MSB earns VND2,000 billion in profit by selling its consumer finance business
Vietnam Maritime Bank (MSB) plans to divest all of its capital at FCCOM – its consumer finance business for more than $100 million and record a profit of VND1,800-2,000 billion next year.
“At least 3 investors are interested in working with the bank for the divestment of FCCOM. The bank will sign a contract to transfer all shares of this company within November to focus on developing the retail banking business” Mr. Nguyen Hoang Linh, the CEO at MSB said in the investors meeting last Friday.
“The transaction will be completed within next year if nothing changed. The estimated deal value will be not less than US$100 million, so the bank can collect VND1,800-2,000 billion in profit.” the bank’s CEO told Vietnam Insider.
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This revenue can be the main driver for the target of 30% revenue growth and pre-tax profit in 2022 of MSB.
For the first 9 months of 2021, MSB has VND 4,523 billion of net interest income. Income from service activities is 5 times higher than the same period last year thanks to the growth of insurance sales, according to its financial statements. Profit before tax of the bank reached VND 4,128 billion, 2.5 times higher than the same period last year and higher than the whole year profit target of VND3,280 billion. By the end of October, profit before tax of the bank has reached VND 4,600 billion and expected to reach VND 5,000 billion by end of the year.
As of September 30, total asset of MSB reached more than VND195,500 billion, up 10% compared to the beginning of the year and exceeding the plan of VND190,000 billion. Deposits balance increased by 9% and CASA balance reached more than VND 29,000 billion, up nearly 14% and expected to reach VND32,000 billion at the end of the year. NPL ratio was at 1.31%, down slightly from the previous quarter.
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