AsemconnectVietnam - Tien Phong Securities (TPS) is preparing to increase capital to VND3,000 billion; HSC Securities (HCM) reported a profit of VND842 billion in 2023; SSI estimates pre-tax profit more than VND2,700 billion in 2023; Thanh Cong Securities recorded a total revenue of VND33.96 billion in 2023.

Tien Phong Securities (TPS)
Tien Phong Securities Joint Stock Company - TPS (ORS stock code: HSX) has just announced its financial report for the fourth quarter of 2023 with pre-tax profit reaching nearly VND75 billion compared to a loss of VND31 billion in the same period in 2022. This is also the quarter in which TPS recorded the highest profit in 2023.
Accumulated pre-tax profit for the whole year 2023 will reach more than VND283 billion, a sharp increase of 61% compared to 2022. In 2023, TPS sets a revenue plan of VND2,831 billion and pre-tax profit of VND230 billion. With the results achieved, TPS has completed more than 123% of the yearly profit plan target.
Total operating income and other income reached VND2,913 billion, an increase of 7% compared to 2022. Total operating expenses and interest expenses were recorded at VND2,635 billion, an increase of 3% compared to last year. In which, securities company management costs decrease by 19% compared to 2022. Thus, the positive growth figure of profits in 2023 is based on growth from income sources and cost optimization.
As of December 31, 2023, total assets reached VND6,877 billion, an increase of 4% compared to the beginning of the year. Margin loan balance reached VND1,092 billion, an increase of 10% compared to 2022. The expansion of margin loans is always closely followed by TPS in accordance with market fluctuations and flexible capital sources to meet customers' loan needs with appropriate risk appetite.
Financial assets reached VND2,079 billion, an increase of 16% compared to the beginning of the year with an asset portfolio including stocks, bonds, and certificates of deposit.
Cash holdings of more than VND1,100 billion help TPS ensure liquidity and stable financial health for business activities.
Persistently overcoming the challenges and difficulties of the market in 2022, TPS shares (stock code ORS) have shown impressive price increases in 2023. As of December 29, 2023, ORS stock price increased 98% compared to the beginning of the year, trading at VND17,000/share.
On January 19, 2024, TPS finalized the list of shareholders to allocate stock purchase rights in the offering to existing shareholders to increase charter capital. Specifically, TPS plans to offer 100 million shares, at a ratio of 2:1 to existing shareholders at a price of VND10,000/share. If completed, TPS's charter capital will increase from VND2,000 billion to VND 3,000 billion.
In 2023, TPS announced the results of its Initial Issuer Long-Term Credit Rating by FiinRatings at “BBB-” with a “Stable” credit rating outlook. This credit rating reflects FiinRatings' assessment of TPS's ability to meet loan obligations at a "relatively good" level according to the domestic credit rating scale. As one of the first securities companies to participate in evaluating and announcing credit rating results, TPS shows its efforts to provide transparent information to investors about the Company's operations, while also complying with legal regulations and determination to build professional practices in the capital market in general and the bond market in particular.
Good profit growth in 2023 along with the increase in charter capital will be a solid foundation to help TPS improve operating capacity, expand business market share and improve income sources in 2024.
HSC Securities (HCM)
Ho Chi Minh City Securities Joint Stock Company (HSC, stock code HOSE: HCM) reach VND225 billion pre-tax profit for the fourth quarter of 2023, an increase of 41% over the same period in 2022.
Accordingly, pre-tax profit in the fourth quarter of 2023 reached VND225 billion, an increase of 41% compared to the same period in 2022. Accumulated for the whole year 2023, HSC recorded a pre-tax profit of VND842 billion, completing 93% of the plan.
In the context of market fluctuations, HSC still maintains stable business activities and records positive results. Revenue in the fourth quarter of 2023 reached VND601 billion, an increase of 3% compared to the same period in 2022. Accumulated for the whole year 2023, the Company's revenue reached more than VND2,255 billion, completing 96% of the plan.
Of which, revenue from stock brokerage activities reached VND672 billion, accounting for 30% of HSC's total revenue. In the fourth quarter of 2023, HSC expanded its market share to 5.35% (from 5.06% in the previous quarter), ranking 5th in the group of securities companies with the largest brokerage market share on HOSE.
Revenue from margin lending activities reached VND1,066 billion, equivalent to 47% of HSC's total revenue. In 2023, HSC's margin lending activities will grow steadily and account for the largest proportion in the revenue structure thanks to the flexibility in the margin lending risk management model. As of December 31, 2023, outstanding margin loans reached more than VND12,135 billion, an increase of 64% compared to the beginning of the year.
Revenue from proprietary trading activities reached VND473 billion, contributing 21% to HSC's total revenue. HSC's proprietary trading activities are mostly market creation for ETF products and Covered Warrants.
The corporate financial consulting segment recorded revenue of VND22 billion. Revenue from this activity did not meet expectations because some consulting deals were slower than the initial schedule and will be recorded in business results after completion.
On December 7, 2023, HSC was granted a Certificate of registration for public offering of shares by the State Securities Commission. Accordingly, the Company plans to issue 297 million shares through two options: offering to existing shareholders and issuing shares to pay the second dividend in 2021, thereby increasing charter capital to VND7,552 billion. . The capital obtained from the offering will be used to supplement capital for margin lending and proprietary trading activities, contributing to improving HSC's financial capacity and developing business activities in the coming time.
SSI Securities
According to SSI's 2023 separate financial report, in 2023, the Company's total revenue will reach VND6,984 billion and profit before tax (PBT) reach VND2,705 billion, an increase of 12% and 35% respectively compared to 2022.
Regarding the consolidated results, SSI said, total revenue for the whole year 2023 is estimated to reach VND7,285 billion, an increase of 11.8% compared to 2022, completing 105% of the plan, profit before tax will reach VND2,848 billion, an increase of 35% over the same period. and completed 112% of the plan approved by the General Meeting of Shareholders.
In the fourth quarter of 2024 alone, SSI recorded total revenue and profit before tax reaching VND2,022.6 and VND615.9 billion, up 48% and 151% respectively over the same period.
In the revenue structure, the Securities Services segment (including revenue from brokerage, consulting, custody and margin lending) reached VND826.6 billion, an increase of 22% over the same period. Cumulatively for the whole year 2023, the Securities Services segment recorded VND3,134.8 billion in revenue. Of which, the brokerage, depository, investment consulting and other segments reached VND387 billion (accumulated in 2023 reached VND1,566.3 billion) and the margin lending and advance sales segment reached VND439 billion (accumulated 2023 reaches VND1,568.4 billion).
SSI's margin loan balance reached VND14,672 billion, an increase of 35% compared to the end of 2022. SSI's market share of stock brokerage, fund certificates and guaranteed warrants at the Ho Chi Minh City Stock Exchange. HCM in the fourth quarter continued to remain in the top 2 markets with 9.78%. For the whole year 2023, SSI's market share reaches 10.44%, an increase of 0.6% compared to 2022.
Revenue from Investment activities reached VND1,000 billion, up 97% over the same period and contributing 49% to total operating revenue. Cumulatively in 2023, the Investment segment recorded VND3,128.1 billion in revenue, an increase of 58% compared to 2022. The Investment segment had positive results thanks to the majority contribution from valuable paper investments and portfolios. Bonds invested by SSI ensure timely payment of principal and interest.
Revenue from Capital & Financial Business recorded nearly VND180 billion, up 7% over the same period and accounting for 9% of total revenue. Cumulatively in 2023, this segment will record 669.8 billion in revenue, an increase of 6% compared to 2022. This is a traditional business segment based on the scale of total assets, relationships with financial institutions and the interest rate environment from time to time.
Investment Banking and other services segment, recorded revenue of VND16 billion. Cumulatively in 2023, this segment will record VND52 billion in revenue. SSI has signed issuance consulting contracts for a number of large enterprises. It is expected that investment banking activities will boom in 2024 when the capital mobilization and mergers and acquisitions market becomes vibrant again.
Thanh Cong Securities (TCI)
Thanh Cong Securities Joint Stock Company (TCI – UPCoM) has just announced its separate financial statements for the fourth quarter of 2023 and accumulated for the whole year.
Accordingly, in the fourth quarter of 2023, the Company recorded a total revenue of VND33.96 billion, down 34.6% compared to the same period last year, of which margin lending revenue accounted for the largest proportion of 61% 84%, reaching approximately VND21 billion, an increase of 51.3% over the same period; while brokerage revenue decreased by 13.4%, reaching VND6.23 billion.
However, thanks to a sharp decrease in total costs of 78.4%, from VND114.2 billion in the fourth quarter of 2022 to VND24.61 billion in the fourth quarter of 2024, of which the sharpest decrease is financial costs from level from VND76.79 billion to VND3.55 billion, corresponding to a decrease of 95.4%, because in the fourth quarter of 2022, the Company recorded provision costs for investments in subsidiaries of up to VND76 billion.
As a result, parent company TCI recorded a profit after tax for the period of nearly VND8 billion, while the fourth quarter of 2022 lost more than VND50.3 billion.
Cumulatively for the whole year 2023, TCI's total revenue will reach VND140.52 billion, down 33.79% compared to the previous year; However, thanks to increased financial revenue while expenses decreased sharply, profit after tax reached VND51.54 billion, more than 3 times higher than the previous year.
On January 12, TCI shares had their last trading session on UPCoM after more than 5 years of being listed, closing at VND13,500/share, nearly doubling in about 1 year.
N.Nga
Source: VITIC/Tinnhanhchungkhoan