Profit before tax to reach VND 4.500 billion, total assets up 20%

Board of Directors of the bank has submitted 2020 business plan to the AGM. According to this plan, total assets is expected to reach over VND 220 trillion, up 20% compared to 2019; Loan outstanding balance is expected to increase 24% (depend on the approval of State bank of Vietnam – SBV). Deposit including deposits from customers and valued papers issued up 19%. Under the impact of Covid-19 to business performance, VIB expects a profit of at least VND 4,500 billion. Return on Equity ratio (ROE) is 26%.

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Listed plan on Ho Chi Minh Stock Exchange (HoSE)

A point worth noting of the AGM document is that VIB plans to list on HoSE in this year. This is a positive signal for investors in 2020 when VIB shares have been evaluated in the sought-after bank stock whereas many large organizations and funds have not been included in the portfolio investments due to still being listed on Upcom. The BOD is authorized to decide the listing time after completely increase the charter capital by bonus shares.

Increase 20% of charter capital by bonus shares

The BOD also submitted the proposal to increase 20% of charter capital by bonus shares in parallel with 2019 profit distribution plan to the AGM. In 2019, VIB achieved the PBT of VND 4,082 billion, ROE was 27%. Total assets reached VND 185 trillion, up 33% YoY. Total loan outstanding balance had an increase of 31 %, reached VND 132 trillion. Deposits from customers and valuable papers amounted to VND 140 trillion, up 47%. With this business result, the BOD proposes the AGM to approve 20% bonus share allocation, using 2019 profit and funds.

VIB – Top quality retail bank

VIB in the past 3 years has been known as a retail bank with the growth rate at the top of the banking industry with good asset quality. The proportion of retail banking outstanding balance to total loan outstanding balance increased from 30% to 82%. Auto loan, mortgage, bancassurance and credit card, key products of VIB are always leading in growth rate. VIB has held the No.1 in term of auto loan market share for many years. 2019 was also a remarkable year of VIB when record impressive growth from the top 3 to the leading in bancassurance in Vietnam. Credit cards with outstanding features for the first time in Vietnam have also marked a record for card growth and card spending. VIB was recognized as the first bank to successfully apply virtual card technology, BigData and AI allowing customers to own credit cards in just a few hours, manage smart cards with the MyVIB mobile application without support from call center or branch. MyVIB has been rated by The Asset magazine as Digital Bank of the year and Best Retail Digital Banking Experience in Vietnam for the fourth consecutive year.

“VIB in the past 3 years has been known as a retail bank with the growth rate at the top of the banking industry with good asset quality”

VIB’s asset quality is strictly managed, with a Non performing loan ratio (NPL) of only 1.7% and no VAMC debt. Capital adequacy ratio (CAR) according to Basel II standard reached 9.8% as of May 31, 2020. Portfolio of consumer loans is mostly secured with properties. VIB is also well-known as a bank with an excellent operating model, quality and high efficiency by customers and partners. With the sustainable development of quality and scale, VIB has experienced average growth rate of 80% in the three years 2017-2019 with ROE of 27% in 2019.