Real estate and retail drive Q3 profit surge
Real estate companies have spearheaded third quarter earnings growth while basic resources and retail also delivered strong gains offsetting slower banking growth and declining IT profits
In Q3 2026, corporate earnings across Vietnam saw a significant surge, with 77% of the market's total capitalization benefiting from strong performance. After-tax profit growth rose 35.8% year-on-year, driven primarily by non-financial sectors and real estate, which experienced explosive growth. Vinhomes, a leading real estate company, reported an astounding 419% increase in its Q3 after-tax profit to $920 million, largely due to property handovers and major project completions.
The banking sector, representing 63.7% of the banking market, showed more subdued growth, with 14.1% on-year increase after-tax profit, hindered by credit risk expenses. Despite this, select banks like Vietcombank, although experiencing modest growth, contributed significantly to the overall performance. Retail also outperformed expectations, with a 89.6% increase in after-tax profits, led by MWG, which reported a remarkable 97.4% rise.
However, IT companies lagged behind, with a 6.9% decline. The market's response to these earnings was swift, with capital flowing into sectors showing promising earnings prospects, albeit varying in their degree of market pricing. This shift underscores the importance of robust corporate governance and transparency in sustaining investor confidence following Vietnam's market upgrade.
Written by urgent.news from Vietnam Investment Review's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
