Hoa Binh Securities reports 19.49% profit decline in H1 2025, addresses illicit funds

Hoa Binh Securities Joint Stock Company reported an after-tax profit of VND 5,737,076,022 for the first half of 2025, a decrease of 19.49% compared to the VND 7,125,821,805 recorded in the first half of 2024. This reduction is primarily due to a decrease in profit from financial assets recognized through profit/loss (FVTPL).

The company's board of management also addressed several issues from January 2021 to December 2024, including unrecorded bank transactions totaling inflows of VND 7,934,211,509,199 and outflows of VND 8,254,770,118,388 across 11 bank accounts. These transactions led to the use of charter capital deposits and profit-sharing income to fund a 20% cash dividend payment to shareholders in 2024, totaling VND 63,974,825,814.

In response, the board requires the executive board to clarify funding sources for 2023 dividend payments and aims to approve a 6% cash dividend distribution for 2025. Additionally, the company is to recover 5,800,000 HBS shares, valued at VND 35,000,000,000, acquired using illicit funds, and freeze 10,941,539 shares across 519 securities codes, valued at VND 86,667,592,642, until legal conclusions are reached.