Techcombank expects profit growth
In this article (5)
Vietnam’s largest private lender Techcombank targets an increase of 25 percent in this year’s pre-tax profits to a record VND19.8 trillion ($858 million).
It expects credit to grow by 12 percent. Profits rose by 23 percent last year to VND15.8 trillion.
It has undistributed profits of VND26.7 trillion, which it plans to use to fund operations. It has not paid dividends for the last 10 years.
In a year when businesses struggled to repay loans due to the impact of the Covid-19 outbreak, the lender saw provisions for bad debts triple to VND2.66 trillion.
Meanwhile, the bank’s board is seeking shareholders’ permission to make Ho Anh Ngoc, a brother of chairman Ho Hung Anh, a director.
Ngoc, 39, has a doctorate in economics from Macquarie University in Australia. He has held several positions in the bank since 2017 and is currently chairman of the bank’s southern representative board.
Questions & Answers
Q.How much profit did Techcombank make last year?
How much profit did Techcombank make last year?
Techcombank's profits rose by 23 percent last year, reaching VND15.8 trillion. This figure indicates the bank's financial performance before the current year's projections.
Q.What is Techcombank’s plan for its undistributed profits?
What is Techcombank’s plan for its undistributed profits?
The bank holds VND26.7 trillion in undistributed profits. These funds are intended to be used for financing the bank's ongoing operations, rather than being paid out.
Q.How much did Techcombank set aside for bad debts last year?
How much did Techcombank set aside for bad debts last year?
Provisions for bad debts tripled to VND2.66 trillion last year. This increase reflects the challenges businesses faced in repaying loans due to the Covid-19 outbreak.
Q.Why is Ho Anh Ngoc's appointment as a director notable?
Why is Ho Anh Ngoc's appointment as a director notable?
Ho Anh Ngoc is the brother of chairman Ho Hung Anh, and the board is seeking shareholder permission for his appointment. He has a doctorate in economics and has worked at the bank since 2017.
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