Viet Dragon Securities swings to loss in Q1 after two profitable quarters

Viet Dragon Securities swings to loss in Q1 after two profitable quarters

The company attributed the weaker performance to unfavourable market conditions during the quarter.

Traders work on a trading floor of Viet Dragon Securities. — Photo nhipcaudautu.vn

Viet Dragon Securities reported a reversal into loss in the first quarter of 2026, ending two consecutive quarters of profitability as market volatility weighed on its investment activities.

According to the company's latest financial statements, Viet Dragon recorded a net loss of approximately VNĐ24 billion (US$911,405) in the first quarter of 2026, compared with a profit of more than VNĐ18 billion in the same period last year.

Its loss before tax reached nearly VNĐ31 billion, marking a sharp decline from a profit before tax of about VNĐ22 billion a year earlier.

The downturn came despite continued growth in core operating income. Total operating revenue rose 19 per cent year on year to around VNĐ202 billion, supported by improvements in brokerage, lending and other service segments.

However, total expenses surged 57 per cent to more than VNĐ232 billion, offsetting revenue gains and pushing the company into loss.

Investment activities were the main drag on performance. Losses from financial assets measured at fair value through profit or loss (FVTPL) reached roughly VNĐ32 billion, compared with a gain of VNĐ28 billion in the same period last year. In addition, revaluation of financial assets recorded a loss of nearly VNĐ72 billion, reversing a gain of about VNĐ7 billion previously.

In its explanation, the company attributed the weaker performance to unfavourable market conditions during the quarter. External factors, including geopolitical tensions in the Middle East and fluctuations in domestic monetary markets, contributed to increased volatility and negatively affected investment portfolios.

By the end of the quarter, the benchmark VN-Index had fallen by about 110 points from the end of 2025, closing at just over 1,674 points.

Despite the impact on investment activities, several business lines continued to show positive momentum. Brokerage revenue rose 62 per cent year on year to nearly VNĐ55 billion, while custody service income increased 12 per cent to around VNĐ1.9 billion.

Looking ahead, the company has set relatively ambitious targets for 2026. Under a resolution approved at its annual general meeting, Viet Dragon aims to achieve consolidated revenue of more than VNĐ1.3 trillion, up nearly 20 per cent year on year, and net profit of VNĐ408 billion, representing an increase of about 45 per cent compared to the previous year.

On the stock market, the firm's shares of Rong Viet Securities were traded at VNĐ15,000 per share on April 20.

Bizhub