Q3 earnings of Vietnam’s listed firms up 21.6%: FiinGroup

Net profits of listed companies in Vietnam increased 21.6% year-on-year in the third quarter of this year, maintaining a stable growth rate since the start of this year, according to local financial data provider FiinGroup.

The data had been collected as of November 1 from 1,060 stock exchange-listed companies, representing 98.5% of the market value of listed ones in Vietnam, Fiingroup said in a recent report, without giving absolute values.

The earnings growth was driven mainly by non-financials (up 29% year-on-year). In comparison, earnings by financials expanded 15.7%, due to a 9.7% contraction in earnings of securities companies (down 9.7%) and insurers (down 32.5%).

In terms of market cap, the VN30 Index constituents (comprising the 30 largest blue chips on the Ho Chi Minh Stock Exchange) were the earnings leaders, posting a 22% increase in Q3. Earnings by mid-caps and small-caps grew 14.6% and 21%, respectively.

By sector, consumer goods (retail, food, livestock), export (seafood, garment), raw materials (rubber, fertilizer), power, and industrial park companies posted strong earnings growth.

Meanwhile, earnings contractions were observed at insurance, securities, dairy, personal goods, oil & gas, chemicals, pharmaceuticals, and telecommunications companies. Slower expansion was seen at banks, steelmakers, and information technology firms.

Finland-based PYN Elite portfolio manager Petri Deryng said last week that the Q3/2024 earnings growth of Vietnam’s listed companies will likely settle around 20-30%.

Banks’ earnings outlook for the next 12 months is also relatively positive. “We expect strong results from several of our banks, above the stock market's average earnings growth,” he added.