Techno - Agricultural Supplying Joint Stock Company (TSC), Vinalink Logistics JSC (VNL), Truong Thanh Furniture Corporation (TTF) and Ba Ria – Vung Tau House Development JSC (HDC).

 

According to a circular issued by the Ministry of Finance on October 6, 2015, listed organisations and large-scale public companies must publish quarterly financial statements within 20 days, reviewed semi-annual financial statements within 45 days and audited annual financial statements within 90 days after the endorsement of the auditor.

If a company fails to submit the financial reports on the due date, the State Securities Commission (SSC) will consider a time extension, but it shall not exceed 100 days from the end of the fiscal year.

Some experts said the extensions could easily affect information transparency and slow down investors' access to information.

According to the SSC, by the end of January 31 last year, there were 191 enterprises on the three stock exchanges sending extension requests for their 2019 annual financial statements.

Phan Dung Khanh, director of investment consultancy at Maybank Kim Eng Securities, said requests for delays happen every year, even every quarter, which highlights the lack of transparency in the Vietnamese stock market.

In addition to the reasons for the delays listed above, Dung said some businesses had asked for an extension to “distort data”.

Market regulators must effectively monitor and sanction listed businesses that violated regulations, he added. — VNS

Foreign investors remain net sellers on Hanoi Stock Exchange in 2019

Foreign investors remain net sellers on Hanoi Stock Exchange in 2019

In 2019, foreign investors bought in shares worth VND3.7 trillion (US$159.67 million), but offloaded over US$4.4 trillion (US$189.88 million).

When will Vietnam have the Vietnam Stock Exchange?

When will Vietnam have the Vietnam Stock Exchange?

One of the major issues stipulated in the amended Securities Law which takes effect on July 1, 2020 is the establishment of the Vietnam Stock Exchange.

 
 

Other News

.
Australian firm alleged of transfer pricing worth over US$116 million
Australian firm alleged of transfer pricing worth over US$116 million
BUSINESSicon  26/07/2020 

The State Audit Office of Vietnam requested the police to investigate the case.

Vietnam construction industry stays positive during Covid-19
Vietnam construction industry stays positive during Covid-19
BUSINESSicon  26/07/2020 

The construction industry grew 4.5% year-on-year during the first six months of 2020, which was higher than the GDP growth rate of 1.8%.

EC allows Vietnamese exporters to extend deadline of REX applications
EC allows Vietnamese exporters to extend deadline of REX applications
BUSINESSicon  26/07/2020 

The European Commission (EC) has given the green light for Vietnam’s exporters to extend the deadline of applying for the registered exporter system (REX) until late 2020, 

Southern Vietnamese real estate market: emergence of large M&A deals
Southern Vietnamese real estate market: emergence of large M&A deals
BUSINESSicon  26/07/2020 

The southern real estate market has witnessed a series of impressive mergers and acquisitions (M&A) deals. This trend is expected to be more vibrant in the near future. 

E-wallet providers ask to extend deadline of verification
E-wallet providers ask to extend deadline of verification
BUSINESSicon  26/07/2020 

 E-wallet service providers want to extend the deadline for users to complete identity verification.

Ministry launches PayGov to upgrade national public portal
Ministry launches PayGov to upgrade national public portal
BUSINESSicon  26/07/2020 

The Ministry of Information and Communications (MIC) launched a national payment support gateway (PayGov) yesterday in Ha Noi in the latest move to boost e-government in Vietnam.

Pandemic ravages household businesses and MSMEs: survey
Pandemic ravages household businesses and MSMEs: survey
BUSINESSicon  26/07/2020 

The COVID-19 pandemic has substantially reduced revenue for both household businesses (HBs) and micro, small and medium enterprises (MSMEs), 

Japanese firms choose Viet Nam for production expansion
Japanese firms choose Viet Nam for production expansion
BUSINESSicon  26/07/2020 

Fifteen Japanese firms chose Vietnam as the destination for their production expansion within the Japanese government’s programme to support Japanese firms to diversify their value chains in foreign countries, according to JETRO.

Vietnam Banks Association urges MIC to reduce telecommunication charges
Vietnam Banks Association urges MIC to reduce telecommunication charges
BUSINESSicon  26/07/2020 

The Vietnam Banks Association has just sent a dispatch to propose the Ministry of Information and Communications lower charges for banking services via SMS.

R&D spending key to join global supply chain: executives
R&D spending key to join global supply chain: executives
BUSINESSicon  25/07/2020 

Challenges will overwhelm opportunities for Vietnamese part suppliers if they are unable to find ways to upgrade technology and meet international production standards, business executives said on July 24.

Vietnam likely to export 6.7 million tonnes of rice this year
Vietnam likely to export 6.7 million tonnes of rice this year
BUSINESSicon  25/07/2020 

Vietnam is likely to reach its rice export target of 6.7 million tonnes this year thanks to favourable market conditions and high global demand, according to the Ministry of Agriculture and Rural Development.

Korean multinationals suggest solutions to ease difficulties in Covid-19
Korean multinationals suggest solutions to ease difficulties in Covid-19
BUSINESSicon  27/07/2020 

Vietnam Airlines’ airplanes which have been left idle because of Covid-19 could be used to carry cargo, offering benefits to both the air carrier and export companies.

Will technical barriers imposed by the Philippines create difficulties for Vietnam’s rice exports?
Will technical barriers imposed by the Philippines create difficulties for Vietnam’s rice exports?
BUSINESSicon  26/07/2020 

It will be difficult for Vietnamese businesses to keep stable rice exports to the Philippines in large quantities as currently seen, experts said.

VN Government urged to open economy to 17 partners
VN Government urged to open economy to 17 partners
BUSINESSicon  26/07/2020 

The 17 economies determine 90 percent of Vietnam’s foreign investment, 80 percent of international trade and 80 percent of foreign travelers to Vietnam.

VN textile and garment industry warned of big difficulties
VN textile and garment industry warned of big difficulties
BUSINESSicon  26/07/2020 

The Covid-19 epidemic which broke out six months ago has seriously affected textile and garment companies.

Ministries disagree on legalizing condotels as houses
Ministries disagree on legalizing condotels as houses
BUSINESSicon  26/07/2020 

The Ministry of Public Security (MPS) does not want condotels converted into houses and does not want to grant ‘red books’ (land-use right certificates) to all apartments.

Local retailers closing shops because of Covid-19
Local retailers closing shops because of Covid-19
BUSINESSicon  25/07/2020 

Many retailers have had to close shops and give back retail premises to landlords because of poor patronage and a dramatic drop in sales.

Standard Chartered Bank forecasts Vietnam’s 2020 growth at 3 percent
Standard Chartered Bank forecasts Vietnam’s 2020 growth at 3 percent
BUSINESSicon  24/07/2020 

Standard Chartered Bank expects Vietnam’s growth to slow to a multi-year low of 3 percent this year on soft external demand, with external headwinds set to offset domestic outperformance.

HCM City sets growth target of 5 percent for 2020
HCM City sets growth target of 5 percent for 2020
BUSINESSicon  24/07/2020 

The chairman of HCM City People’s Committee has urged agencies to develop solutions to support enterprises and local residents affected by the COVID-19 pandemic as part of its effort to revive business activities

Officials urge hastened issuance of legal documents to implement FTAs
Officials urge hastened issuance of legal documents to implement FTAs
BUSINESSicon  24/07/2020 

Vietnam must hasten the process of issuing legal documents and institutional reform to implement free trade agreements (FTAs) and take advantage of these trade deals to boost exports, officials have said.

 
 
 
Leave your comment on an article

OR QUICK LOGIN