Mr. Nguyen Duc Thuy: 'I hope to pay annual dividends as high as possible'

Sharing with shareholders, Mr. Nguyen Duc Thuy, Chairman of the Board of Directors of Loc Phat Vietnam Bank (LPBank), affirmed that the Board of Directors always wants to pay annual dividends as high as possible.

A notable highlight at the 2025 General Meeting of Shareholders (AGM) of Loc Phat Vietnam Joint Stock Commercial Bank ( LPBank ) is that the Board of Directors presented a plan to pay cash dividends at a rate of up to 25%.

This cash dividend rate is the highest among banks today. With shareholders approving the proposal, this year, LPBank will spend nearly VND 7,500 billion on dividends for 2024.

Mr. Nguyen Duc Thuy, Chairman of LPBank's Board of Directors, said that the bank ensures maximum benefits for shareholders, so it hopes that in the following years it can pay dividends at a minimum rate of 20% in cash and 5-7% in shares.

LPBank Chairman of the Board of Directors Nguyen Duc Thuy. Photo: LPB.

However, dividend payments also depend on business results and economic forecasts. Factors such as domestic and foreign market fluctuations or new US tariff policies can also affect the bank's business plan.

“Every board of directors wants to pay the highest dividend to shareholders. At last year’s AGM, we committed to a dividend rate of around 18%, but in fact this year we presented a plan of 25%.

In 2025 and the following years, the Board of Directors will strive to pay dividends at the highest possible level," Mr. Thuy emphasized.

According to Standing Vice Chairman of the Board of Directors Ho Nam Tien, the bank's current CAR ratio is 13.81%, higher than the 8% level prescribed by the State Bank. After paying dividends, LPBank still ensures a CAR ratio higher than the prescribed level, while bringing benefits to shareholders.

LPBank shareholders also approved the Board of Directors' proposal to establish the Debt Management and Asset Exploitation Company Limited (LPBank AMC). This company has a charter capital of VND200 billion, 100% of which is held by LPBank.

Mr. Bui Thai Ha, Vice Chairman of LPBank's Board of Directors, said that recently, there have been too many fluctuations that could cause overdue debt such as: the Covid-19 pandemic, natural disasters, geopolitical conflicts in the world, the new US tariff policy,...

“The establishment of AMC will help LPBank focus on core business activities,” said Mr. Bui Thai Ha.

In response to shareholders' concerns about the new US tariff policy that could affect customers and cause bad debt for the bank, Mr. Bui Thai Ha said that LPBank has made assessments and proposed many solutions to cope with the new tariff policy.

“Only 0.3% of LPBank’s total outstanding credit is being provided to businesses affected by the US tariff policy, so it does not affect the bank’s credit quality. Moreover, the signals from the tariff negotiations between Vietnam and the US make us believe that there will be a good result for Vietnam,” Mr. Ha informed.

Regarding the 2025 business plan, the General Meeting of Shareholders approved the pre-tax profit plan for 2025 to reach VND 14,868 billion, an increase of 22.2% over last year.

Source: https://vietnamnet.vn/ong-nguyen-duc-thuy-mong-chia-co-tuc-hang-nam-cang-cao-cang-tot-2395683.html