AsemconnectVietnam - Vietnam Thuong Tin Commercial Joint Stock Bank (Vietbank - Code: VBB) has just announced the document of the annual general meeting of shareholders in 2023 with a plan of pre-tax profit of VND960 billion, up 46% compared to the previous year.

Total assets reached VND125,000 billion, up 12%, of which outstanding loans in market (including corporate bonds) reached VND75,600 billion, up 11.9% compared to 2022. NPL ratio is expected to be kept below 2.5%.
The bank said that the business results in 2022 have not yet met the plan set out at the 2022 Annual General Meeting of Shareholders, due to many fluctuations in the domestic and global economy affecting strongly the banking system.
In the fourth quarter of 2022, VietBank adjusted its business plan to suit the actual situation. According to the adjusted plan, the bank's pre-tax profit in 2022 reached VND656 billion, up 3.2% compared to 2021 and reaching 82% of the year plan.
VietBank's consolidated after-tax profit in 2022 is nearly VND523 billion. Remaining profit after tax and deduction of compulsory funds is more than VND444 billion. The bank submitted no dividend and retained VND426 billion of undistributed profit.
The bank does not plan to pay dividends in 2023. All profits in 2022 will be retained, about VND426 billion.
In 2022, VietBank has issued VND2,343 billion of bonds to increase Tier 2 capital and VND2,780 billion of bonds/certificates of deposit to contribute to increase capital size and improve equity structure. Loan-to-deposit ratio (LDR) reached 63.6%; the ratio of short-term funds for medium and long-term loans is 33.1%.
This year, the Bank also wants to continue implementing the plan to increase capital through issuing shares to the market and listing VBB code on HOSE as proposed in the previous year's general meeting but has not been able to do so.
The bank's management believes that the listing of shares is important to Vietbank, therefore, the Board of Directors submits to the General Meeting of Shareholders for consideration and approval to continue listing on HOSE when the time and market conditions are favorable.
Previously, the General Meeting of Shareholders (AGM) 2022 of VietBank approved the plan to increase charter capital by VND1,003 billion through issuing shares to existing shareholders and was approved by the State Bank of Vietnam (SBV).
However, due to the large fluctuations in the domestic financial situation in the late 2022 and the first months of 2023, interest rates tend to rise and market liquidity is under certain stress. Therefore, the capital increase plan has not been implemented.
Besides, Vietbank's Board of Directors has also developed a plan to increase tier-2 capital to ensure the minimum target capital plan for the period of 2023 - 2026, so the lack of capital increase does not affect the bank's business development much.
The bank is expected to continue implementing capital increase according to the previously set schedule this year.
N.Nga
Source: VITIC/Tinnhanhchungkhoan