Attending the conference, on VietinBank's side, there were Ms. Pham Thi Thanh Hoai - Member of the Board of Directors and representatives of leaders of key departments, departments and units at VietinBank's Head Office. On the guest side, there were nearly 90 analysts from 70 organizations, representing investment funds, securities companies, fund management companies; shareholders of VietinBank; potential investors (investors) are interested in the opportunity to invest in CTG shares.
Actively boosting service revenue, improving income structure
In the first quarter of 1, the world economy continued to be affected by the negative impacts of high inflation, geopolitical conflicts between Russia and Ukraine, tight monetary policy in the US and Europe, and decline in exports. In Vietnam, the State Bank of Vietnam continues to operate monetary policy proactively and flexibly, closely coordinating with fiscal policy and other macroeconomic policies to control inflation, support the recovery of economic growth, promptly adapt to changes in domestic and foreign markets, and maintain stability in the currency and foreign exchange markets.
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Ms. Pham Thi Thanh Hoai – Member of the Board of Directors updated VietinBank's positive business results in the first quarter of 1 |
In that context, VietinBank has actively implemented synchronous business solutions, proactively optimized cost efficiency and well managed asset quality, facilitating credit growth; maintaining preferential programs to reduce lending interest rates, keeping a good and competitive lending interest rate in the market, helping customers access credit sources as well as banking products and services at low cost, optimally meeting the financial needs of the economy.... and achieve positive business results.
Notably, net profit from service activities (including guarantee fee collection) of VietinBank reached nearly VND 2,3 trillion, an increase of 52% over the same period in 2022, the bank with the highest net profit from service activities in the banking industry in the first quarter of 1; in which, collection of shopping mall fees increased by 2023% and insurance commissions increased by 175% over the same period in 208,8. The proportion of service revenue to total operating income accordingly reached 2022%, an improvement over the same period in 13,6 (2022%).
This result is achieved thanks to the fact that in the past time, the Bank has continuously researched, improved and promoted products and services in parallel with improving service quality, meeting diversified and comprehensive needs of financial services of customers; actively apply technology to business activities such as diversifying and modernizing transaction channels for customers (Ipay, Efast, counter channels, API open banking); strongly apply new technologies such as robotic process automation (RPA), cloud computing, artificial intelligence, machine learning in many trading activities…. in order to bring the most modern and best banking products and services to customers.
In addition, other business performance indicators of VietinBank in terms of scale and efficiency all achieved positive results, specifically:
Total assets reached VND 1,82 million billion, up 0,9% compared to the end of 2022.
Credit balance reached VND 1,33 million billion, up 4,6% compared to the end of 2022, higher than the credit growth rate of the whole industry (2,06%) and complied with the credit growth limit of the State Bank.
– Mobilized capital reached VND 1,29 million billion, up 0,4% compared to the end of 2022. Customer deposits reached VND 1,27 million billion, up 1,9% compared to the end of 2022. In the general market context, VietinBank's CASA ratio, although reduced to 18,06% compared to 20% at the end of 2022, was among the lowest in the banking industry.
– Total operating income in the first quarter of 1 reached VND 2023 trillion, up 16,3% over the same period in 21,1. In which, net interest income (excluding guarantee fee) reached VND 2022 trillion, up 12,4% over the same period in 24,8 thanks to the scale improvement coupled with improved profitability from credit portfolio restructuring and good credit risk management.
– Net profit from foreign exchange business increased sharply by 49,6% over the same period in 2022 as VietinBank continued to diversify the structure of foreign exchange products, promote new customer development, focusing on FDI, SME and retail segments.
– Net profit from operating activities before provision expenses for credit losses in the first quarter of 1 reached VND 2023 trillion, up 12,7% compared to the same period in 24. VietinBank continues to actively spend financial resources in setting up risk provisions in accordance with regulations in order to increase the provision buffer for the bank's operations in the coming time. Provision expenses in the first quarter of 2022 increased by 2023% over the same period in 51,6; bad debt coverage ratio is 2022%. Pre-tax profit in the first quarter of 173 reached VND 1 trillion, up 2023% over the same period in 5,98.
– VietinBank's performance indicators in the first quarter of 2023 continued to improve: NIM reached 2,94%, improved from 2,87% in 2022; VietinBank's ROA and ROE ratios reached 1,34% and 17,72%, slightly up from 1,25% and 16,68% in 2022.
Focusing resources on implementing business topics and foundational themes, doing business effectively and safely in 2023.
At the conference, leaders of VietinBank discussed, exchanged and answered questions of investors and analysts interested in prospects and development orientations in the last months of 2023: forecasting interest rate and exchange rate movements; measures to improve CASA and mobilized capital, improve NIM; boost credit to retail and SME segments to increase efficiency and improve competitiveness; measures to promote non-interest income activities; digital transformation progress; assessment of bad debt situation, setting up risk provisions; assessing the impact of Circulars 02 and 03 on the banking industry, the market...
In the last months of 2023, VietinBank will continue to focus resources on implementing 04 business topics including: (i) CASA growth; (ii) Non-interest income growth; (iii) Ecosystem exploitation and cross-selling; and (iv) Debt recovery to deal with risks.
At the same time, VietinBank continues to implement comprehensive, flexible and synchronous solutions, focusing on 05 fundamental topics including: (i) Debt quality control and credit risk management; (ii) Improve service quality; (iii) Increasing labor productivity; (iv) Effective management of capital balance; and (v) Develop and implement a digital transformation strategy.
Accordingly, VietinBank will make the most of all resources, focus on effective, safe and sustainable growth in 2023, striving to complete the business plan in 2023. (Satisfied approved by the 2023 Annual General Meeting of Shareholders, is continuing to seek opinions from competent State agencies for official approval).
VietinBank hopes that through this conference, the market leading prestigious securities companies, fund management companies and investment funds will continue to have updated and in-depth information to serve the analysis and assessment of investment opportunities in CTG shares. The success of the conference continued to affirm VietinBank's image of openness, transparency in information, efficiency in operations and cohesion in relations with the investor community.
