Kafi Securities (KAF) Elects New Chairman, Targets 129% Profit Growth for 2026

Overview

Kafi Securities (KAF) has elected Mr. Nguyen Viet Cuong as its new Chairman of the Board of Directors, replacing Mr. Le Quang Trung, following its Annual General Meeting of Shareholders held on April 8. The company simultaneously approved an ambitious 2026 business plan targeting 129% pre-tax profit growth and outlined capital increase plans, signaling a strategic shift under new leadership.

Key Facts

• Mr. Nguyen Viet Cuong, with over 25 years of experience in finance, auditing, and investment, was elected Chairman on April 10, replacing Mr. Le Quang Trung.
• The Board of Directors was reduced from 6 to 5 members for the 2023-2027 term.
• 2026 business plan targets total assets of VND 35,000B and pre-tax profit of VND 1,050B, a 129% increase from 2025 results.
• Company will retain all 2025 profit, with a maximum 12% dividend planned for 2026 in cash or shares.
• Plans to raise capital via a public offering of 125M shares (16.67% of outstanding shares) and an ESOP issuance of 3.75M shares at VND 10,000/share.
• If both offerings are completed, charter capital would increase from VND 7,500B to VND 8,787B.
• Shares from the offerings are intended for listing on the Ho Chi Minh City Stock Exchange (HoSE).

What Happened

According to resolutions from Kafi Securities’ Annual General Meeting of Shareholders on April 8, shareholders approved the dismissal of Mr. Le Quang Trung as Chairman based on his prior resignation request. The board subsequently met on April 10 and elected Mr. Nguyen Viet Cuong as the new Chairman. The company’s filing highlights Mr. Cuong’s extensive background, including senior management roles at international firms like KPMG and Unilever, local investment group VinaCapital, and listed companies, as well as previous service as an independent board member at Vietnam International Commercial Joint Stock Bank (VIB) from 2019 to 2022.

The meeting also approved the 2026 business plan, which aims for record pre-tax profit of VND 1,050B, a 129% jump from 2025. To support this growth, Kafi will retain all 2025 earnings and pursue capital increases through a public offering of 125M shares and an ESOP issuance of 3.75M shares. The public offering, subject to State Securities Commission approval, is slated for 2026, with 70% of proceeds earmarked for margin lending and 30% for proprietary trading.

Market Context

Kafi Securities (KAF) is listed on the Ho Chi Minh City Stock Exchange (HoSE) in the securities sector, which has seen volatility amid fluctuating market liquidity and regulatory changes. The leadership change and aggressive profit target come as the firm seeks to strengthen its competitive position in a crowded brokerage landscape. The capital increase plans, if executed, could dilute existing shareholders but provide funds for expansion in margin lending, a key revenue driver for securities firms.

Strategic Significance

The appointment of Mr. Cuong, with his deep cross-sector experience, suggests a focus on enhanced corporate governance and potential diversification beyond core brokerage services. The 129% profit growth target for 2026, coupled with capital-raising initiatives, indicates a deliberate push to scale operations, particularly in margin lending. Retaining 2025 earnings underscores a conservative approach to bolstering financial capacity ahead of this expansion.

What to Watch

• State Securities Commission approval for the public offering of 125M shares.
• Execution of the 2026 business plan, with quarterly earnings reports to track progress toward the VND 1,050B pre-tax profit target.
• Details on the 2026 dividend payout (cash or shares, up to 12%).
• Listing status of newly issued shares on HoSE post-offering.
• Market share and margin lending growth metrics in upcoming financial disclosures.