Evening financial news on 14/6/2023

SSC Chairman: ‘Persevering in restructuring the stock market based on 4 pillars’

Chairman of the State Securities Commission (SSC) Vu Thi Chan Phuong recently attended and spoke at the Asia-Pacific Subcommittee meeting, within the framework of the 48th Annual Meeting of IOSCO – International Organization of Securities Commissions.

At the meeting, communicating with leaders of securities market management agencies in the region, Chairman Vu Thi Chan Phuong said that Vietnam’s stock market has had impressive development over the years, maintaining a stable growth rate. maintaining vibrant movements, good liquidity and increasingly asserting itself as an important medium and long-term capital mobilization channel for the economy and businesses; at the same time is also an attractive investment channel for the investment public, attracting more and more domestic and foreign investors to participate. 

“Not only is it more and more convenient to raise capital through the stock market, but when participating, Vietnamese businesses have made remarkable strides in governance, transparency and sustainable development…” Ms. Vu Thi Chan Phuong emphasized.

According to the leader of the State Securities Commission, in order to continue to support businesses and develop the stock market towards quality and sustainability, Vietnam is actively striving to upgrade the market from marginal to emerging; persistently implement market restructuring based on 4 main pillars: commodity base; market organization; investor base; and securities trading organizations.

VN-Index reversed to decrease, many real estate stocks fell deeply

Session 14/6, VN-Index decreased 5.04 points, or 0.45%, down 1,117.42 points.

Bank stocks diverge. On the bulls side, typically CTG gained 1.41%, VPB gained 1.28%, and SHB gained 2.45%. For the bears, typically STB lost 1.42%, EIB lost 1.86% and MSB lost 1.53%. Most of the remaining stocks fluctuated in a narrow range, below 1%.

The “quad” of securities stocks recorded a relatively gloomy session when SSI, VND, HCM and VCI all fluctuated below 0.3%. However, in general, the whole group of securities tended to be negative when some codes lost value significantly such as VIX down 2.75%, BSI down 1.22%, TVS down 1.25%, CTS down 2, 07%, VDS decreased by 1.22%.

Real estate group is full of red. Many stocks dropped quite deeply such as NVL down 2.56%, DIG down 2.15%, PDR down 4.24%, SJS down 2.96%, CTD down 3.24%, ITA down 2.97%, CII down 2.85%, CRE down 3.85%, LCG down 2.27%, TCD down 3.45%, SZC down 2.2%; QCG, EVG even dropped to the floor.

The production group is in the same situation. VNM down 0.74%, HPG down 1.28%, MSN down 1.02%, GVR down 2.72%, DGC down 1.91%, DHG down 1.43%, BMP down 4.35%, ANV down 2.71%, VHC down 2.1%… The green color glimmered in SAB, SBT, ACG but the increase was very modest.

Retail stocks also “fired” as MWG dropped 2.21%, PNJ lost 0.68% and FRT dropped 0.32%.

Energy and aviation stocks differentiated: GAS gained 0.64%, PLX stood at the reference price while POW and PGV fell 0.72% and 0.2% respectively; VJC increased by 0.62% while HVN decreased by 1.48%.

The whole HoSE had 126 stocks of increasing price, 51 stocks of standing at reference price and 280 stocks of decreasing. Order-matching liquidity was high, reaching VND 15,155 billion.

Bamboo Airways changed hands: Record loss of VND 17,600 billion, negative equity

According to the recently released audited financial report for 2022, Bamboo Airways achieved net revenue of more than 11,732 billion VND, 3.3 times higher than revenue in 2021. However, due to business below cost, this airline still gross loss of 3,209 billion dong. 

Also in the past year, the airline’s administrative expenses increased by 80 times to VND 17,592 billion and financial expenses increased 4.7 times to VND 1,405 billion. Meanwhile, financial revenue dropped sharply. As a result, Bamboo Airways recorded a record after-tax loss of VND 17,619 billion, 7.7 times higher than the loss of 2021.

This loss of Bamboo Airways is higher than that of two other “elders”, Vietnam Airlines and Vietjet, combined by about 2,000 billion. Last year, Vietnam Airlines lost 12,965 billion VND before tax, while Vietjet lost about 2,648 billion VND.

In terms of capital structure, by the end of December last year, Bamboo Airways’ liabilities was about VND 18,800 billion, an increase of more than VND 8,700 billion compared to the beginning of 2022. Most of which is short-term debt with more than VND 17,300 billion. .

On the other hand, by the end of the year, Bamboo Airways’ equity was negative about 835 billion, while at the beginning of the year it was still 16,783 billion dong.

Bamboo Airways’ total assets as of December 31, 2022 stood at VND 18,008 billion, down VND 8,849 billion compared to the beginning of last year. Cash and cash equivalents were just over 85 billion dong, down 92.4%.

Bamboo Airways’ cash flow report also partly shows the difficulty of this airline’s cash flow when its business cash flow was negative at 5,874 billion dong, while at the beginning of the year was just over 621 billion dong.

Recently, Bamboo Airways also appointed Mr. Nguyen Minh Hai as general director since May 24. Mr. Hai was born in 1972, holds a bachelor’s degree in tourism business management from National Economics University. Hai has 25 years of experience in the aviation industry and used to be the Deputy General Director of Vietnam Airlines (from April 2015 to January 2019), General Director of Cambodia Angkor Air.

In addition, two former leaders of Japan Airlines are also expected to join Bamboo Airways. In particular, Mr. Hideki Oshima, former director of international relations and airline alliances of Japan Airlines will join Bamboo Airways’ Board of Directors and the Executive Board. Masaru Onishi, former chairman of Japan Airlines, will hold the role of senior advisor to Bamboo Airways’ Board of Directors.