Who is the king of cash on Vietnam stock market?

The total reserves of the Vietnamese stock market's 10 biggest cash holders exceeded VND265 trillion ($10.8 billion) as of the end of Q3/2023.

Financial reports for Q3 from companies with a market capitalization in the billions of USD on the Vietnamese stock exchange, excluding those directly involved in financial industries such as banks and insurance, showed that the "cash hoards" (cash, cash equivalents, and financial investments with below-1-year terms) of many companies amounted to tens of trillions of VND (VND10 trillion = $408 million).

The interest income from bank deposits significantly contributed to the profits of these companies in the first nine months of the year.

PV Gas, listed on the Ho Chi Minh Stock Exchange (HoSE) as GAS, held the biggest amount of cash and deposits, totaling VND39.76 trillion ($1.62 billion). This amount accounted for 46% of the company's total assets and increased by 16% compared to end-2022. Bank deposits generated more than VND1.57 trillion ($64 million) in interest income for PV Gas over the nine months.

Binh Son Refining and Petrochemical JSC, registered on the unlisted public company market (UPCom) as BSR, came in second with VND36.47 trillion ($1.49 billion), accounting for 41% of its total assets. This represented a 45% increase compared to the beginning of the year and over VND7 trillion ($285 million) quarter-on-quarter.

In third position was Hoa Phat Group under billionaire Tran Dinh Long (HoSE: HPG) with cash and deposits totaling VND29.65 trillion ($1.21 billion). The group reduced its most liquid assets by 14% compared to the beginning of the year.

Among these assets, cash and cash equivalents presented on its balance sheet as of September 30 were VND9.7 trillion ($395 million), a decrease of more than VND1.3 trillion from the beginning of the year. Short-term investments held until maturity date in the form of term deposits reached VND19.96 trillion ($813 million).

FPT Corporation (HoSE: FPT) was another notable name on the list because it accumulated a significant amount of cash, increasing by over VND7 trillion ($285 million) in the nine-month period. This group had VND26.77 trillion ($1.09 billion) in cash and bank deposits, accounting for 43% of its total assets by the end of Q3.

Mobile World Investment Corporation (HoSE: MWG) reported a 54% increase in cash and bank deposits as of September 30, rising from VND15.13 trillion to VND23.25 trillion ($948 million).

Substantial bank deposits generated more than VND1.3 trillion ($52.99 million) in interest income for Mobile World in the first nine months, marking a VND620 billion ($25.27 million) increase compared to the same period last year.

The majority of assets held by Vinamilk (HoSE: VNM) were cash, cash equivalents and term deposits, with a total of VND26.59 trillion ($1.08 billion). Vinamilk earned VND1.15 trillion ($46.75 million) in interest income from bank deposits in the nine-month period.

Many other businesses have "cash hoards" in dozens of trillions of VND (VND10 trillion = $408 million), such as Vingroup JSC (HoSE: VIC), which had VND23.65 trillion ($964 million), and Sabeco (HoSE: SAB), which had VND22.39 trillion ($912.5 million).

After the first three quarters of the year, several other companies have also reported an increase in cash and deposits, including Vietnam Engine and Agricultural Machinery Corporation or VEAM (HoSE" VEA, with VND19.07 trillion, or $777 million), Viettel Global Investment JSC (UPCom: VGI, with VND18.22 trillion), Vietnam Rubber Group (HoSE VGR, with VND16.3 trillion), and Petrolimex (HoSE: PLX, with VND6.76 trillion).

In contrast, Vinhomes JSC (HoSE: VHM) reduced its cash reserves by up to 63%, from VND12.39 trillion to VND4.58 trillion ($186.7 million). Novaland (HoSE: NVL) also saw a decrease of 61%, down to VND3.48 trillion. Hoa Phat Group reduced its cash and deposits by nearly VND5 trillion over nine months.