HDBank achieves excellent results in the first half, with its profit up 44.2 percent, NPL ratio at only 0.8 percent. (Photo courtesy of the bank) According to its consolidated financial statements for the second quarter of 2021, total assets as of June 30 were worth 331 trillion VND (14.5 billion USD) and outstanding credit balance was more than 199.16 trillion VND (8.74 billion USD), up 5.8 percent from the same period last year.
The non-performing loans ratio of the parent bank was just 0.8 percent, among the lowest in the banking sector.
Total operating income in the second quarter was 4.25 trillion VND, which took the figure for the first half to over 8.42 trillion VND, up 32.7 percent year-on-year.
Net revenues from services topped 857 billion VND, 2.3 times up thanks to the strong growth in bancassurance and payment services, indicating there is still much room for growth in these areas.
Governance efficiency and profitability were enhanced, resulting in a sharp increase in return on average equity (ROAE) from 21.6 per to 25.6 percent.
Return on assets (ROA) increased from 2 percent to 2.1 percent. The cost to operating income ratio improved to 39.4 percent.
Capital adequacy ratio (CAR) and liquidity were maintained at high levels, with CAR (according to Basel II) at 13.2 percent and loan-to-deposit ratio (LDR) at 68 percent.
HDBank was among the first in the industry to achieve Basel III norms and resort to credit rating. Moody's Investors Service recently upgraded the outlook on its long-term deposit and issuer ratings from stable to positive.
With its practice of paying regular and high dividends, for 2020 HDBank is set to pay at a rate of 25 percent in shares. It has announced August 27 will be the record date for the dividends.
Joining hands with community to combat pandemic
To lend a hand to the community in coping with the COVID-19 pandemic, since July 15 the bank has cut its lending interest rates by 1 percentage point on average for loans to priority sectors and industries and localities directly affected by the outbreak.
It also continues to implement preferential lending programmes with interest rates cut by up to 4.5 percentage points.
HDBank is one of the pioneers in implementing digital transformation and automation, using online customer information verification (eKYC), promoting non-cash payments, improving the convenience of digital transaction channels, and so on to help improve efficiency and the customer experience and reduce face-to-face contact.
With its excellent results in the first half, HDBank is confident of even exceeding its full-year targets, creating momentum for the new growth phase under a strategy it has created on the advice of foreign consultants./.
VNA
