KienlongBank records impressive results in the first quarter of 2025

Kienlong Commercial Joint Stock Bank (KienlongBank; UpCOM: KLB) has made its mark with outstanding business results in the first quarter of 2025.

In the context of the global and domestic economy continuing to face many challenges, Kienlong Commercial Joint Stock Bank has made its mark with outstanding business results in the first quarter of 2025. According to the Consolidated Financial Statement (BCTC), in the quarter, KienlongBank recorded pre-tax profit of VND 356 billion, completing 26% of the yearly plan.

In the first quarter of 2025, KienlongBank recorded a total pre-tax profit of VND 356 billion, an increase of 66% over the same period in 2024, bringing in VND 285 billion in consolidated after-tax profit. This result not only reflects the effectiveness of its business strategy but also demonstrates the Bank's ability to flexibly adapt to market fluctuations.

The profit growth in the quarter was driven by core factors, most of which came from the core business of credit activities and digital banking services with VND160 billion. In addition, income from foreign exchange trading and other business activities brought in VND21 billion and VND103 billion, respectively.

Sharing about this positive business result, at the Annual General Meeting of Shareholders (AGM) successfully held on April 25, the Acting General Director of KienlongBank said that during the quarter, the bank had reduced input interest rates, leading to a reduction in cost of capital. In terms of revenue, credit activities followed the orientation and had growth, with an increase in service revenue accounting for 18-20% of the profit structure. If the following quarters continue to adhere to this strategy, KienlongBank is confident that it will complete the 2025 profit plan approved by the AGM.

As of March 31, 2025, KienlongBank's total assets reached VND 97,164 billion, an increase of VND 4,988 billion compared to the end of 2024. Customer deposits reached VND 70,989 billion, an increase of VND 7,468 billion. Customer loans reached VND 66,941 billion, an increase of VND 6,490 billion. This increase was supported by the fact that from the beginning of the year, the State Bank of Vietnam (SBV) allocated the entire credit limit to banks, thereby helping KienlongBank's business operations to be more flexible and proactive.

KienlongBank's credit growth reflects the success of its stratification strategy with 03 target customer files including: Customer files in rural areas; Customer files in urban areas and Digital financial customer files to orient products and credit policies suitable to the characteristics of each of these customer files. From that strategy, KienlongBank expects to maintain credit growth momentum and have new features in the customer file in 2025.

Also in the quarter, the Bank continued to promote typical preferential loan packages such as offering up to VND 1,000 billion with a preferential interest rate reduced by 1%/year for business owners, especially owners of products certified by OCOP from 3 stars or higher; launching a specialized financing package of VND 5,000 billion, with a preferential interest rate of only 5.8%/year for OCOP enterprises, helping enterprises access capital to expand production and business, while contributing to preserving and promoting the values ​​of traditional craft villages, promoting rural economic development; implementing preferential combos for SME enterprises...

In addition, KienlongBank has proactively increased its credit risk provision ratio, ensuring its ability to respond to adverse economic scenarios. As of the end of the first quarter of 2025, the bank's bad debt coverage ratio reached 73%, among the highest in the industry. The bad debt ratio is tightly controlled at less than 3%, significantly lower than the industry average, reflecting superior asset quality and a prudent credit strategy, ensuring compliance in operations as required by the State Bank.

In the first quarter of 2025, the bank also recorded a slight increase in operating costs compared to the same period, mainly due to investments in human resources and technology investments by integrating GenAI into products, operations & management with: AI - Virtual Assistant, AI - Operational Execution, AI - Management Coordination... The Kiloba AI model was also launched and became a highlight in this period, contributing to optimizing operational processes, analyzing data and proposing optimal solutions.

To adapt to the rapid shift of technology in the long-term strategy, the Bank has also implemented many training courses to foster skills and raise awareness of staff according to the new 5.0 human resource competency framework. With the goal of automating 80% of key operational processes and optimizing 30% of operational efficiency, human resources and technology have become the main driving force, expected to help KienlongBank make a strong breakthrough, anticipate and meet the increasingly stringent requirements of the digital financial era.

KienlongBank successfully organized the 2025 General Meeting of Shareholders

Recently, KienlongBank also successfully held the 2025 Annual General Meeting of Shareholders. With high consensus, KienlongBank shareholders approved many important strategies of the Bank in the coming time. In particular, not only being determined and steadfast with the 2025 business plan, KienlongBank's Board of Directors also set a goal of listing shares on the stock exchange in the fourth quarter of 2025. This is not only a commitment to improve publicity and transparency in operations but also demonstrates a long-term development strategy, aiming at international standards in corporate governance, internal control and information disclosure.

The year 2025 will mark one of the important milestones in the development journey of KienlongBank. This is both the 30th anniversary of the Bank's establishment (1995 - 2025), and the transition between the transformation phase to digital banking (2021-2025) and towards positioning as an AI bank, mastering advanced technologies (2025-2030). With the right orientation, detailed action plan, and determination of the entire system, KienlongBank will certainly have many changes in reshaping the business network, becoming more familiar, convenient and effective.

PV

Source: https://congthuong.vn/kienlongbank-ghi-nhan-ket-qua-quy-i2025-an-tuong-385416.html