SHB's profit in 2023 will reach 7,470 billion VND

Saigon - Hanoi Commercial Joint Stock Bank (HoSE:SHB ) has just announced its consolidated financial report for the fourth quarter of 2023, recording net interest income of VND 5,356 billion, up 24% over the same period. The bank reported pre-tax profit of VND 735 billion, up 12%; corresponding after-tax profit of VND 579 billion, up 15.3% over the same period last year.

Accumulated in 2023, SHB recorded net income from business activities reaching VND 20,523 billion, an increase of 20% compared to 2022.

However, non-interest income activities recorded a decline in the year. Specifically, SHB's net profit from service activities was nearly VND524 billion, down 41% compared to the previous year.

Investment securities activities brought the bank a profit of 74 billion VND, down 19.6% compared to 2022. Profits from other activities also showed a decrease, reaching only 441 billion VND, while the previous year, this segment brought SHB a profit of 687 billion VND.

Only foreign exchange trading recorded a rise, bringing in a profit of VND282 billion, up 143% compared to the previous year. Securities trading also recorded a profit of VND794 million, while in 2022, SHB earned nothing from this activity.

In 2023, SHB increased operating expenses to VND5,035 billion. At the same time, it increased credit risk provision expenses by 41% to VND7,412 billion. The increase in risk provision expenses compared to 2022 helped SHB continue to improve its risk provision buffer to 75%.

However, the increase in operating costs and risk provision costs caused SHB to report pre-tax profit of VND9,245 billion, down slightly by 4.6%; post-tax profit of VND7,470 billion, down 3.4% compared to the previous year.

Compared to the pre-tax profit plan of VND 10,600 billion set for the whole year of 2023, the bank has only completed 87.2% of the set target.

As of December 31, 2023, SHB's total assets reached VND 630,000 billion. Market capital mobilization reached VND 497,000 billion. Equity capital according to Basel II reached VND 70,000 billion. Charter capital reached VND 36,194 billion. SHB's outstanding credit balance reached VND 455,000 billion, an increase of 17.1% compared to the end of 2022.

Outstanding customer loans during the year increased by 13.7% to VND438,464 billion. Customer deposits increased by 23.7% to VND447,503 billion.

SHB's business results are achieved in parallel with the implementation of strict risk management policies. SHB's safety and risk management indicators are better than the regulations of the State Bank, complying with Basel II and Basel III standards in liquidity risk management .

Source: https://www.nguoiduatin.vn/loi-nhuan-shb-nam-2023-dat-7470-ty-dong-a648139.html