While the stock market has been falling down since the beginning of the year, listed companies are still declaring profit higher than for the same period last year.


Sacombank (STB) announced the profit of VND754bil for the first six months of the year, an increase of 23% over the same period of last year. The bank’s report showed that it has the total assets of VND74,875bil, an increase of 95% over the same period of last year. Its total mobilised capital had reached VND64,230bil by the end of June, while total outstanding loans VND38,330bil.


Hapaco (HAP) has announced the turnover of VND200bil for the first half of the year, equal to 155% of the same period of 2007, and the post tax profit of VND36bil.


Ben Tre Seafood Import-Export Company announced it got VND22.712bil after tax, an increase of 19.18% over the same period of last year, fulfilling 57.35% of its yearly plan.


More financial reports are expected to come out next week.


Financial Analysis Director of Vifinfo Dao Trung Kien said that professional finance investors will put a question mark by the high profit announced by listed companies for the second quarter of the year. The national economy has been facing a lot of difficulties due to the high inflation rate, high input material prices and limited loaning. Therefore, it is really unlikely that listed companies have recorded such tremendous profit.


Kien said that the market has been recovering a little in the last trading sessions because investors have become more confident about the national economy’s recovery, rather than because of the good business results announced by listed companies.


Minh, an investor on SSI trading floor, said that she does not make investment decisions based on finance reports of listed companies. She simply makes decisions after considering supply and demand, and she tends to choose cheap share items to purchase.


Minh said that all listed companies reported profit for the first quarter of the year, but share prices still decreased.


Meanwhile, Duy, an investor on Rong Viet trading floor, thinks that the finance reports, if audited, prove to be believable. He said that investors would choose the share items of profitable companies to purchase.


Ho Cong Huong, General Director of Hoang Gia Securities Company, also said that it would be a good thing if listed companies that announced profit had their finance reports audited. Huong said that the good business results of listed companies have positive impacts on investors’ psychology.