HCM City Securities Corporation (HSC) held the 2019 Annual General Meeting of Shareholders on Tuesday in HCM City. In the next five years, HSC will focus on two key segments of investment banking and asset management for individual clients. — Photo cafef.vn

HÀ NỘI — HCM City Securities Corporation (HSC) wants to increase its revenue and post-tax profit by 3 per cent and 5 per cent this year, reaching nearly VNĐ1.3 trillion (US$56.2 million) and VNĐ453 billion, respectively.

The targets were announced at the company’s 2019 Annual General Meeting of Shareholders held on Tuesday in HCM City.

“In the next five years, HSC will focus on two key segments of investment banking and asset management for individual clients,” said HSC General Director Trịnh Hoài Giang.

Revenue from brokerage and lending segments are still expected to account for the largest proportion in HSC’s revenue structure this year, reaching VNĐ480.6 billion and VNĐ439.3 billion respectively, equivalent to 37 per cent and 34 per cent of total revenue, Giang said.

Revenue from margin lending in 2020 is forecast to fall by 11 per cent compared to 2019 while revenues from proprietary trading and financial consulting are expected to grow by 39 per cent and 24 per cent, respectively.

“These goals clearly show HSC’s efforts in developing towards an investment bank in the future,” Giang said.

HSC will focus on bond investment, especially corporate bonds, which are believed to be less risky than other financial assets, he said.

The company will promote M&A advisory activities due to increasing demand for mergers and acquisitions after the COVID-19 pandemic, he added.

HSC recorded a 26 per cent decrease in revenue last year compared to 2018, reaching VNĐ1.26 trillion, only 76 per cent of the yearly goal. Post-tax profit touched VNĐ432 billion, down 36 per cent compared to 2018 and reaching 64 per cent of the target.

At the meeting, the Board of Directors submitted to shareholders for approval the second dividend payment plan for 2019 with a rate of 7 per cent in cash with the expected payout time July 31 this year.

HSC paid dividends in cash for the first time for 2019 at a rate of 5 per cent in early January. Thus in both tranches, the company pays a dividend at a rate of 12 per cent for the year 2019, down 3 per cent compared to the 15 per cent plan approved by the 2019 General Meeting of Shareholders.

This year, HSC plans to pay a dividend at a rate of 12 per cent in cash.

HSC General Director Trịnh Hoài Giang said this year, HSC would open a customer centre at its headquarters to develop an online account opening model. — VNS