Vietnam's leading private lender HDBank reaps $206 mln in Q1 pre-tax profit

Ho Chi Minh City-based HDBank recorded a profit before tax of VND5,355 billion ($205.7 million) in Q1/2025, up 33% year-on-year.

Return on equity (ROE) continued to be maintained at a high level of 29.62%, placing it among the Vietnamese banking sector’s leading group.

Consolidated total operating income reached VND9,205 billion ($353.6 million), demonstrating sustainable growth fueled by strong core operations and the ongoing success of its digital business performances.

"The figures reflect HDBank's solid business performance and reaffirm its status among the sector’s most efficient banks," the bank, listed on the Ho Chi Minh Exchange (HoSE) as HDB, said in a release.

"Notably, this quarter marks the official initiation of HDBank's modern, universal, and sustainable financial banking group model, a strategic imperative for its 2025-2030 development," it added.

As of March 31, 2025, HDBank's total assets reached VND711,311 billion ($27.32 billion), marking an 18% year-on-year increase.

Customer deposits reached VND465,321 billion ($17.87 billion), up 22.8%, "demonstrating strong customer confidence and the bank's strong market position".

The total outstanding loan balance reached VND449,901 billion, up 19.9%, strategically directed towards key economic sectors including agriculture, SMEs, supply chain finance, Tier 2 cities, and rural agricultural areas.

The capital adequacy ratio (CAR) according to Basel II standards reached over 14.9%, a high level within the sector.

HDBank continued to accelerate the diversification in its income structure towards sustainability, increasing the proportion of non-interest income, in particularly, from financial services, non-credit services, and investment activities.

"This demonstrates that the strategy of intergrating financial technology and a sustainable business model is yielding clear results," the bank noted.

HDBank further advances its strategy of income diversification to enhance sustainability, evidenced by the increasing share of non-interest income derived primarily from financial services, non-credit activities, and investments. This underscores the effectiveness of its strategy to integrate technology within a sustainable business framework.

Accelerating digitalization - strategic pillar for 2025-2030

During Q1, HDBank's digital business operations sustained robust growth: the number of individual customers saw a 38% increase, and financial transactions conducted via digital platforms grew by 55% year-on-year.

Accelerating digitalization is also a driving force for HDBank to further optimize operations, reducing the cost-to-income ratio (CIR) to 27.4%, while enhancing the customer experience and personalizing the customer journey.

HD Saison Finance Company - a subsidiary of HDBank – sustained its leading position in the market, delivering a profit before tax of VND306 billion ($11.75 million) in Q1, an 18.4% year-on-year increase, and the most successful Q1 in the past few years.

This quarter marked a pivotal milestone for HDBank with the successful receival and restructuring of DongA Bank, resulting in the official transformation of Vikki Digital Bank – a next-generation digital bank catering to highly digitalized customers.

Vikki Digital Bank holds a strategic position within the modern and universal Financial Banking Group model – a comprehensive model encompassing commercial banking, consumer finance, investment banking, insurance, fund management, and digital platforms.

This integrated model harnesses technological strength, a widespread network, and comprehensive financial solutions to effectively serve over 30 million existing and potential customers.

The Asian Banker recently recognized HDBank as the "Best Financial Service Provider for SME in Vietnam", while the 2025 Sao Khue Awards acknowledged HDBank's technological advancements with pioneering digital solutions such as eCASH cash collection service and smart medical kiosks - innovative digital solutions closely linked to customer experience and community value.