A director at Vietnam Js Commercial Bank For Industry & Trade sold 130,200 shares at 0.000VND and the significance rating of the trade was 78/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors...
Summary Military Commercial Joint Stock Bank - Company Profile and SWOT Analysis, is a source of comprehensive company data and information. The report covers the company's structure, operation, SWOT analysis, product and service offerings and corporate actions, providing a 360˚ view of the company. Key Highlights Military Commercial Joint Stock Bank (MB) is a provider of financial services. It offers personal and corporate banking solutions. The bank’s personal banking solutions consist of s...
Summary Saigon Thuong Tin Commercial Joint Stock Bank - Company Profile and SWOT Analysis, is a source of comprehensive company data and information. The report covers the company's structure, operation, SWOT analysis, product and service offerings and corporate actions, providing a 360˚ view of the company. Key Highlights Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank) is a financial institution engaged in providing a wide range of banking and financial services. The bank's main ac...
In Q2 2023, total operating income (TOI) reached VND 17.7 trillion (+11.5% YoY) due to the net interest income (NII) being VND 12.7 trillion (+6.6% YoY), combined with a high growth in non-interest income, totaling VND 5 trillion (+26% YoY). For the first half of 2023, the total TOI and profit before tax (PBT) were VND 34.8 trillion (+15.9% YoY) and VND 12.5 trillion (+8% YoY) respectively, achieving about 54% of the bank's 2023 profit plan. The non-performing loan (NPL) ratio is well-control...
· PBT reached VND 5.3 tn (or USD 220 bn) in 4Q22 and VND 21.1 tn (or USD 880 bn) in FY22, equivalent to an increase of 45.4% YoY and 20% YoY, respectively. FY2022 earnings growth was mainly driven by growth in interest income (15% YoY) and non-interest income (46% YoY) despite the surge of provision expenses (+31.5% YoY). · Asset quality improved on both quarterly and yearly basis yet we should keep an eye on that in the coming quarters. In terms of provisioning buffer, ...
Industries (and their sub-sectors) with good Q2 2022 profit growth prospects such as Consumer Goods (Fishery, F&B), Consumer Services (Retail), IT, Utilities (Electricity, Water), Materials (Chemical), Industry (Logistics) continued to witness improved liquidity and were relatively safe havens in June. This reaffirms our expectation of a deep divergence of money flow in the market. Although the positive price trend of stocks in the above-mentioned sectors may continue until Q2 earnings are re...
CTG reported resilient income but moderate earnings growth due to major pressure from provisions. We revise down earnings estimates for the 2021-2022 period. 2021 NII was revised down by -2% to price in the scale of ongoing supportive interest rate package, while that of 2022 is maintained thanks to higher projected credit growth and lower yield of newly issued bonds. The forecasted 2021-2022 NFIs are shifted down by -4% as we think the bancassurance model is vulnerable to disruptions. The cr...
In November, we expect the market to continue its upward trajectory thanks to the clearer resumption of economic activities in Q4 21 with the government’s support package being the main driving force to enhance market movement. However, short-term volatility is possible from a correction following the strong rally in Q3 business results due to the abundance of capital flows in the market. We predict the VN Index to move in the 1400-1500 range. CLEAR RESUMPTION OF ECONOMIC ACTIVITIES IN Q4 21 ...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
Covid has had a strong impact on the economy by negatively affecting loan demand, financial capability of customers and the quality of assets. The State Bank of Vietnam has directed credit institutions to support the economy by measures such as lowering interest rates, restructuring debt, rescheduling payment period, exemptions and maintaining debt group. These timely actions at the beginning 2020 — when the pandemic broke out — helped maintain positive economic growth and promises a recovery...
Covid-19 pandemic has led to a slowdown, even compression, of banks’ service income in H1 20 During H1 20, many listed banks witnessed weak performance of service income growth, which stayed at only 9.9% yoy (much lower than 42.1% in H1 19). Service income contributed to 10.6% of operating income (similar to H1 19). The main reasons for the slowdown include (1) weak credit demand, which had hampered banking services, particularly insurance, trade service and FX gains, (2) net payment fee slow....
In this report, we discuss further the State Bank of Vietnam’s (SBV) guidance for banks with updates from a recent meeting between the government and the public on 9 May. This is a follow-up on our report on the impact of Covid-19 on banks from the SBV’s order to reduce lending rates or tolerate loans to those economically hit by the pandemic (Circular 01/2020/TTNHNN). Giving priority to economic recovery. The government has identified that the need to restart economy activities and growth i...
In accordance with the State Bank of Vietnam's (SBV) order to lower lending rates for customers since February, banks have set aside a considerable amount of credit to provide new loans with preferential interest rates to support businesses. Banks now provide an average discount of 0.5-1.5ppts/year on lending rate for new loans to customers affected by the pandemic; in fact, some banks have even cut rates more deeply (TPB 1.5-2.5ppts; HDB 2-4.5ppt; VCB 2-5ppt). Banks are also offering prefere...
Core profitability held up, further enabling legacy asset clean-up. Aggregate net profit for our coverage universe rose 38% yoy to VND8.6tn, 3% below our forecast. The key miss came from higher provision charges on VAMC assets (BID, STB), which we view as a positive in terms of legacy asset clean-up. Pre-provision, lower net interest income was more than offset by better non-interest income and cost control, leading to a 3% profit beat.
Vietnam banks are due to release their Q2 results on 20-31 July. We expect aggregate net profit to rise by 45% yoy to VND8.6tn, mostly driven by steady revenue generation (+19% yoy expected). As banks continue to clean up their balance sheets, we believe NPL ratios will drop, but loan provision charges will remain elevated.
Strong revenue generation cushions ramp-up in impairment charges. Aggregate net profit for our coverage universe rose 33% yoy to VND10.4tn, 34% above our VND7.8tn forecast (Table 1). Revenues were the key driver of the positive surprises, although loan impairment charges were higher than expected. Resolution of VAMC assets also appears to be on track for all banks. Please see our BID, CTG, STB, VCB and VPB results reviews for further details.
Lower loan provision charges boost earnings, VAMC done, capital still strained: Vietinbank’s (CTG) Q1 18 net profit of VND2.4tn was up 20% yoy and 15% ahead of our forecast (VND2.1tn). The beat mostly came from lower than expected loan impairment charges. Pre-provision profit (+15% yoy) missed our forecast by 2%, with lower revenues offsetting lower operating costs. CTG fully wrote down VAMC assets in Q1. Slowing asset growth (+2% qoq) also helped improve the equity/assets ratio by 10bp, altho...
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