Major bank BIDV's H1 profit grows 38% to $381 mln

BIDV, a leading Vietnamese bank with the state holding an 81% stake, reported an after-tax profit of VND8,901 billion ($380.5 million) in the first six months of the year, up 37.7% year-on-year.

Its net interest income in the period was $1.17 billion, a 15.5% increase, according to the bank's consolidated financial report.

In the second quarter, the bank's net interest income and after-tax profit reached $624.8 million and $225 million, up 13% and 40% year-on-year, respectively.

By the end of Q2, BIDV's total consolidated assets reached $84.6 billion, up 12% compared to the beginning of the year.

By June 30, 2022, customer deposits and the issuance of valuable papers reached over $65.9 billion, up 2.5% compared to the beginning of the year.

In credit activities, customer loans reached $63.4 billion, up 9.5% compared to the beginning of the year. Outstanding loans to foreign-invested companies grew 32.7%, while the figure for individual borrowers and small and medium enterprises was 15.8% and 8.3%, respectively.

Credit quality improved positively compared to the beginning of the year when the bad debt ratio according to Circular 11/2021/TT-NHNN hit 0.83%.

In H1, the bank recruited 658 more employees, bringing the total number of employees to 27,881 at the end of Q2.

BIDV's total staff payment reached $198.4 million during the period, equivalent to a per capita income of $1,200 per month.

The creditor targets to achieve a consolidated pre-tax profit of $880.5 million in 2022, up 52% compared to 2021.

In the 2022-2025 period, BIDV sets an average annual growth rate of assets at 8-12%, credit balance 8-12.5%, capital mobilization 8-13%, and pre-tax profit 19-26%, with return on equity to exceed 12.5% in the whole period.

On the Ho Chi Minh City Stock Exchange, the BID shares price hit VND39,300 ($1.68) a piece at the closing session on August 3.