OCB announces audited financial report for 2024

Orient Commercial Joint Stock Bank (HOSE: OCB) has just announced its audited consolidated financial statements for 2024, with pre-tax profit remaining unchanged at VND 4,006 billion.

Orient Commercial Bank (HOSE:OCB ) has just announced its audited consolidated financial report for 2024. Pre-tax profit remained unchanged at VND 4,006 billion, maintaining strong growth in its core business and laying a solid foundation for achieving its 2025 targets.

Maintain strong growth in core business operations.

According to the consolidated audited financial report for 2024, OCB's total assets reached VND 280,712 billion, an increase of 16.9% compared to 2023. With a strong structural shift towards customer groups with good growth potential, alongside implementing a new development strategy, focusing on digital transformation of financial products and services to enhance convenience and shorten transaction times for corporate customers, and offering preferential loan interest rates... OCB maintained a market credit growth rate of nearly 20%, higher than the industry average (15.08%). The bank's outstanding loans continued to focus on two strategic customer groups: individuals and small and medium-sized enterprises (SMEs), with increases of 11.4% and 51.7% respectively compared to the same period last year. In addition, as of December 31, 2024, green credit at OCB was also boosted, increasing by 30% compared to 2023.

Market mobilization reached VND 192,413 billion, an increase of 14.5% compared to 2023. In 2024, despite signs of rising interest rates in the market, OCB continued to maintain low deposit interest rates to support lending. As a result, lending interest rates were also significantly reduced (an average of over 2%), contributing to the sustainable growth of credit products in line with the Government 's direction.

OCB's total net revenue reached VND 10,069 billion, a 12.7% increase year-on-year, thanks to strong growth in its core business, particularly net interest income of VND 8,607 billion, a 27.2% increase compared to 2023. This growth was driven by nearly 20% in credit growth and an improved Net Interest Margin (NIM) of 3.5% by the end of 2024. The significant improvement in OCB's NIM is a positive sign, especially considering this remains a challenge for banks today. This demonstrates the effectiveness of its strategy to accelerate digital transformation, enhance governance capabilities, and increase the CASA ratio. Specifically, the percentage of transactions conducted through digital channels at OCB reached 96.2%, highlighted by its Open Banking platform, the OCB OMNI application, and its digital bank for young people – Liobank.

Conversely, total non-interest income decreased compared to the same period last year, reaching VND 1,462 billion, mainly due to foreign exchange and securities trading activities, specifically the government bond market, as a result of the overall market impact that most banks in the system had to face in 2024.

Pre-tax profit reached VND 4,006 billion, a decrease of 3.2% compared to 2023. It is known that although OCB's business results in 2024 did not meet expectations, with flexible management, restructuring of the business portfolio towards diversifying revenue sources, improving asset quality, and enhancing the efficiency of debt management, recovery, and debt resolution... in the fourth quarter of 2024, the bank's business situation showed positive changes, with pre-tax profit increasing by 230% compared to the previous quarter. Overall, with a clear direction and the foundation from the results in the latter part of the year, OCB is predicted to quickly return to the growth race in 2025.

Digital transformation - the core element that makes a difference.

In 2025, OCB continues to prioritize digitalization as a strategy to differentiate itself from other banks worldwide. Alongside expanding and optimizing its customer portfolio and providing comprehensive financial solutions for businesses, the bank will focus on applying advanced technologies such as AI, Machine Learning, and Big Data. This will enable it to proactively conduct in-depth analysis of customer behavior, preferences, and needs, aiming for personalized product offerings. OCB also anticipates that Open Banking will be its biggest differentiating factor.

In terms of business strategy, OCB targets key growth drivers of the economy with high growth rates and expansion potential, such as energy, FMCG, logistics, and residential real estate for young families. In addition, it continuously expands its FDI customer base to anticipate the trend of capital flows from countries around the world. This is considered an advantage for OCB to accelerate its growth in 2025 because the bank currently has a strong corporate customer base, a diverse customer ecosystem, and is one of the few banks that has been very successful in the Japanese and Korean business segments. With a strategic relationship with its Japanese partner – Azora Bank (AOZ), and providing comprehensive financial solutions for customers such as account management, cash flow, liquidity, trade finance, and foreign exchange trading, OCB creates a solid foundation and opportunities for its partner businesses to expand cooperation with many foreign partners and investors.

Simultaneously, OCB continues to promote and focus on financing loans for green, energy-efficient, and environmentally friendly sectors, alongside lending to SMEs and businesses managed by women. This is considered a general policy of the Government as well as a common trend in the banking industry globally.

“2025 is a very important year for OCB because it is the final year to complete the 2021-2025 strategy and also the transition period for the new 2026-2030 strategy. We are determined to implement the key actions we have set out to achieve the goal of boosting the bank's business operations towards stable, transparent, and sustainable growth, thereby implementing the 5-year strategy 2026-2030 to be among the Top 5 private banks in terms of ROE and ESG.” Mr. Pham Hong Hai – General Director of OCB shared.

Source: https://nhandan.vn/ocb-cong-bo-bao-cao-tai-chinh-2024-sau-kiem-toan-post866367.html