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VIB sets profit target of US$88.2 million in 2018
Ngoc Thuy 21:42, 2018/03/14
For 2018, VIB has set its pre-tax profit target of VND2 trillion (US$88.2 million), up 43% over the last year’s period, according to a bank announcement.
VIB also proposed to shareholders a plan for charter capital increase of VND8.1 trillion (US$357 million) through the sale of treasury stock, issuing shares and paying dividends.
 
or 2018, VIB has set its pre-tax profit target of VND2 trillion (US$88.2 million).
or 2018, VIB has set its pre-tax profit target of VND2 trillion (US$88.2 million).
VIB's decision to increase charter capital will allow the lender to be more flexible in capital utilization, expanding its customer base for lending and developing its network to meet customer demand.
In addition to the pre-tax profit target of VND2 trillion (US$88.2 million), following the plan for capital utilization, VIB aims to increase its total asset value of VND150.2 trillion (US$6.6 billion), up 22% year-on-year, with the credit growth in accordance with the State Bank of Vietnam (SBV)’s instruction.
The Vietnamese lender set capital mobilization at VND100 trillion (US$4.4 billion), an increase of 22% and keeping bad debt rate under 3%.
VIB also urged the Board of Directors to choose an appropriate time for listing its share in the Ho Chi Minh Stock Exchange.
In 2017, VIB’s pre-tax profit reached VND1.4 trillion (US$61.7 million), doubling the 2016 figure and at 187% of the year target, according to the bank’s financial statement in 2017. Meanwhile, its total asset was recorded at VND123.2 trillion (US$5.4 billion), reaching 103% of the year target.
Additionally, the bank’s credit growth was posted at 26%, while bad debt at under 3%.
VIB is expected to pay 5% dividends in cash and 31% in bonus shares, combined with treasury stock as bonus for staff.
Another bank, SHB, has successfully issued more than 83.92 million shares to pay dividends, raising its charter capital from VND11.2 to VND12 trillion (US$490-528 million), according to the State Securities Commission on March 7.
"The issuance of SHB's shares will provide much-needed funds for SHB to modernize its facilities, improve governance, and develop new products and services, thereby raising its competitiveness as Vietnam is going further down the path of global economic integration," stated Nguyen Van Le, CEO of SHB, in the bank's statement on its website.
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