Illustrative image

Hoa Phat Group (HPG) of billionaire Tran Dinh Long announced a record second quarter profit: more than 9,700 billion VND. In the first half of 2021, this group’s after-tax profit reached nearly 16.8 trillion VND, higher than its profit in 2020. This is the highest profit among listed companies.

Vinhomes - Vingroup's real estate business of billionaire Pham Nhat Vuong - was the profit champion in the second quarter with after-tax profit of VND 10.3 trillion, three times up year on year. In H1, Vinhomes earned nearly 15.8 trillion VND in profit, up 52%. Its revenue was more than 41.7 trillion VND, up 82%.

The Bank for Foreign Trade of Vietnam, Vietcombank, reported a 14% drop in profit in the second quarter. However, the bank’s profit was still very high, with a consolidated pre-tax profit of more than 4.9 trillion VND. In H1, Vietcombank still obtained more than 13.5 trillion VND in pre-tax profit, up 23.6% over the same period of 2021. The bank’s after-tax profit reached nearly 10.9 trillion VND, ranking third on Vietnam’s stock market.

In the banking industry, 12 banks recorded profit of trillions VND in the first quarter. The number of banks in the trillion-VND club increased by four, with new names SacomBank (STB), LienVietPostBank (LPB), Maritime Bank (MSB), and SeaBank (SSB).

Other corporations earning profits worth trillions VND included familiar names such as PVGas (VND4.4 trillion in H1); Vinamilk VND5.5 trillion; Binh Son Refinery and Petrochemicals VND3.5 trillion; VEAM VND3.1 trillion; and FPT and The Mobile World VND2.55 trillion.

Other businesses that entered the group of corporations with profits of trillions in H1 were Nam Kim Steel (nearly VND1.2 trillion); Dat Xanh 1.2 trillion VND; Novaland over 2 trillion VND; Petrolimex 2.2 trillion VND; POW VND1.5 trillion; TCBS VND1.5 trillion; Sabeco VND2.06 trillion; Masan…

Nguyen Duy Hung, Chairman of SSI Securities Joint Stock Company, said that many large corporations faced difficulties when the epidemic broke out but had opportunities to expand market share.

According to SSI Research, the profit growth of listed companies in the third quarter of 2021 may slow down compared to that in H1, particularly the banking group. However, in the long term, the picture is still bright. The VN-Index is likely to reach the old peak of 1,420 points in August.

From a macro perspective, according to SSI Research, inflation in 2021 is expected to be lower than the Government's target inflation of 4%. Disbursement of public investment in the third quarter will increase by about 25% year on year which will support economic growth. Exports will reach the peak in the second half of 2021, helping to improve Vietnam’s trade balance.

According to SSI, the Covid-19 outbreak is still a huge risk. If the epidemic is not well controlled with appropriate measures, it may affect import and export activities as well as public investment disbursement, which may affect the overall growth target.

M. Ha

Banks increase profits on strong credit growth

A number of banks at the end of July reported significant increases in H1 profits on strong credit growth despite pressures from the coronavirus pandemic.

Seafood companies expect higher revenue on brighter prospects

Large seafood enterprises have set higher revenue and profit targets this year thanks to positive growth prospects of the seafood export market, especially the US and EU.