Shares of seafood companies soar
Shares of seafood companies soar
Shares of seafood processors have enjoyed pricey trading as a result of the development of the sector as well as the healthy operations of each of the companies.
Transactions on the shares have so far jumped by 50 per cent overall compared with that of mid-August 2014. The lifting of a ban on the export of pangasius to Russia last January 31 was a vital element in maintaining this rising momentum from earlier this month.
Figures from the customs department showed that Viet Nam's seafood exports to Russia reached US$36.2 million in the first seven months of this year, a 5.4-per cent increase over that of the same period last year. Pangasius accounted for around 40 per cent of total export value.
Last June, the Ministry of Agriculture and Rural Development worked with Russian authorities and helped 30 exporters regain the Russian market.
According to Maybank Kim Eng Securities, this is an auspicious opportunity for Vietnamese exporters because of trade sanctions between Russia on one hand and the United States and European Union on the other.
Listed companies that were granted licenses included Hung Vuong (HVG), An Giang (AGF), Sao Ta (FMC) and Minh Phu (MPC).
Hung Vuong earned the highest share of the Russia export market. It has risen by nearly 35 per cent in the past 20 sessions with an average daily volume of 1.3 million shares.
Vinh Hoan's (VHC) share price has climbed by 72 per cent since June. The company recorded profits from the sale of its two subsidiaries. In addition, it plans to buy food processor Van Duc Tien Giang at VND360 billion ($16.9 million) to increase its supply of raw materials.
Other seafood exporters also reported lucrative operations, such as Seafood Company No. 4 (TS4) and Minh Phu. TS4's net profit in the first half reached VND8.83 billion ($416,500), a 28-per cent increase over that of the same period last year.
Minh Phu's net profit hit VND500 billion ($23.5 million), or 10 times that of the same period last year.
Last July, Minh Phu said it paid dividends for the first six months of this year at 50 per cent, which pushed the stock from below VND40,000 ($1.8) to the current price of nearly VND80,000 ($3.6).
bizhub
