Some of the first credit institutions on the market began to announce the first six months of 2019 business results with a profit of trillions dong.
In the first 6 months of 2019, Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank-VCB) surpassed the set target with 11 trillion dong of pre-tax profit, up by 41 percent compared to the same period last year. 2018 has been a record year for this bank and its leading position has been maintained in a long distance in terms of profitability with the remaining credit institutions. This semi-annual result is pleasing shareholders. The ability of VCB to reach 20.5 trillion dong before tax per year according to the plan is within reach.
In the group of joint stock commercial banks, Asia Commercial Joint Stock Bank (ACB) had business results with pre-tax profit of 3.62 trillion dong, reaching nearly 50 percent of the annual plan when the half-year journey was completed.
This is also the first credit institution in the implemented Basel II group announced that the State Bank of Vietnam (SBV) had extended the credit limit from 13 percent to 17 percent for the whole year of 2019.
At HCM City Development Joint Stock Commercial Bank (HDBank), the bank just revealed that the pre-tax profit of the first six months was expected to exceed 2.2 trillion dong. The Return on Assets (ROA) and Return on Equity (ROE) ratios were 1.7 percent and 20 percent respectively, which were higher than the whole industry. Total outstanding loans reached more than 144 trillion dong and the bad debt ratio of the parent bank continued to be controlled at one percent.
Notably, the bank’s consolidated Net interest margin (NIM) increased to 4.4 percent, the highest among the banks that announced the results.
Lower than ACB and HDBank in terms of profit, some of the leading banks like Vietnam International Commercial Joint Stock Bank (VIB), Tien Phong Commercial Joint Stock Bank (TPBank) or Sai Gon Thuong Tin Commercial Joint Stock Bank (Sacombank) also shared positive business results.
VIB said that in the first six months of this year, profit reached a record of 1.82 trillion dong, up 58 percent over the same period. One bright spot of VIB was that the bank had high life insurance sales and card sales, retail growth continued to be the top.
TPBank also said that the pre-tax profit of six months of 2019 was estimated at 1.62 trillion dong, up 58 percent over the same period. Sacombank’s profit before tax in the first half of this year also increased sharply to 1.456 trillion dong. The most modest among the reported banks, Kienlongbank recorded a pre-tax profit of 148.5 billion dong, fulfilling 48 percent of the yearly plan.
Thus, with the initial information, some banks such as Vietcombank, ACB or HDBank have registered in top of the big profit from over 2 trillion dong. The remaining profit results of other institutions are either favourable or exceeding the half-year target as planned.
