Financial major VietCredit's 2022 profit up 73% to $2.7 mln

VietCredit, Vietnam's leading financial company in domestic credit card market share, reported after-tax profit of VND64 billion ($2.7 million) in 2022, up 73% year-on-year.

The company, registered on the unlisted public company market UPCoM as TIN, earned net interest income of VND1,315 billion ($55.37 million), up 9.4%, according to its financial statement.

As of December 31, 2022, TIN's total assets were more than VND6,535 billion ($275.16 million), up 5% compared to the end of 2021, of which loans to customers hit more than VND4,418 billion ($186.06 million).

According to VietCredit, after four years it has been one of the leading companies in issuing more than 400,000 domestic credit cards.

In the fourth quarter of 2022, the company recorded net interest income of VND340 billion ($14.32 million), up 16%. However, provision expenses increased by 17% to VND207 billion ($8.72 million), with the company losing more than VND20 billion ($842,300) in the period, while in the same period last year it lost VND14 billion.

It said that fluctuations in interest rates and liquidity in the financial - interbankmarket at the end of 2022, especially in Q4, had an impact on changing the company's sales plan. Besides, at the end of the year, the State Bank's policies were changed to stabilize the macro economy.

Therefore, VietCredit implements debt settlement and risk management policies to ensure a healthier portfolio structure management in line with business orientation and the State Bank's requirements, leading to provision costs surging over the same period," the company wrote on its website.

On the UPCoM, the TIN share price hit VND9,900 ($0.42) at Wednesday's closing session.