Customers conduct transactions at a VPBank branch in Ha Noi. At the end of 2019, VPBank's consolidated bad debt ratio was 2.95 per cent. — Photo cafef.vn

Viet Nam Prosperity Joint Stock Bank (VPBank) announced a record 2019 consolidated pre-tax profit of VND10.3 trillion (US$445 million), exceeding 9 per cent of the yearly plan and up 12.3 per cent compared to 2018.

With the result, VPBank has officially joined the list of the few banks with profit of over VND10 trillion.

The bank's total consolidated operating income last year reached VND36.35 trillion, an increase of 20.3 per cent compared to the previous year.

Consolidated credit growth reached 17.6 per cent, higher than the average growth of the whole system. Deposit growth rate reached 23.7 per cent compared to 2018, helping the bank ensure capital adequacy and expand business operations.

VPBank attributed the record result to the breakthrough in the segments of consumer finance, individual customers and small and medium enterprises.

Thanks to the exploitation of existing individual customer base and search for new customers, as well as the expansion of the ecosystem via diverse financial products and services, profit generated from the individual customer segment has risen by more than 120 per cent compared to 2018. This is the strongest growth recorded in the individual customers segment of VPBank so far.

The corporate customer segment has also made impressive advances in the past year. In particular, profit earned from the small and medium enterprise segment increased by 36 per cent.

At the end of 2019, VPBank's consolidated bad debt ratio was 2.95 per cent. The bank has also settled all the outstanding bonds worth more than VND3.1 trillion at the Viet Nam Asset Management Company (VAMC) in 2019.

In addition to the control of bad debt, the bank's operating efficiency in the past year has also improved remarkably thanks to the focus on refining the organisational structure, optimising the system of processes, upgrading business methods and boosting productivity.

VPBank’s return on assets (ROA) ratio at the end of 2019 is 2.4 per cent, higher than the ratio of 2.2 per cent reported at the end of 2018. Return on equity (ROE) ratio reached 21.5 per cent, higher than the ratio of 20.7 per cent reported at the end of 2018. — VNS