Vietnam International Bank (VIB) on January 17 announced its 2018 financial results, with profit before tax reaching VND2,741 billion, growing by 95 percent year-on-year and beating the year’s plan by 37 percent.
This was the second consecutive year VIB’s annual profit had grown approximately 100 percent.
The bank saw its revenue increase by 48 percent, in which interest income and noninterest income expanded by 40 percent and 92 percent, respectively.
Non-interest income contributed 20 percent to the bank’s total revenue. The cost to income ratio (CIR) reached an efficient level of 44 percent, down by 13 percent year-on-year. Return on equity (ROE) sharply surged to 22.5 percent, making VIB one of the banks having the highest ROE.
Retail banking business continued to contribute significantly to the growth of VIB, with sales up by 90 percent compared to 2017. Wholesale banking and Treasury banking business operations also brought significant growth in profit of 22 percent and 49 percent, respectively.
On December 31, 2018, the bank’s total assets reached nearly VND140,000 billion. Deposit rose by 22.7 percent year-on-year. Outstanding loans reached VND98,933 billion, up 17.5 percent, of which retail loans made up VND74,300, up by 48 percent after having risen by 83 percent in 2017.
Thanks to this impressive growth rate, VIB surpassed many big joint stock banks in terms of outstanding retail loans and secured its position as one of the joint stock banks with a high retail lending market share.
VIB’s equity is VND10,662 billion. Capital adequacy ratio (CAR) under Basel II was 10.2 percent. Non-performing loan ratio (NPL) is 2.2 percent with zero legacy loans sold to VAMC.
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