Vietcombank posts $1.56 bln profit in 2022

Vietcombank's unconsolidated pre-tax profit was estimated at VND36,774 billion ($1.56 billion) in 2022, exceeding its target by 19% and up 39% year-on-year.

Its non-interest income was up 9.2% compared to 2021, exceeding its target by 8.7%, according to a report released at the bank's year review meeting on Monday.

Net income from foreign currency trading grew 31.7%, exceeding its plan by 24%.

Off-balance-sheet debt recovery reached VND2,393 billion ($102.04 million), reaching about 80% of the year target.

In 2022, credit exceeded VND1,150 trillion ($49.04 billion), up 19% compared to the end of 2021. Of this, wholesale credit was up 18.5%, and retail credit up 19.4% year-on-year. The bank's bad debt ratio remained at 0.67%.

In 2023, Vietcombank's leaders target total asset growth of 9% compared to 2022, and credit growth of 12.8%, including the outstanding loans of VND51 trillion ($2.17 billion) planned to be sold to a weak credit institution subject to compulsory takeover.

Pre-tax profit is expected to increase by at least 12% compared to 2022, estimated at over VND41 trillion ($1.75 billion), while the non-performing loan ratio below 1.5%.

Vietcombank is the second bank to announce its profit results for 2022. Previously, VietinBank reported unconsolidated pre-tax profit of VND20,500 billion ($874 million) in 2022, meeting its target, while the bad debt ratio was controlled at less than 1.2%.

On the Ho Chi Minh Stock Exchange, Vietcombank (VCB) closed Monday’s session at VND86,900 ($3.7). The lender, with the state as majority shareholder, is a "Big 4" bank in the country.