Bright picture from listed companies

The Q3-2024 financial reporting season has come to an end. Data shows that the overall market growth was mainly contributed by the non-financial group.

Although listed companies have positive business results, VN-Index still cannot confidently surpass the 1,300 point mark. In the photo: transactions at a securities company - Photo: Q. DINH

According to WiGroup, as of early November, more than 1,000 listed enterprises representing nearly 98% of the total market capitalization had announced their business results for the third quarter of 2024 with growth of more than 13% over the same period last year.

In the first 9 months of this year, the total market profit growth was only about 10%.

Agriculture and textiles are bright spots

Speaking to Tuoi Tre, Mr. Truong Dac Nguyen - Head of Analysis at WiGroup Data Solutions Company - said that the growth figures in the third quarter of this year continue to show the recovery of listed enterprises.

Notably, according to Mr. Nguyen, the growth in the third quarter of 2024 was mainly contributed by the non-financial group, while the financial group was "weaker" due to poor results when the securities industry decreased by 11% and non-life insurance decreased by more than 60%.

The data also showed that the banking group contributed half of the total market profit, but this third quarter also saw slower growth.

Accordingly, some banks reported large losses or significant declines in profits due to increased provisions and high bad debt.

On the contrary, data from the third quarter financial report this year shows high profit growth coming from consumer goods groups such as retail, apparel or related to agriculture such as food, livestock, seafood, rubber, fertilizer...

Mr. Tran Truong Manh Hieu - Head of Strategy Analysis Department of KIS Vietnam Securities - said that many industries have recovered well, such as pangasius export or Vietnam's key agricultural products such as coffee, rice, pepper... in the context of significant recovery in international market demand.

Newly released figures show that in the first 10 months of the year, export turnover of vegetables, coffee, and rice set a record as prices of these products skyrocketed last year.

In addition, food groups such as livestock and meat processing also saw significant increases in profits thanks to the sharp increase in pork prices.

However, Mr. Hieu said that because the proportion of agricultural enterprises listed on the stock exchange is still low, it has not reflected and contributed much to the overall profit picture of the listed sector.

In addition, according to Mr. Hieu, the textile and garment industry is also recovering well in this third quarter. A series of enterprises such as Vinatex, Song Hong Garment, Viet Tien, TNG... all reported profits increasing by several times in the last quarter of this year.

Ms. Tran Thi Khanh Hien - Director of Analysis at MB Securities (MBS) - pointed out that the overall market profit in the third quarter maintained its growth momentum thanks to support from a number of factors such as a low interest rate environment, a sharp decrease in exchange rates, and production and consumption on the path to recovery.

Q4 still has recovery momentum?

According to Mr. Truong Dac Nguyen, the overall market profit in the fourth quarter will continue to recover. Citing PMI data from S&P Global, Mr. Nguyen said that Vietnam's manufacturing industry in October began to recover after the impact of Typhoon Yagi in September. Accordingly, both output and new orders recorded an increase again.

Regarding exports, the agricultural, aquatic, retail, textile and garment groups... will have better recovery momentum in the context of better international demand growth.

BSC Securities analysis team also believes that for the textile and garment export group in the fourth quarter and the whole year of 2025, the order situation will be guaranteed thanks to the recovery of demand in the US market.

"The fact that the FED has started lowering interest rates since September 2024 is expected to be a factor supporting improved demand in the US," according to BSC experts.

Not to mention, US clothing inventories continue to be low compared to the previous cycle (2021 - 2022). Through discussions with garment exporting enterprises, the current basic order volume has been filled until the end of 2024, some enterprises have started negotiating to receive orders for the first half of 2025" - BSC experts said.

Exporting agricultural products by train from Song Than station (Binh Duong) to China helps reduce costs - Photo: DUC PHU

Must diversify the market

Mr. Dinh Quang Hinh - Head of Macro and Market Strategy Department of VNDIRECT Securities - expressed concern about some challenges for Vietnam's exports in the last months of the year.

The first is the impact of the strike at the ports of the eastern United States. If this issue is not resolved soon, it will have a certain impact on Vietnam's exports to the US - Vietnam's largest export market.

According to Mr. Hinh, to ensure exports, Vietnamese enterprises need to proactively expand markets and diversify supply chains to minimize risks and impacts from being too focused on a certain market or supplier.

The State Bank should also operate a stable and predictable exchange rate to support the operations of import-export businesses.

Source: https://tuoitre.vn/buc-tranh-sang-nhin-tu-cong-ty-niem-yet-20241103084738222.htm