HÀ NỘI — Techcombank (TCB) has reported that it is in its strongest position ever, with record profits and continued industry leadership, according to statements made at the bank’s 2025 Annual General Meeting of Shareholders held on Saturday.

Speaking at the meeting, General Director Jens Lottner said: “The bank has probably never been in a better state than it is now,” as he highlighted Techcombank’s record profit of VNĐ27.5 trillion (more than US$1 billion) in 2024. The bank also maintained its leading position in return on assets (ROA) and accounted for approximately 13 per cent of the total fee income of the Vietnamese banking sector.

In the investment banking segment, Techcombank held more than 50 per cent of the market share in the corporate bond market (excluding bank bonds), reflecting a strong recovery. In bancassurance, the bank continued to perform well despite transitioning from Manulife to AIA and FWD.

Regarding asset quality, Lottner confirmed that the bank’s bad debt ratio remained under control, fluctuating only slightly due to changes in retail mortgage loans. The bank continued to target a bad debt ratio below 1.5 per cent, even in the face of ongoing global risks such as trade tensions.

Techcombank aimed for a 16.4 per cent credit growth rate in 2025 and expects to achieve a pre-tax profit of VNĐ31.5 trillion, up 14.4 per cent year-on-year. The bank also planned to maintain its bad debt ratio below 1.5 per cent.

Despite acknowledging that reaching an ROE above 20 per cent is a challenge, Lottner noted the bank’s capital adequacy ratio (CAR) remained strong at 15 per cent, well above the industry average. The bank prioritised long-term stability to ensure resilience against macroeconomic shocks.

Chairman Hồ Hùng Anh responded to shareholder questions about the potential IPO of Techcom Securities (TCBS), stating that the bank was working with two major investors and aims to launch the IPO by the end of 2025.

“The success of the deal depends on market conditions, including the stock market and international trade policies. Once completed, we expect to raise substantial funds and continue maintaining a high return on equity,” he said.

Regarding the bank’s involvement in the Đắk Nông – Bình Phước expressway project, Hồ clarified that Techcombank was acting as a capital arranger, rather than an investor. He added that the bank would ensure smooth financing for the project, which was expected to become a key economic corridor linking the Central Highlands and the Mekong Delta.

On the topic of real estate, Hồ said demand remained high, and while the market was still recovering, it had yet to show signs of a strong resurgence. Potential trade conflicts could impact consumer sentiment, but infrastructure investment and government policy would continue to support long-term market stability.

Digital transformation and technology investments

Techcombank reaffirmed its ambition to be among the top three digital banks in Việt Nam. Lottner said the bank had invested over $500 million in technology over the past five years, with all internal processes now digitised and 19 new paperless, digital-format branches operational.

The bank had also started integrating artificial intelligence (AI) into customer services, including personalised recommendations and enhanced digital interactions. These improvements had helped Techcombank expand lending in the retail and SME segments, with a 700 per cent increase in merchant lending over the past year.

The Board of Directors proposed a cash dividend of 10 per cent, equivalent to VNĐ7.065 trillion, sourced from undistributed profits. It also submitted a plan to increase charter capital through the issuance of over 21 million shares under the Employee Stock Ownership Plan (ESOP), expected in Q3 or Q4 of this year.

If approved, the issuance would raise the bank’s charter capital from VNĐ70.65 trillion to VNĐ70.86 trillion, with proceeds used to supplement working capital. — VNS