AsemconnectVietnam - Military Commercial Joint Stock Bank (MB, stock code MBB) has just announced business results for the third quarter of 2023 and the first three quarters of the year. Accordingly, MB maintains a positive growth rate, effectively manages operating costs, and continues to affirm its leading position in the race to digitally transform the banking industry.

Strong digitalization, targeting 30 million customers celebrating 30 years of establishment 1994-2024
In the first 9 months of 2023, MB successfully attracted nearly 4 million new customers, cumulatively reaching 25 million customers. The bank aims to conquer 30 million customers before celebrating MB's 30th birthday in 2024.
"For us, the definition of MB is now not simply a bank, but MB wants to become a digital enterprise" is the affirmation of Mr. Luu Trung Thai, Chairman of the Board of Directors of MB at a recent forum organized by Forbes. That determination of MB is clearly demonstrated in the bank's investment strategy in technology and platforms as well as the unique digital products MB brings to the market.
MB maintains the development of a digital ecosystem on two platforms: App MBBank (individual customers) and BIZ MBBank (business customers). By the end of September 2023, MB recorded 1.5 billion transactions on digital channels with a transaction value of VND7 million billion. The transaction scale on the digital platform remains high at 96%, equivalent to top Asian banks. At the same time, MB is one of the top banks in applications with more than 10 million active accounts in Vietnam.
Also according to the head of MB, the bank has the ability to join hands with more than 200 partners through the mini-app model, directly providing services to 25 million customers. This is considered a useful and friendly model for both users and businesses and technology partners.
In early October 2023, MB was honored to win the "Asia Excellence Enterprise" award for the fourth consecutive time and had four solutions win the "Vietnam Digital Transformation 2023" award thanks to its high technology content and friendliness, satisfy customer experience.
Completed 20% dividend payment in cash and stocks
Always focusing on harmonizing the interests of the bank, customers, shareholders and investors, MB has completed paying cash dividends at a rate of 5% and stock dividends at a rate of 15% in the third quarter of 2023 in accordance with the resolution approved by shareholders.
In addition, the plan to increase charter capital approved at the Annual General Meeting of Shareholders is still being actively implemented by MB. Specifically, the total charter capital is expected to increase in 2023 from VND45,340 billion (December 31, 2022) to VND52,141 billion. The additional capital will mainly be used for investment to increase capacity, including investment in systems, technology solutions, and investment in headquarters in Ho Chi Minh City and key areas..., at the same time supplement business investment capital.
Maintain stable growth momentum
In the first 9 months of 2023, MB's consolidated pre-tax profit reached more than VND20,000 billion, up 10% over the same period in 2023. Of which, the bank alone reported a profit of VND18,866 billion, up 15% compared to the third quarter last year, showing steady growth in the bank's business activities.
The bank recorded positive credit growth with the total outstanding debt of the entire group reaching nearly VND577,000 billion, equivalent to an increase of nearly 14% compared to 2022. This is also a higher growth rate than the average level of the entire banking industry. In addition, MB's customer deposit size also grew by 8.1% compared to the previous year, reaching VND479,733 billion.
The bank's own net interest margin (NIM) decreased slightly by 0.08% compared to 2022. MB representative said that this comes from MB focusing on reducing lending interest rates to support businesses in a difficult business context, in accordance with the policies of the Government and the State Bank.
In a challenging economic context, from the beginning of the year, MB has focused on ensuring safety indicators, optimizing operational efficiency as well as cost management. In addition to improving customers' service experience, the digitalization process has been helping MB significantly reduce operating costs, improve operational efficiency, and better manage risks according to international ESG standards. Thanks to that, the CIR ratio (operating costs/total income) of the entire group has been significantly improved, optimally by 2% compared to the same period in 2022; Of which, the bank's own CIR decreased to 28.5%.
In the last three months of the year as well as the following years, MB will continue to invest methodically and strongly in digital transformation, continuously developing and refining key digital platforms to bring the most convenient experience to customers.
"We determine that digital platforms will contribute about 50% of the bank's revenue within the next 4 years," shared Mr. Luu Trung Thai, Chairman of the Board of Directors of MB. That will be the "leverage" for MB to realize the strategic goal of becoming a digital enterprise and a leading financial group set for the period 2022-2026.
N.Nga
Source: VITIC/Tinnhanhchungkhoan