HDBank saw profit of nearly $206 million in Q1

HDBank saw profit of nearly $206 million in Q1

HDBank released its first-quarter financial statements on April 28, revealing solid business performance and reaffirming its status among the sector’s most efficient banks.

The first quarter (Q1) also marked the first appearance of HDBank's modern, universal, and sustainable financial banking group model, a strategic imperative for its 2025-2030 development.

HDBank reported a profit before tax of VND5.35 trillion (nearly $206 million) for the period, a 33 per cent increase on-year. Return on equity continued to be maintained at a high level of just under 30 per cent, placing it among the sector’s top performers. Consolidated total operating income reached VND9.2 trillion ($354 million), demonstrating sustainable growth fuelled by strong core operations and the ongoing success of its digital business performances.

As of March 31, HDBank's total assets reached VND711.3 trillion ($27.4 billion), marking an 18 per cent increase on-year. Customer deposits reached VND465.3 trillion ($17.9 billion), a 22.8 per cent increase on-year, demonstrating strong customer confidence and the bank's strong market position. The total outstanding loan balance reached VND450 trillion ($17.3 billion), an almost 20 per cent increase on-year, strategically directed towards key economic sectors including agriculture, small and medium-sized enterprises (SMEs), supply chain finance, Tier 2 cities, and rural agricultural areas. The capital adequacy ratio according to Basel II standards was at around 15 per cent, a high level within the sector.

HDBank continued to accelerate the diversification of its income structure towards sustainability in Q1, increasing the proportion of non-interest income, in particularly, from financial services, non-credit services, and investment activities. This demonstrates that the strategy of integrating fintech and a sustainable business model is yielding clear results.

The bank further advanced its strategy of income diversification as evidenced by the increasing share of non-interest income derived primarily from financial services, non-credit activities, and investments. This underscores the effectiveness of its strategy to integrate technology within a sustainable business framework.

HDBank's digital business operations also sustained robust growth in Q1. The number of individual customers saw a 38 per cent increase, and financial transactions conducted via digital platforms grew by 55 per cent on-year. Accelerating digitalisation is also a driving force for HDBank to further optimise operations, reducing the cost-to-income ratio to 27.4 per cent, while enhancing the customer experience and personalising the customer journey.

HD SAISON Finance Company, a subsidiary of HDBank, sustained its leading position in the market, delivering a profit before tax of VND306 billion ($11.7 million) in Q1, an 18.4 per cent increase on-year, and the most successful first quarter in the past few years.

The first three months of 2025 marked a pivotal milestone for HDBank with the successful restructuring of DongA Bank, resulting in the official transformation of Vikki Digital Bank – a next-generation digital bank catering to highly digitalised customers.

Vikki Digital Bank holds a strategic position within the modern and universal Financial Banking Group model – a comprehensive model encompassing commercial banking, consumer finance, investment banking, insurance, fund management, and digital platforms. This integrated model harnesses technological strength, a widespread network, and comprehensive financial solutions to effectively serve over 30 million existing and potential customers.

Strengthened by positive growth metrics and guided by a sustainable development strategy, HDBank continues to earn recognition and high regard from reputable organisations. Financial consultancy The Asian Banker acknowledged HDBank as the "Best Financial Service Provider for SMEs in Vietnam".

Furthermore, the 2025 Sao Khue Awards recognised HDBank's advancements in fintech through its pioneering digital solutions, including the eCASH cash collection service and smart medical kiosks – innovative digital offerings closely aligned with enhancing customer experience and contributing to community value.

VIR