Two leading Vietnamese brokers report steep profit declines in Q4/2024

Saigon Securities Inc. (HoSE: SSI) and VnDirect Securities (HoSE: VND), the two largest brokerage firms in Vietnam by charter capital, experienced a sharp decline in net profit in the fourth quarter of 2024.

According to SSI’s Q4/2024 earnings report, the company recorded a net profit of VND368 billion ($14.57 million), a 25% year-on-year decline and its lowest in eight quarters.

The company attributed the decline to market transaction volume, which resulted in lower gross profit from fair value through profit or loss (FVTPL) assets and decreased brokerage revenue.

Earnings from brokerage services declined 15% year-on-year to VND320 billion ($12.67 million) in Q4 last year.

Its operating revenue surged 3% year-on-year to VND2.06 trillion ($81.58 million) while operating costs soared by 23.7% to VND1.11 trillion.

In 2024, the firm earned VND8.2 trillion ($324.6 million) in operating revenue and VND2.68 trillion ($106 million) in net profit, up 19% and 23% from 2023, respectively.

As of end-2024, SSI had total assets of nearly VND72.54 trillion ($2.87 billion), up 6% from the beginning of last year, and owners’ equity of VND26 trillion ($1.03 billion). Its charter capital hit nearly VND19.64 trillion ($777 million).

Meanwhile, VnDirect posted a net profit of VND251 billion ($9.94 million) in Q4, down 69.3% year-on-year and the lowest since Q2/2023. Its operating revenue declined by 37% to VND1.21 trillion ($47.98 million).

In 2024, VND earned net profit of VND1.71 trillion ($68 million) and operating revenue of VND5.32 trillion ($210.75 million), down 15% and 19% from 2023, respectively.

As of end-2024, VnDirect’s total assets reached VND4.29 trillion ($1.75 billion), up 6.1% from early 2024. Its charter capital stood at VND12.17 trillion (492.2 million).