On July 22, DNSE Securities (HOSE: DSE) held a livestream to announce its business results for the first half of 2024. During this event, DNSE leaders reviewed key milestones, along with detailed analytical data on the first half's results and expectations for the upcoming second half, while also addressing investor questions.

Strong Growth in Business Results for the First Half of 2024

In the first half of 2024, DNSE Securities achieved total revenue of 386 billion VND, an increase of 15%, and pre-tax profit reached 130 billion VND, up 16% compared to the same period last year, capturing nearly 30% of the market share for new account openings.

In the first half of the year, DNSE focused on leveraging its pioneering technology product ecosystem and initiated several activities to boost revenue in both the core and derivative segments.

Notably, DNSE launched a highly diverse range of margin loan packages, with some of the lowest interest rates in the market, starting from just 5.99%. Additionally, there are interest-free margin packages with flexible policies, allowing investors to propose their own loan packages. Thanks to various promotional margin lending programs, DNSE's margin loan balance grew by 40%, generating an 11.5% increase in margin lending revenue in the first half of 2024 compared to the same period last year.

In the derivatives segment, with an attractive deposit rate of only 18.48% and fast trading speeds, DNSE's derivatives platform has seen rapid user growth, thanks to features that enhance sensitivity and discipline in derivatives trading, such as real-time profit and loss alerts and automated profit-taking and stop-loss settings that help manage risks amid sudden market fluctuations. This key business area has shown exceptional growth for DNSE just over a year after its launch.

Additionally, DNSE's open platform partners with other providers like Zalopay, FiinTrade, and Sacombank, continuing to be an effective channel for maintaining a steady growth rate in new customers.

Ms. Pham Thanh Hoa - CEO of DNSE

Ms. Pham Thanh Hoa, CEO of DNSE, shared that in the first half of the year, DNSE completed the financial infrastructure to prepare for growth in the second half. The company focused on building and stabilizing its derivatives system, ready to implement trading systems according to the KRX model and launch products to increase margin loan balances.

In Q3, DNSE will continuously launch new products and strategic sales channels. In August, the company will introduce a separate margin lending program for customers on ZaloPay, expecting to see growth in transaction value and margin balances for DNSE.

The company will also roll out a group of fixed-income investment products, which will provide investors with more options.

Additionally, DNSE is set to launch products connecting to AmiBroker and integrating TradingView order placements, with hopes of generating revenue and positively contributing to transaction values and market share in the second half of the year.

Establishing a Foundation for Growth Plans in the Second Half of the Year

Regarding questions about capital increase plans, Ms. Hoa mentioned that after the IPO raised 900 billion VND, the loan balance increased from 2,500 to 3,600 billion VND. Currently, the company is working with 27 major banks and financial institutions, providing solid capital capacity for lending, and the upcoming product will be prefunding for foreign investors.

In terms of capital increase plans, in the next three years, the company will base its capital increase plan on the demand for capital to present at the shareholders' meeting, having carefully considered whether to increase capital or utilize leverage to optimize ROE for investors.

100% Focus on Launching Products; Stock Prices Will Reflect Company Value

In response to questions about the liquidity of DSE shares in the weeks following the listing (starting July 1, 2024) not meeting expectations, Mr. Nguyen Hoang Viet, Deputy CEO of DNSE, suggested several reasons. Firstly, since early July, the market has corrected after a rise from late 2023, and net foreign selling has affected investor sentiment.

Secondly, since DSE shares are newly traded, the shares of major shareholders cannot be transferred. Additionally, major shareholders, being long-term investors, have limited trading activity, which affects liquidity.

According to regulations, newly listed shares cannot be traded on margin, impacting the sentiment of individual investors, which has made DSE less attractive at this time.

Mr. Nguyen Hoang Viet - Deputy CEO of DNSE

Mr. Viet hopes that with positive macroeconomic signals by the end of the year, the stock market will recover, and the liquidity of DSE and other market stocks will improve.

Regarding stock price trends, Mr. Viet noted that due to macroeconomic impacts and the stock market, not only DSE but many other stocks have also declined in price.

Stock prices reflect the value of the company; currently, major shareholders are confident and optimistic about the company's future value. Therefore, the company's current action is to focus 100% on launching products that will yield profits in line with business plans. Thus, stock prices will reflect the company's value.

Moreover, the company is also determined to allocate profits to pay cash dividends to shareholders. After the recent IPO, the company paid a dividend of 5%. In 2024, the planned cash dividend rate is 5-10%. Based on market realities and business results, the company will finalize the list of shareholders and distribute dividends as soon as possible.

Source: Vietstocks