In Q4.2019, HSC’s revenue was VND 408 billion, an increase of 1.6% compared to the same period last year while expenses decreased by 18.2% from VND313 billion to VND256 billion. Profit after tax in Q4.2019 reached VND127 billion, a strong growth of 76.5% compared to Q4.2018.  

About the market, the average daily trading value in Q4.2019 was VND4,837 billion, significantly improved over the previous 3 quarters. For the whole year of 2019, the average liquidity was VND4,650 billion per day, a decrease of 29% compared to FY2018 with VND6,536 billion per day, corresponding to 72% of HSC’s forecast for 2019.

As a result, HSC’s cumulative net revenue in FY2019 was VND1,262 billion, a decrease of 26% y-o-y, achieving 76% target of 2019. HSC’s cumulative profit after tax was VND432 billion, a decrease of 36% y-o-y, completed 64% of FY2019 target as approved at AGM on April 2019. 

The return on average equity (ROAE) was 11.17%. Earnings per share (EPS) in 2019 was VND1,596. End of 2019, HSC’s total asset reached VND7,489 billion and increased 42% in compared with last year as of December 31, 2018. The cost / income ratio in FY2019 was 58% while it was 51% in FY2018.

(*) For the purpose of comparison, revenue and expense in 2019 and 2018 were restated by reducing the losses from proprietary trading activities (code 21 in statement of income) by VND 300 billion and VND 650 billion respectively.

Performances of main business lines: brokerage, margin lending, proprietary trading and corporate financial advisory in FY2019 are as below: 

• Brokerage revenue was VND478 billion, down 37% compared to FY2018 and accounted for 38% of HSC’s total revenue. Brokerage revenue decreased mainly due to the decline of market trading value (29% lower y-o-y). HSC’s private client market share decreased from 9.7% to 8.3% because HSC did not provide margin lending to some stocks that did not meet HSC’s margin criteria. Market share of foreign institutional clients was still well maintained at the leading position with 26% of total foreign transaction in the market. End of FY2019, HSC’s brokerage achieved 10.54% market share, firming its position of the 2^nd largest broker in the market. HSC was honored as “the Best Brokerage House in Vietnam” by the Asset Magazine. 
• Revenue from margin lending was VND496 billion, slightly decreased 5% y-o-y and accounting for 39% of HSC’s total revenue. Since the beginning of 2019, the Board of Management has directed and focused on groups of stocks that qualified the criteria: good financial health, large capitalization, high liquidity and in the HSC’s list. In FY2019, HSC’s market share on these stocks was well-maintained while the risks were well-controlled.
• Revenue from Corporate Advisory reached VND53 billion, a decrease of 55% compared to FY2018. Most of revenue came from bond issuance advisory and a notably successful deal was public tender of GTN share for Vinamilk. 
• Net revenue from Proprietary Trading reached VND222 billion, a decrease of 20% compared to 2018.

About HSC

Established in 2003 and officially listed on Ho Chi Minh City Stock Exchange (HOSE) in 2009, HSC has grown rapidly and become one of the most prestigious partners of individual investors and institutional investors. On June 2019, HSC successfully increased its capital charter to VND 3,058 billion, total assets of VND 7,193 billion and equity of VND 4,218 billion, become one of the largest securities companies in the country in terms of finance and investment capacity.

After 15 years of development, HSC has begun to implement restructuring its operation in business and human resources. The continuous upgrading of technology, new products, the expansion of client pool and the enhancement of corporate governance are the different factors and enhance the competitiveness of HSC in the market. For many years, HSC has always been on the list of “Top 5 Best Corporate Governance Companies- Large-Cap Group ” in the framework of "Vietnam Listed Company Awards, organized by State Securities Commission (SSC), Ho Chi Minh Stock Exchange (HOSE), Hanoi Stock Exchange (HNX) and Vietnam Investment Review (VIR). In addition, HSC's brokerage capacity is also recognized by prestigious international awards such as “Best Brokerage House in Vietnam”, “Best Institutional Broker in Vietnam, awarded by The Asset, Alpha Southeast Asia.

Hochiminh Securities Corporation