Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank) has set a pre-tax profit target of VND2.65 trillion (US$113.8 million) for this year, a year-on-year increase of 18 per cent.— VNS Photo

Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank) has set a pre-tax profit target of VND2.65 trillion (US$113.8 million) for this year, a year-on-year increase of 18 per cent

At its annual general meeting recently shareholders approved a number of targets for the year besides profit distribution plans and other important proposals.

The management reported pre-tax profit of VND2.24 trillion last year, 22.3 per cent higher than the target.

Its total assets were worth VND406.04 trillion, an increase of 10 per cent from the previous year.

Its non-performing loan ratio declined to 2.11 per cent.

It successfully implemented tech projects such as upgrading its core banking system and internet and mobile banking, setting up a customer relationship management system and loan origination system besides speeding up the Basel II risk management project as committed to the State Bank of Vietnam.

Moody’s Investors Service upgraded Sacombank’s outlook rating from “negative” to “stable” to reflect its stabilised solvency profile and progress in the recovery of problem assets.

At the AGM, Duong Cong Minh, the lender’s chairman, said after more than two years of restructuring, Sacombank has gradually regained its position in the market, resulting in impressive growth in the first quarter.

It would continue to focus on dealing with unprofitable assets and bad debts to obtain higher growth, with 2019 being a year for stabilisation and acceleration starting in 2020, he said.

Speaking about dividends, he said the bank retained VND2.7 trillion in profits and revised its restructure plan to pay dividends early. — VNS