Shinhan Bank Vietnam makes H1 profit of $99.4 mln

Shinhan Bank Vietnam Ltd. posted post-tax profits of VND2.39 trillion ($99.4 million) in the first half of this year, up 48.23% year-on-year.

According to the bank’s half-year report, its return on equity (ROE) improved from 14.07% from H1/2022 to 17.47% in H1/2023.

Its capital adequacy ratio (CAR) rose from 17.13% in end-June 2022 to 20.43% in end-June 2023

Shinhan Bank Vietnam is a subsidiary of Shinhan Bank Korea – an affiliate of South Korea's Shinhan Financial Group.

The bank’s equity increased to VND27.61 trillion ($1.15 billion) as of end-June 2023, from VND25.22 trillion ($1.05 billion) at end-December 2022 and VND23,130.1 billion ($961.4 million) at end-June 2022.

Its debt-to-equity ratio decreased to 4.72 as of end-June 2023, from 5.92 in end-December 2022 and 6.02 in end-June 2022.

This August, Shinhan Bank officially marked 30 years in Vietnam, saying it was proud to be a “trusted financial partner” for millions of Vietnamese customers.

The South Korean bank established its first representative office in Ho Chi Minh City in August 1993, not long after Vietnam and South Korea officially established diplomatic relations.

In December 1994, Shinhan Bank was formally approved by the State Bank of Vietnam (SBV) to open a Ho Chi Minh City branch, becoming the first South Korean bank to establish a branch in Vietnam.

2017 became a turning point for Shinhan Bank, when it successfully acquired the retail banking sector of ANZ Bank Vietnam. The move helped it expand its retail sector and offer more balance in terms of product structures between the retail and corporate sectors.

Shinhan Bank Vietnam earned post-tax profits of VND3.71 trillion ($158.03 million) last year, up 46.6% year-on-year, according to an audited financial statement. The lender also recorded a net interest income of VND6.52 trillion ($278 million), up 30.4% year-on-year.

It posted a net fee and commission income of VND454.12 billion ($19.37 million), while net gain from dealing in foreign currencies was VND845.29 billion ($36.05 million).