Techcombank completes 78% yearly profit target

Friday, Oct 27, 2023 09:45

Techcombank employee talks to a client at its headquarters in Lý Thường Kiệt Street, Hà Nội. — Photo courtesy of the bank

Techcombank reported a profit before tax of more than VNĐ17 trillion in the first nine months of the year, accomplishing 78 per cent of the yearly target.

In the third quarter financial report, Techcombank said that its profit before tax reached VNĐ5.8 trillion (US$237.4 million), up 3.4 per cent from the second quarter but down 13 per cent year-on-year.

Its total operation income gained 11.7 per cent from the second quarter to VNĐ10.4 trillion. Of which, revenue from service activities reached VNĐ 2.7 trillion, up 12.9 per cent over last year thanks to an increase in the number of clients.

According to Techcombank, it attracted around 2,2 million new customers in the first nine months, bringing its total clients to nearly 13 million.

For the first nine months, revenue from services continued to rise 7.6 per cent on-year during the period.

However, the bank's profit before tax was down 17.8 per cent from last year to VNĐ17.1 trillion due to a strong increase in risk provision cost.

During the period, it spent nearly VNĐ2.3 trillion for allowance for credit losses, an increase of 84 per cent year-on-year.

Given a yearly target of VNĐ22 trillion in profit before tax, Techcombank completed nearly 78 per cent of the plan.

As of September 30, customer deposits reached VNĐ409 trillion, up 14.1 per cent from the beginning of the year.

In particular, the bank's current account savings account (CASA) balance increased for the second consecutive quarter, reaching VNĐ137.6 trillion. The indicator was up 3.2 per cent over the second quarter.

Meanwhile, term deposits rose 9.2 per cent from the previous quarter to VNĐ271.5 trillion. As a result, the CASA ratio was 33.6 per cent in the third quarter.

On Thursday, shares of Techcombank were traded at VNĐ29,800 a share at 14:00 (local time). — VNS

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