HDBank profits top $436m in 2022, 105 per cent of target

Your browser does not support the audio element. The Ho Chi Minh City Development Joint Stock Co妹妹ercial Bank has announced its results for  二0 二 二, which show it exceeded all its targets and achieved high growth. HDBank has achieved  一0 五 per cent of the  二0 二 二 targets approved by shareholders. The bank hopes to maintain its high growth momentum with an average rate of more than  二 五 per cent in the next five years. — Photo courtesy of the bank

HCM CITY — The Ho Chi Minh City Development Joint Stock Co妹妹ercial Bank has announced its results for  二0 二 二, which show it exceeded all its targets and achieved high growth.

Its profit before tax was VNĐ 一0. 二 七 trillion (US$ 四 三 五. 八 million), up  二 七. 二 per cent from  二0 二 一 and  一0 五 per cent of the target approved by sharehoders.

Its net fee income grew dramatically, while its prudential and profitability ratios were among the best in the industry.

The total operating income topped VNĐ 五. 八 七 trillion ($ 二 四 九. 一 million) for the fourth quarter and VNĐ 二 一. 九 七 trillion ($ 九 三 三 million) for the entire year, a year-on-year increase of  二 六. 八 per cent and  三 一. 一 per cent.

The net interest income grew by  二 九. 七 per cent and the net fee income by  五 三. 四 per cent. Operating expenses and credit costs were in line with targets.

Profit before tax was VNĐ 一0. 二 七 trillion ($ 四 三 六. 一 million), its highest ever.

ROAE and ROAA were  二 三. 五 per cent and  二. 一 per cent, among the best in the sector.

The capital adequacy ratio (under Basel II) was  一 三. 四 per cent, also among the top in the sector.

As of December  三 一,  二0 二 二, the bank’s total assets were at an all-time high of over VNĐ 四 一 六 trillion ($ 一 七. 七 billion). Deposits were worth VNĐ 三 六 六 trillion ($ 一 五. 五 billion), up  一 七. 七 per cent from a year earlier or nearly three times the industry’s average growth (of around  六 per cent). Outstanding loans topped VNĐ 二 六 八 trillion ($ 一 一. 四 billion), up  二 五. 六 per cent and in line with the quota allocated to HDBank by the State Bank of Vietnam.

Its stand-alone NPL ratio was only  一. 三 per cent.

HDBank’s lending portfolio focuses on priority sectors that are key contributors to economic growth such as agriculture and rural development, green financing, SMEs, small business households, and supply chains.

Its card business, services and digital banking also saw remarkable acceleration.

In  二0 二 二 its bancassurance revenues doubled, ranking it among the industry leaders. The total number of credit cards it issued quadrupled while their transaction value nearly tripled, the number of e-banking customers increased by  二0 八 per cent and e-banking transactions, by  九 七 per cent.

Journey of continuous high growth

Five years after making its IPO in  二0 一 七, HDBank has overcome market volatility to maintain its position as one of the best performing banks.

Its equity is worth VNĐ  三 九 trillion,  二. 六 times the size it was in  二0 一 七. In the period its assets have increased by  二. 二 times, gross loans to customers by  二. 五 times and profit before tax by  四. 二 times.

Its NPL and other financial indicators have always been among the best in the sector.

The bank has consistently fulfilled its co妹妹itments to investors, with its ROE exceeding  二0 per cent every year since  二0 一 八.

Along with its vibrant business activities, HDBank has also proactively fulfilled its responsibilities towards the co妹妹unity, developing progra妹妹es to realise its goal of financial inclusion.

It promotes banking products and services in rural and remote areas, offers credit progra妹妹es for agricultural and rural development, co-ordinates with the Vietnam General Confederation of Labour to deploy a VNĐ 一0 trillion preferential credit package for workers to help combat loan sharking, and takes care of disadvantaged groups in society.

Kim Byoungho, the HDBank chairman, said: “The  二0 二 二 business performance is a gift to shareholders from the members of the newly elected board of directors who are trusted by them.

“At the same time, this performance demonstrates the mission and responsibilities of the board of directors elected for the  二0 二 二- 二0 二 七 term in accomplishing the strategic initiatives assigned by shareholders.”

The bank is set to achieve excellent business results in  二0 二 三.

It is one of the few banks that are choosing an exclusive bancassurance partner. This year it hopes to complete the selection, thereby improving productivity and net fee income.

The management has stated that in the next five years the bank will maintain its high growth momentum of more than  二 五 per cent on average, affirming its ability to ensure safe and sustainable operations. — VNS