HDBank 1H2022 profit before tax exceeded VND5.3 trillion, fulfilling 54% of annual budget, separtate NPL ratio was 0.93%

Building on the encouraging results of the first quarter, in the second quarter all key performance indicators of HDBank, including quantitative and qualitative indicators, rose significantly. Consolidated total operating income of 2Q2022 reached VND5.582 trillion, up 31.2% year-over-year. Profit before tax reached VND2.776 trillion, up 32.6% year-over-year. Cumulatively, for the first 6 months of 2022, total operating income reached VND10.704 trillion, up 27.1% year-over-year, in which net interest income rose by 25.8% year-over-year, non-interest income rose by 32.6% year-over-year. Impressively, the bancassurance and other cashless payment services achieved robust growth with net fee income doubled that of the same period last year.

HDBank has well-managed expenses and implemented technologies to improve productivity and enhance risk management, resulting in the modest increase of just 19.4% year-over-year in operating expenses. Cost-income ratio improved to 37% from 39.4% a year earlier. Profitability ratios including ROAE and ROAA were 25.6% and 2.24% respectively, which are higher than those of last year.

Prudential ratios are at healthy levels with CAR (under Basel II) reached 14.9% - the market-leading level. Parent bank’s NPL ratio was 0.93% and loan loss reserve ratio reached the comfortable level of 109%.

HDBank is implementing the plan to raise charter capital as approved by AGM by issuing about 503 million shares to distribute 2021 pidend by stocks, at the payout ratio of 25%. Upon completion, charter capital will increase to VND25.303 trilion from VND20.273 trillion. The re-investment of retained earnings into the Bank’s business activities will further strengthen the Bank’s financial capability, making it ready for strong business growth and profit generation according to the strategy approved by shareholders.

As of 30/6/2022, total mobilized funds exceeded VND340 trillion. Total consolidated lending reached over VND245 trillion, up 14.8% from that of 31/12/2021. Customers including those in rural areas, exporters, supply chain clients, household businesses, micro-businesses and those eligible for green finance programs all enjoyed HDBank’s favourable lending programs

In addition to strong business performance, HDBank is also paying great attention to its corporate social responsibility. The Bank collaborated with Tuoi Tre (Youth) Newspaper to launch the cashless payment fair for workers in industrial zones to provide them with the chance to experience cashless payment solutions and online account opening. HDBank also contributed in the financing for gratitude house construction to honor and show appreciation of families who made great contribution to the revolution, supported localities vulnerable to floods and storms in central provinces of Vietnam, awarded scholarships to underprivileged students who achieved good performance at universities.

Positive operating results achieved in the first 6 months of 2022 showcased HDBank’s capability to effectively implement business plans and determination of performing digitial transformation to further improve productivity, customer experience and to create synergy effects among all members within the large and highly potential ecosystem of the Group. This is also a sign that the strategy to achieve strong growth both in business scale and quality in a new development period is gradually being realized and has resulted in good values to shareholders and investors.