Vietcombank earns record high pre-tax profit

According to the accumulated financial report of Vietcombank, which had posted a record pre-tax profit of more than VND11 trillion (US$484.5 million) last year, its pre-tax profit in the first quarter of 2018 skyrocketed by 59.3% against the same period in 2017, the highest quarterly growth rate gained by the bank so far. With this surge, the bank met one third of its annual plan by the end of March.

In the first quarter of this year, the bank’s credit segment brought in more than VND6.19 trillion (US$272.6 million) of net profit, up 17S.5% compared to the same period last year. Its net profit in the service segment posted a surge of 35.5% to VND881 billion (US$38.8 million).

Net profits from other services accounted for VND1.6 trillion (US$70.4 million) from January to March, 2.8 times higher than the first quarter of 2017, while capital contribution and share acquisition were estimated at VND351 billion (US$15.4 million), 3.5 times higher than that of the first quarter.

Vietcombank set aside VND66.71 trillion (US$2.93 billion) in the first quarter to buy bills issued by the State Treasury and the State Bank of Vietnam, raising its total value of the investment channel to VND68.71 trillion (US$3 billion) by the end of March.

The bank’s equity was at VND56 trillion (US$2.46 billion) as of March 31, 2018, up 6.7% compared to the start of the year. Its deposits were at VND731 trillion (US$32.2 billion), up 3.2%, while lending rose by 6.29% to VND577.6 trillion (US$25.44 billion).

The bank expects its total assets to grow by 14% and capital mobilisation and credit to grow by 15%, while keeping bad debt to less than 1.5%.