How is ACB doing under Mr. Tran Hung Huy?

(Dan Tri) - Under Mr. Tran Hung Huy, ACB's total assets increased more than 3 times to over VND 777,000 billion. Along with the scale, total bad debt also increased from VND 900 billion in 2012 to over VND 8,200 billion by the end of the third quarter of 2024.

Asia Commercial Joint Stock Bank (ACB, stock code: ACB) has recently been caught up in false rumors on social media. Mr. Tran Hung Huy - Chairman of ACB's Board of Directors - also shared the bank's announcement on his personal page, refuting the false rumors.

Mr. Tran Hung Huy (born in 1978) is the son of businessman Tran Mong Hung - one of the founders. Mr. Tran Mong Hung also held the position of Chairman of the Board of Directors of ACB for a long time.

Mr. Huy joined ACB in 2002 and officially assumed the position of Chairman of the Board of Directors in 2012. He took on the task when the bank was facing many difficulties after the events of Mr. Nguyen Duc Kien (Bau Kien) and a number of former leaders were prosecuted.

ACB Chairman Tran Hung Huy (Photo: ACB).

After the incident with Mr. Kien, at the end of 2012, the bank's profit dropped sharply from nearly 3,208 billion VND the previous year to 784 billion VND. In the period 2012-2014, after-tax profit was below 1,000 billion VND for many consecutive years, down by half compared to previous years. In 2010 and 2011, ACB's profit was always above 2,000 billion VND.

Not only that, in the fourth quarter of 2012, ACB recorded a loss after tax of nearly 159 billion VND, while in the same period it made a profit of 1,349 billion VND.

And since 2017, this bank's business results have really improved when profits exceeded the 2,000 billion VND mark and continuously broke its own profit peak.

In 2023, ACB reported a profit after tax of VND 16,045 billion, 20 times higher than the profit in 2012. In the first 9 months of 2024 alone, ACB recorded a profit after tax of more than VND 12,200 billion.

At the end of 2012, ACB's total assets fell sharply from over VND255,000 billion (as of June 2012) to VND176,308 billion. In the following years, ACB's asset size continued to shrink and did not grow rapidly. By 2015, ACB's total assets had regained the VND200,000 billion mark. As of the third quarter of 2024, total assets reached VND777,392 billion, nearly four times higher than in 2015.

Regarding bad debt balance, at the end of 2012, the total bad debt of this bank had jumped from over 900 billion VND to 2,570 billion VND, the bad debt ratio was recorded at 2.5%. In 2013, this ratio exceeded 3% and only decreased to below 2% until 2015. At the end of 2012, ACB's debt with the possibility of losing capital (group 5 debt) increased from 297 billion VND to over 1,150 billion VND.

As of the end of the third quarter of 2024, the total outstanding customer loans were over VND 547,299 billion, up 13.3% compared to the beginning of the year. Total bad debt as of September 30, 2024 was recorded at over VND 8,274 billion, up 40% compared to the end of 2023. The bad debt ratio increased to 1.5% compared to 1.2% at the beginning of the year.

ACB has recently announced its preliminary business results for 2024. The bank said that credit activities recorded more than VND581,000 billion, an increase of 19.1% compared to the beginning of the year. The credit growth rate of the whole economy as of December 31, 2024 is more than 15%.

ACB said 90% of its loan portfolio belongs to retail customers, with corporate credit alone recording a growth rate of 24%.

Customer deposits reached over VND537 trillion, up 11.3%, while the ratio of non-term deposits (CASA) improved to 23%.

Source: https://dantri.com.vn/kinh-doanh/acb-kinh-doanh-ra-sao-duoi-thoi-ong-tran-hung-huy-20250108160457091.htm