AsemconnectVietnam - International Bank (VIB) spends over VND1,000 billion to pay the remaining dividend in 2022; VietBank's 2022 profit increased by VND6 billion after auditing; OCB will increase capital to VND20,000 billion.

International Bank (VIB)
On April 7, Vietnam International Commercial Joint Stock Bank (VIB - HOSE) will close the list of shareholders paying the remaining 2022 dividend at the rate of 5% in cash, corresponding to a shareholder owning 1 share will receive VND500.
Accordingly, with nearly 2,107.7 million shares outstanding, VIB will have to spend about VND1,053 billion to pay dividends to existing shareholders. The ex-dividend date is April 6, the dividend payment time is from May 5, 2023.
Recently, on March 3, VIB has just advanced the 2022 cash dividend at the rate of 10%, corresponding to shareholders owning 1 share will receive VND1,000. The last registration date to close the list of shareholders to receive dividends is February 10.
Thus, the total dividend payment in 2022 through the above two payments is 15% in cash, just like the Bank's General Meeting of Shareholders held in mid-March 2023.
In addition to cash dividend, VIB's general meeting also approved the distribution of bonus shares to existing shareholders at the rate of 20%, and issued 7.6 million bonus shares to employees.
Thereby, the Bank will increase its charter capital from nearly VND21,077 billion to more than VND25,368 billion.
In which, VIB will use VND3,895 billion of undistributed profit after tax, more than VND319.9 billion of reserve fund to supplement charter capital to issue more than 421 million bonus shares for existing shareholders.
The source of bonus shares for employees is taken from undistributed after-tax profits. These bonus shares will be restricted from being transferred for 1 year from the end of the issuance.
Regarding the business plan for 2023, the VIB Congress also approved the targets including the expected pre-tax profit of VND12,200 billion, up 15.3% over the previous year; total assets increased by 25% to VND428,500 billion; credit balance also increased by 25% to VND292,500 billion; capital mobilization increased by 26.2% to VND292,600 billion.
Lienvietpostbank
Marking the 15-year milestone of establishment and development on March 28, 2023, Lien Viet Post Commercial Joint Stock Bank (LienVietPost Bank - stock code: LPB) has been in the top of the largest joint stock commercial banks in Vietnam with a charter capital of VND17,291 billion and a network covering 63 provinces and cities nationwide.
The financial report for the fourth quarter of 2022 shows that LPB still achieved positive results despite the volatile context of domestic and foreign financial markets. Accordingly, net interest income was almost flat, unchanged from the same period last year, reaching VND2,772 billion, but profit before tax still grew positively, reaching VND867 billion (up 3.8%), profit after tax recorded at VND668 billion, up 3.6%.
The good control of operating costs and the efficiency of the service segment is a remarkable point in LPB's business results report in the fourth quarter. Specifically, the bank's income from service activities in the period reached VND1,106 billion, net profit from this segment reached VND882 billion, a very strong increase over the same period (up 2.8 times). Meanwhile, operating expenses have been reduced by nearly VND258 billion to VND1,507 billion. This is also the basis for the bank to have resources to support customers and improve business performance.
By the end of 2022, LPB achieved VND5,690 billion in pre-tax accounting profit and VND4,510 billion in after-tax profit, up 56% and 57% respectively compared to the previous year. Basic earnings per share (EPS) increased from VND2,135 in 2021 to VND2,671 in 2022.
In 2022, LPB's credit structure will shift towards retail, with retail accounting for more than 65% of total annual credit growth. Along with maintaining the core activities of the bank, LPB promotes insurance services, cards, digital banking...
Currently, LPB is one of the joint stock commercial banks with the largest network in the country. Thanks to the exclusive exploitation on VNPost's postal transaction office system, combined with the strategy of developing online transaction channels - LienViet24h, LPB is one of the fastest growing retail banks in Vietnam 2022 by the Magazine Global Business Outlook.
It can be said that when the urban market is fiercely competitive, the rural market will be a potential area that many banks will target in the near future. With cheap and sustainable deposits, rural areas where retail space is still very large will help credit institutions have the opportunity to improve profits, add financial space to support customers.
LPB's capital structure in 2022 is generally improved significantly with the increase of charter capital, medium and long-term capital... The bank also pays great attention to the assessment of capital adequacy (ICAAP) ensures safe and effective capital management through the use of modern computational modeling tools. Also in the past year, LPB completed the implementation of the Basel III project, contributing to gradually improving its financial capacity and risk management level approaching international standards.
In a recent report, Viet Capital Securities Company (VCSC) raised its forecast of LPB's profit after tax in 2023 by 5.6%, to VND5,100 billion (up 13.1% over the same period) mainly by interest income (NII) up 4% due to a 14 bps increase in the NIM forecast and down 9.5% in operating/operating expenses.
VietBank
According to the audited 2022 financial report, the pre-tax profit of VietBank (VBB - UPCoM) increased to VND656 billion (before the audit was VND650 billion), an increase of 3.2% over the same period in 2021.
Specifically, in the audited 2022 financial statements, VietBank's pre-tax profit increased by VND6 billion, from VND650 billion to VND656 billion, up 3.2% over the same period in 2021; total assets reached VND111,307 billion, up 7.67% compared to the beginning of the year; The structure of the asset portfolio continued to be restructured in the direction of increasing the proportion of profitable assets.
This encouraging result comes from proactive and flexible decisions to maintain operations in the direction of safe and sustainable development, focusing on improving the quality of products and services and the implementation of incentive packages, customer support.
In 2022, Vietbank's total mobilization will reach nearly VND100,000 billion; in which, mobilized capital from customers (including valuable papers) reached VND81,110 billion. Loans to customers of Vietbank as of December 31, 2022 reached VND63,633 billion.
As of December 31, 2022, VietBank's bad debt ratio is 2.48% of the total debt applied in accordance with Circular 11 of the State Bank of Vietnam.
Net interest income after audit also increased to VND1,811 billion, up 21.8% compared to 2021. Besides, net profit from service activities increased to VND121 billion, up 28.4%; At the same time, foreign exchange business recorded a profit nearly 5 times higher than in 2021, reaching VND55.6 billion.
In 2023, Vietbank will continue to operate in the direction of sustainable safety and ensure safety indicators according to regulations of the State Bank of Vietnam.
At the same time, Vietbank will focus on improving operational standards and governance efficiency; improve service quality, optimize value for customers and develop high-quality human resources associated with the meritocratic mechanism.
Along with that, Vietbank focuses on developing a retail-oriented traditional customer base; at the same time, implementing the policy of the Government and the State Bank on prioritizing capital for the production and service sectors to accompany the recovery of the economy.
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.
OCB
Orient Commercial Joint Stock Bank (OCB) has just announced the documents of the 2023 Annual General Meeting of Shareholders. The meeting will be held on the morning of April 28, 2023.
According to the 2023 plan, OCB expects total assets to increase by 25% to VND242,152 billion. Total deposits in market increased 26% to VND173,087 billion; Market debt balance increased by about 20% to VND173,087 billion.
OCB also said that the credit balance will be adjusted according to the growth limit approved by the State Bank. The target of pre-tax profit in 2023 is VND6,000 billion, up 37% compared to 2022. The bad debt ratio is under 3%.
Currently, OCB has VND7,037 billion of residual profit, of which VND2,943 billion is retained profit in 2022 and VND4,094 billion is retained profit of previous years. The bank said that, to serve business activities, OCB proposes to use retained earnings and other sources of equity to increase charter capital.
Specifically, the bank wants to issue nearly 685 million shares to existing shareholders, equivalent to a rate of 50%. If successful, the bank's charter capital will increase from VND13,699 billion to VND20,548 billion. The specific issuance time is decided by the Board of Directors (BOD) after being approved by the competent authority.
OCB said that with the plan to grow the business scale continuously every year, the increase of charter capital is necessary to help the Bank improve its financial capacity and ensure the capital adequacy ratio (CAR) in accordance with regulations.
BAC A BANK (BAB)
On April 22, 2023, Bac A Commercial Joint Stock Bank (BAC A BANK - stock code BAB) successfully held the 2023 Annual General Meeting of Shareholders in Nghe An.
In 2022, anticipating difficulties in the domestic financial market and interest rate fluctuations in the last months of the year, BAC A BANK proactively and flexibly operated the Bank's activities, ensuring compliance comply with all targets, capital adequacy ratio and operational safety according to regulations of the State Bank. Therefore, all activities of the Bank are stable, growing safely and sustainably.
By the end of 2022, the Bank's total assets reached nearly VND130 trillion, charter capital reached more than VND8,134 billion, capital mobilization increased by 6.1% compared to 2021 with flexible management, closely following capital market situation, continued to achieve good growth results, ensuring liquidity and meeting capital sources for the Bank's business activities.
Over the past year, credit growth has always followed the SBV's regulations on credit limit, and credit quality has been increasingly improved. Bad debt continued to be well controlled, bad debt settlement completed the set target, bad debt ratio was 0.55%, down 0.22% compared to 2021. Profit before tax reached VND1,032 billion , completing 103.2% of the business plan assigned by the General Meeting of Shareholders. Investment consulting activities continue to be promoted for projects related to high-tech agriculture, healthcare, education, and tourism. These are areas of activity that bring many benefits and great meanings to socio-economic development.
In addition, BAC A BANK has completed phase I of the Banking Kiosk project, marking an important development milestone in the digital transformation process. The Kiosk Bank transaction counter system can perform automatic transactions with customers through the STM system, which is integrated with optimal customer identification and information security technologies. After the first phase of official operation, the Kiosk Banking system operated stably, initially received attention and positive feedback from customers, this is the premise for BAC A BANK to continue implementing the phase II of the Kiosk Banking Project nationwide.
By applying risk management standards in accordance with regulations of the State Bank of Vietnam and international practices, in 2022, BAC A BANK has completed the entire 3-pillar risk management project in accordance with Circular 13/NHNN applied by the Bank. Using Basel 2 standards, completing the internal assessment of capital adequacy, and accepting a series of documents, processes, methods, and reports. Strengthen and improve internal inspection and audit through remote operation monitoring combined with direct inspection to ensure timely detection and handling of violations and errors, if any during the operation process of business units.
In 2023, BAC A BANK will continue to follow the through-through orientation of building and developing the bank in the direction of modernity, advanced governance, in line with Vietnamese and international practices and standards, and fully satisfy sufficient and diversified needs of financial and banking services of the economy. Focus on investment consulting and lending to enterprises applying high technology in agricultural - forestry - fishery production, production and processing, auxiliary, healthcare, education... The Bank continues to build and implement safe and effective business plan objectives, implement solutions to improve governance capacity, risk management capacity...
On the basis of the business plan developed at the beginning of the year, the Board of Management develops a business orientation plan for 2023 of BAC A BANK with adjustments in line with the operation situation and business environment forecast in 2023, compared with 2022: total assets expected to increase by 7.9%; charter capital increased by 21.2%; customer deposits increased by 5.0%; outstanding loans increased by 9.6%; revenue from services and guarantees increased by 59%; pre-tax profit reached VND1,100 billion, the number of transaction points increased by 12 points.
At this meeting, the Board of Directors of BAC A BANK submitted to shareholders and approved the plan to increase charter capital to nearly VND9,900 billion with 2 forms: issuing ordinary shares to pay dividends to shareholders and offering common shares to existing shareholders.
The meeting also agreed on the share dividend rate in 2022 at 7.5%, the source of implementation is taken from the remaining after-tax profit of BAC A BANK in 2022, after the funds have been set aside.
N.Nga
Source: VITIC/Tinnhanhchungkhoan