A customer makes transaction at a Techcombank office in Ha Noi. — VNA/VNS Photo

The Vietnam Technological and Commercial Joint Stock Bank (Techcombank) earned pre-tax profit of VND12.8 trillion (US$550.7 million) and revenue of VND21.1 trillion, marking increases of 31.5 per cent and 24.7 per cent year on year, respectively.

In its latest report, Techcombank said net interest income reached VND14.3 trillion, up 25.2 per cent year on year. Meanwhile, non-interest income rose by 23.4 per cent to VND6.8 trillion, accounting for 32.3 per cent of total revenues.

The report showed that the provision expenses decreased by 50.3 per cent supported by healthy asset quality and prudent risk management. Cost-to-income ratio of 34.7 per cent was within the bank’s initial target. Return on assets of 2.9 per cent was the best in the market and is consistent with Techcombank’s low risk, high return strategy.

Total assets increased 19.5 per cent compared with the same period last year, reaching VND383.7 trillion with credit growth expanding 18.8 per cent. Techcombank maintained ample liquidity with a loan-to-deposit ratio of 76.3 per cent and short-term funds to medium-to-long-term loans ratio of 38.4 per cent. Techcombank also maintained its position as the best capitalised bank in Viet Nam with a Basel II CAR ratio of 15.5 per cent, nearly double the Basel II Pillar I minimum requirement.

In 2019, Techcombank added 1.1 million net new customers to bring the total customers served by the bank to 7.3 million. Customers using e-banking services increased from 56 per cent to 76 per cent year on year. Transaction volume and value through Techcombank’s mobile channels increased to 172 million, up 217 per cent compared with the same period last year and VND2.582 trillion (up 244 per cent year on year), respectively, thanks to the ongoing convenience and preference for the bank’s digital solutions. — VNS