Vietbank's pre-tax profit increased by 96% in the first nine months.

In the first nine months of 2024, Vietbank recorded positive business results with pre-tax profit reaching VND 820.4 billion, an increase of 96% compared to the same period last year and achieving 78% of the annual plan.

Positive business results for the first nine months.

Vietnam Thuong Tin Commercial Joint Stock Bank (Code: VBB) announced its Q3/2024 financial report with net interest income for the first nine months reaching VND 2,113 billion, a 66% increase compared to the same period last year. This is a positive sign in the context of an economy still facing many difficulties.

The bank's service activities also recorded positive results, with net profit from service activities reaching nearly VND 110 billion, an increase of over 41% compared to the same period in 2023.

Thanks to effective digital transformation and cost-cutting efforts in recent times, Vietbank's operating expenses increased only slightly by 6% to VND 1,103 billion.

Provisions for risk amounted to VND 364.5 billion amidst continued difficulties faced by many businesses and individuals in repaying debts on time, especially after Typhoon Yagi . To support customers in overcoming these difficulties, Vietbank has implemented appropriate support solutions and policies. Recently, the bank further reduced loan interest rates by 0.5% to 1.2% per year for customers affected by the storms and floods, helping to alleviate financial burdens and create favorable conditions for businesses and individuals to recover their production and business activities.

With these results, at the end of the first nine months of 2024, Vietbank's pre-tax profit reached VND 820.4 billion, a strong increase of 96% compared to the same period last year and reaching 78% of the annual plan.

As of the end of September, total assets reached VND 151,957 billion, a 10% increase compared to the beginning of the year. Of this, loans to customers amounted to VND 90,811 billion, a 13.6% increase. This growth rate is higher than the average for the banking industry. Deposits from institutional and individual customers increased slightly to VND 91,497 billion.

Representatives from the bank's leadership stated that, in the current challenging macroeconomic environment, Vietbank continues to focus on safe operations, strengthening risk management, complying with regulations, and achieving sustainable development. Simultaneously, the bank is actively implementing measures such as increasing charter capital to enhance financial capacity, improving operational efficiency through improved ROA and ROE ratios, enhancing service quality, and innovating technology and processes to better serve customers.

In 2024, Vietbank aims for a pre-tax profit of VND 1,050 billion, a 29% increase compared to 2023. Total assets are targeted at VND 150,000 billion; deposits at VND 116,000 billion; and total outstanding loans at VND 95,000 billion. The bank aims to expand its market share, increase the scale of total assets both qualitatively and quantitatively, and keep non-performing loans below 3% as stipulated by the State Bank of Vietnam. Vietbank also aims to achieve a target of VND 170,000 billion in total assets, VND 135,000 billion in market 1 deposits, VND 110,000 billion in total outstanding loans, charter capital at VND 10,000 billion, and a pre-tax profit of VND 1,600 billion, with non-performing loans controlled below 3% of total outstanding loans as per regulations by 2025.

Actively expanding the network and supporting small and medium-sized enterprises.

With the goal of expanding its nationwide network to bring products and services closer to customers, Vietbank is actively opening many new transaction offices and branches. On October 28, 2024, the bank held the opening ceremony for its 124th transaction point, Vietbank Chau Doc Transaction Office - An Giang Branch, in Chau Phu A Ward, Chau Doc City, An Giang Province. Currently, Vietbank has 124 transaction points, including 26 branches and 98 transaction offices. By the end of 2024, this number is expected to increase to 132 transaction points, including 30 branches and 102 transaction offices.

Furthermore, to help small and medium-sized enterprises (SMEs) access capital more easily, thereby optimizing costs and enhancing competitiveness, Vietbank is offering the "Easy Capital Access, Thriving Business" credit package from now until the end of 2024. This is a flexible preferential loan package with attractive interest rates starting from only 6.25% and various fixed term options (3 - 6 - 12 months), empowering businesses to proactively manage working capital and invest in expanding their scale.

With flexible loan packages starting from 500 million VND and simplified procedures, small and medium-sized enterprises (SMEs) can easily access capital to invest in, build, and upgrade facilities, thereby enhancing competitiveness and expanding production scale, contributing to the development of the economy.

Bui Huy

Source: https://vietnamnet.vn/vietbank-lai-truoc-thue-tang-96-trong-9-thang-2337363.html