VPBank earns spot in Fortune Southeast Asia 500 list
VPBank earns spot in Fortune Southeast Asia 500 list
VPBank has been named one of the 500 largest companies in Southeast Asia, according to the latest Fortune 500 ranking dedicated to the region. This recognition highlights VPBank's significant presence and influence in the financial sector of Southeast Asia.
VPBank tower in Hà Nội City. The lender has been named one of the 500 largest companies in Southeast Asia. — Photo courtesy of VPBank |
Ranked 91st on the Fortune Southeast Asia 500 list, VPBank stands alongside other prominent financial institutions in the region. Among these are Singapore’s DBS, UOB, and OCB, Malaysia’s Maybank and CIMB and Thailand’s Kasikornbank and Bangkok Bank.
VPBank shares the listing honour with other notable Vietnamese banks such as Vietinbank, BIDV, and Techcombank, underscoring the robust nature of Việt Nam's financial sector.
In 2023, VPBank's revenue, calculated according to Fortune's formula, reached approximately US$4.05 billion. The bank's after-tax profits were nearly $419 million and its total assets amounted to $33.7 billion, as of December 31, 2023. These figures reflect VPBank's solid financial performance and its ability to navigate the challenges of the banking industry effectively.
This year marks the inaugural publication of the Fortune Southeast Asia 500 ranking. The list is designed to recognise the largest companies in the region based on their revenue for the fiscal year 2023.
The rankings are testament to the rising significance of the Southeast Asian economy with global supply chain shifts and the rapid growth of major corporations in the region.
The Fortune Southeast Asia 500 now joins the prestigious series that includes the Fortune 500, Fortune Global 500 and Fortune Europe 500.
The Fortune Southeast Asia 500 ranking encompasses companies from seven Southeast Asian countries: Indonesia, Thailand, Malaysia, Singapore, Việt Nam, the Philippines and Cambodia.
Việt Nam is well represented with 70 enterprises featured on the list. These companies span various sectors, including finance-banking, real estate, energy, food, heavy industry, aviation and retail. To qualify for inclusion, companies must have a minimum revenue threshold of over $460 million.
The banking sector emerges as the second-largest industry in Southeast Asia, according to the Fortune Southeast Asia 500 ranking. The total revenue generated by 67 financial institutions in the region reached $242 billion, second only to the energy sector, which contributed nearly $591 billion in revenue in 2023. This highlights the critical role that the banking sector plays in the economic landscape of Southeast Asia.
VPBank, as one of the earliest established credit institutions in Việt Nam, has a long-standing history and reputation. It is currently a leading commercial bank in terms of operational efficiency and business profitability. The bank has carved out a strong presence in the retail and SME segments and it is gradually expanding into the foreign direct investment (FDI) customer segment. This strategic expansion aims to tap into the influx of foreign investment flowing into Việt Nam in recent years.
At a VPBank transaction room. The bank's equity reached approximately VNĐ140 trillion ($5.7 billion) in 2023, ranking it second in the Vietnamese banking system. — Photo courtesy of VPBank |
In 2023, VPBank achieved a significant milestone in capital growth. The bank's equity reached approximately VNĐ140 trillion ($5.7 billion), ranking it second in the Vietnamese banking system. This achievement was bolstered by the sale of a 15 per cent stake to strategic shareholder Sumitomo Mitsui Banking Corporation (SMBC) from Japan, reflecting international confidence in VPBank's potential and stability.
By the end of the first quarter of 2024, VPBank reported consolidated pre-tax profits exceeding VNĐ4.1 trillion ($165 million). This represented a nearly 66 per cent increase from the previous quarter and a 64 per cent rise from the same period in the previous year. Such impressive financial performance underscores VPBank's robust growth trajectory and its ability to deliver strong returns to its stakeholders.
VPBank's inclusion in the Fortune Southeast Asia 500 list is not just a recognition of its past achievements but also a testament to its future potential. The bank's strategic initiatives, coupled with its strong financial performance, position it well to continue playing a pivotal role in the financial landscape of Southeast Asia.
