Earnings of securities companies were positive in the first quarter of 2021. (Photo: VNA) BaoViet Securities Company (BVS) said the company earned 212.7 billion VND in thefirst quarter, up 148.5 percent year-on-year.
Thefirm posted a profit after tax of 63.7 billion VND in the same period, while itlost 22.7 billion VND last year.
Thepositive business results were mainly driven by self-trading, Bao Viet stated.Of which, the company posted a profit of 52.36 billion VNDin financial assets at fair value through profit or loss (FVTPL) inthe first quarter, up 3.75 times against the same period last year.
Asof March 31, the value of FVTPL's portfolios was 162.7 billion VND, down 364billion VND compared to the beginning of the year, mostly due to the reductionin bonds.
Profitfrom held to maturity (HTM) short-term investments also increased 34 timescompared to the first quarter of 2021 to 4.9 billion VND.
Thegood results also received support from securities brokerage as revenuefrom such activities was 3.4 times higher than that of last year to hit 85.87billion VND.
In2021, BVS set a target of 661 billion VND in total revenue, with a profit aftertax of 133 billion VND.
Similarly, MiraeAsset (Vietnam) Finance Company saw record results in the first quarter.The company witnessed a record increase of 72 percent year-on-year to 521.76billion VND, leading to a record gain of 90.5 percent in profit to 167.7billion VND.
Lendingactivities and securities brokerage contributed to the gain in itsfinancial results. Of which, profit from lending activities andreceivables increased 41 percent against the same period last year to 267.2billion VND, while the revenue of securities brokerage reached 143.2billion VND, up 250 percent compared to the first quarter of 2020.
Thegood performance was also boosted by a profit of 79.8 billion VND in FVTPL, upnearly 162 percent.
VNDirectSecurities Corporation (VNDIRECT, VND) also recorded higher profit inthe first quarter.
Accordingto its quarterly financial report, VNDIRECT's total revenue climbed 132.7 percentyear-on-year to top 1.06 trillion VND in the first quarter, resulting in anincrease of nearly 725 percent to 482.5 billion VND in profit after tax.
Duringthis period, the securities firm's highest profit was from FVTPL, up 239 percentagainst last year to 423.4 billion VND. This figure was followed by revenueof securities brokerage and profit from lending activities andreceivables, up 236 percent to 268.3 billion VND and 82 percent to 172.8billion VND, respectively.
Revenuesfrom underwriting, stocks issuing agent and securities investmentadvisory activities posted significant growth in the first quarter.
Inthe report, VNDIRECT explained the outstanding growth was thanks to therally in the market benchmark VN-Index that rose more than 63 percent in thefirst quarter to 1,191.44 points. The gain in the index boosted profit inFVTPL and available for sale (ASF) investments, as well as the total tradingvalue of investors which increased more than 80 percent during the period./.
VNA
