Vietnam's consumer finance major F88 achieves 90% of year's profit target after 9 months

F88 Investment JSC (F88), a leading consumer finance company in Vietnam, reported a cumulative pre-tax profit of VND603 billion ($22.88 million) in the first nine months of 2025, a 2.5-fold increase year-on-year, reaching 90% of its full-year target of VND673 billion.

In a report on business results for Q3/2025, the firm said that it earned VND282 billion ($10.7 million) in pre-tax profit in Q3, more than double the figure recorded in the same period last year, thanks to robust business expansion, effective risk governance, and optimized cost control.

As of September 30, F88’s outstanding loan principal stood at VND6,413 billion ($243.36 million), marking a 40% increase compared to the beginning of the year.

In Q3 alone, disbursed loan volume hit VND4,339 billion ($164.66 million), up 33% year-on-year and exceeding Q2’s figures, making it the company’s highest quarterly disbursement in the past three years.

Year-to-date disbursement reached VND11,485 billion ($435.83 million), representing 35% growth over the same period in 2024.

The company's continued expansion yielded breakthrough results in Q3/2025. Total revenue for the quarter reached nearly VND1,075 billion ($40.8 million), a 49% increase year-on-year.

Of this, lending activities contributed approximately VND925 billion (86%), and insurance services added VND134 billion (12.5%), growing 47% and 52%, respectively, compared to Q3/2024.

The standout Q3 performance was primarily driven by customer base expansion and peak seasonal business demand in H2. The company served nearly 70,700 new borrowers and opened over 246,700 new loan contracts, increasing by 16% and 82% respectively compared to the same period last year.

The customer retention rate (customers using F88 services at least twice) surged from 58% in Q1/2025 to 68% in Q3/2025, bolstered by tailored product offerings.

F88 also placed strong emphasis on risk management and loan quality. The on-time repayment rate remained stable at around 85%, and the net write-off ratio was maintained at 2.4% per month. Operating costs were well-controlled, with the cost-to-income ratio (CIR) down to 49% from 52.7% in Q3/2024.

In Q3/2025, F88 launched the Revolving Credit Limit Loan package, a financial product that provides customers with a pre-approved loan amount (credit limit) which they can draw upon at their discretion.

Interest and fees are only charged on the actual amount withdrawn. This product is designed to meet the needs of customers who frequently require small, urgent loans on a recurring basis as part of everyday life.

F88’s business expansion strategy has been actively promoted across multiple channels, including its nationwide transaction office network, partnerships with other entities, and digital platforms (specifically via the My F88 app). These three pillars combine the power of technology with the company's physical branch network.

As of Q3/2025, the company’s number of transaction offices had increased to 896 across the country (up 28 offices from the beginning of the year), surpassing the 2025 target of 888 offices.

Regarding partnerships, F88 is currently collaborating with CIMB Vietnam Bank, MBBank, Mobile World Group (MWG), and more recently, ZaloPay.

On the digital front, the company has developed the My F88 application, aimed at migrating contracts from offline to online, enhancing service flexibility and improving the customer experience.

Reflecting on the achievements in the first nine months of the year, chairman and CEO Phung Anh Tuan stated that the company has focused on investing in technology, laying a strong foundation for further business expansion in the near future.

Notably, F88 has just launched the revolving credit loan product, continuing its mission of improving access to financial services for underbanked customers and advancing financial inclusion.

“We expect the company's profit in Q4/2025 to be roughly on par with that of Q3/2025, thanks to strong seasonal demand in the second half of the year, which will help F88 significantly exceed the targets set at the 2025 AGM,” he said.

Credit rating agency FinnRatings on Monday announced an upgrade to F88’s credit rating, raising it to “BBB” with a “Stable” outlook. The company’s previous rating was “BBB-” with a “Positive” outlook. It stated that the new rating reflects clear improvements in F88’s capital and liquidity.

“We assess that F88’s capital and liquidity have notably improved compared to the previous rating period, driven by successful diversification of funding sources from both domestic and international partners, preparations for a public bond issuance in 2026, and a significant reduction in average funding costs,” noted the rating firm.

Furthermore, FinnRatings added that the rating also reflects F88’s continued leadership in the alternative lending sector, along with its solid profitability and asset quality.