Vietnam International Joint Stock Commercial Bank (coded VIB) has just announced pre-audited business results in Q1/2018.
Accordingly, at the end of Q1/2018, the revenue increased 49 percent, the pre-tax profit touched more than 518 billion dong, more than 3.3 times larger than the same period of 2017, reaching 134 percent compared to the plan in Q1/2018. Costs were well controlled, resulting in the Cost income ratio (CIR) to significantly decrease at 51 percent.
As of March 31, 2018, outstanding credit (including corporate bonds) of the bank reached nearly 90 trillion dong, up 6.2 percent from December 31, 2017, of which, outstanding loans to customers touched more than 84 trillion dong.
The credit structure shifted towards increasing the proportion of retail credit.
Specifically, revenue of the retail banking segment grew 101 percent from the same period last year. The outstanding loans for individual customers continued to increase 12 percent in Q1, reaching 56.5 trillion dong. In 2017, VIB’s growth rate of oustanding loans of individual customers was 83 percent.
The customer mobilisation, including deposit certificates in Q1 also swelled 6.2 percent respectively.
The non-performing loan (NPL) ratio was 2.5 percent, unchanged from the end of 2017. Of which, the NPL ratio out of new outstanding loans in four recent years was very low, i.e. 0.7 percent. Safety ratios such as short-term mobilisation for medium and long term lending and outstanding loan out of mobilised capital following the regulation of the State Bank were 41.2 percent and 71.9 percent respectively. The CAR reached 12.5 percent.
With this growth momentum, VIB’s management board expects that the profit of the entire year 2018 will exceed 20-30 percent of the pre-tax profit plan assigned by the annual general meeting (AGM) at 2.005 trillion dong.
VIB’s annual general meeting organised on March 29 also adopted 2017 dividend payment plans to as much as 36 percent (including five percent in cash and 31 percent in shares). In addition, the meeting also approved the plan on share issuance at maximum 10 percent of chartered capital under separate issuance method.
The meeting also approved the share listing plan on Hochiminh city stock exchange in 2018.
