ACB Securities (ACBS) is about to increase its capital to VND 10,000 billion.

ACBS's charter capital will be increased by 3,000 billion VND. This marks the third capital increase for this securities company in the past year.

ACB Securities Company Limited (ACBS) is about to have another capital increase. Accordingly, Asia Commercial Bank (ACB, listed on HoSE) - the parent company of ACBS - has finalized the increase of ACBS's capital by 3,000 billion VND, bringing it to 10,000 billion VND.

Following the recent wave of capital increases by securities companies, ACBS is one of the securities companies actively increasing its financial capacity. Previously, this securities company increased its capital from VND 3,000 billion to VND 4,000 billion in Q4/2023; and continued to increase it to VND 7,000 billion in Q1/2024.

Increased equity capital has helped strengthen revenue in recent quarters. According to the Q3/2024 financial report, ACBS achieved VND 661 billion in operating revenue, a 19% increase compared to the same period last year. Brokerage revenue decreased by 21%, but most other business segments recorded growth. Profit from financial assets recognized through profit/loss (FVTPL) accounted for the highest proportion of operating revenue at VND 311 billion, or 4%. Interest from loans and interest from investments held to maturity (HTM) increased by 81% to over VND 183 billion and 67% to over VND 81 billion, respectively.

Meanwhile, operating expenses were VND 346 billion, down 6.7%. Losses on financial assets recorded through profit/loss amounted to VND 142 billion, down 36%, alongside brokerage fees which decreased by 10% to over VND 71 billion. As a result, ACBS's after-tax profit reached nearly VND 217 billion, an increase of 81% and the highest quarterly profit in its operating history.

For the first nine months of the year, the company achieved VND 1,888.6 billion in operating revenue, a 60% increase compared to the same period last year. Net profit after tax reached VND 546 billion, a 68% increase.

As of September 30, 2024, ACBS's total assets reached over VND 22,622 billion, a 92% increase compared to the beginning of the year. Outstanding loans reached nearly VND 7,609 billion, a 66% increase compared to the beginning of the year (the previous quarter was VND 7,500 billion). Cash and cash equivalents reached VND 7,002 billion, 14 times higher than at the beginning of the year. Financial assets also increased sharply by 93% to nearly VND 2,547 billion. Investments held to maturity amounted to VND 5,209 billion.

A number of securities companies have increased their capital. Specifically, MB Securities Joint Stock Company (MBS, HNX exchange) completed the offering of over 109 million shares at a price of VND 10,000 per share, raising nearly VND 1,100 billion and increasing its charter capital to nearly VND 5,500 billion. SSI Securities Joint Stock Company (SSI, HoSE exchange) also issued over 453 million bonus shares and offered them to existing shareholders. SSI's charter capital will increase from VND 15,111 billion to nearly VND 19,645 billion. VNDirect Securities Joint Stock Company (VND, HoSE exchange) also successfully offered nearly 244 million shares to existing shareholders and distributed stock dividends at a rate of 5%, increasing its charter capital from VND 12,178 billion to VND 15,223 billion...

One of the main reasons driving the race to raise capital, according to many experts, is to prepare for the upgrade of the Vietnamese stock market.

Recently, the decision to allow foreign institutional investors to place orders without sufficient funds before November 2, 2024, is expected to increase foreign capital inflows into the market and pave the way for an upgrade of the Vietnamese stock market. This directly benefits securities companies by enabling them to serve foreign institutional investors and increase revenue from brokerage services.

Source: https://baodautu.vn/chung-khoan-acb-acbs-sap-tang-von-len-10000-ty-dong-d228140.html