SeABank posts 123.4 percent rise in profit before tax

The Southeast Asia Joint Stock Commercial Bank (SeABank) on January 8 announced a before-tax profit of more than 1.39 trillion VND (59.8 million USD) in 2019, jumping 123.4 percent from the previous year.

The bank said that this is the highest growth in profit it has recorded so far.

Total assets as of the end of 2019 jumped 12.04 percent to over 157.39 trillion VND. Outstanding loans to residents and economic sectors (Market 1) reached over 98.6 trillion VND, a year-on-year surge of 17.46 percent, while total capital mobilised from Market 1 was estimated at some 95.72 trillion VND, up 13.5 percent from 2018.

The bank witnessed good returns in the year, with that on asset (ROA) and of equity (ROE) rising 120.6 percent and 61.69 percent to 0.75 percent and 12.03 percent, respectively.

Most recently, the bank completed the early redemption of all special bonds at the Vietnam Asset Management Company (VAMC), thereby helping the bank proactively monitor and handle bad debts. Besides, the move is significant for the bank to increase transparency in its financial statements, creating momentum for profit growth in subsequent years.

With the redemption of bonds before their expiry dates, SeABank has become one of the first banks in the country to complete the settlement of special bonds at VAMC. The total value of special bonds bought by SeABank from VAMC in 2019 was more than 3.5 trillion VND.

Last year, the bank upped its charter capital to nearly 9.37 trillion VND to improve its financial capacity. SeABank currently has a network of 167 transaction points, serving nearly 1.2 million customers nationwide.

Also in the year, the bank was recognised by the State Bank of Vietnam as having met the minimum capital adequacy ratio in accordance with Basel II international standards. Meanwhile, Moody's, a prestigious credit institution in the world, gave the bank a B1 long-term rating, reflecting the lender's good financial capacity and development potential.

Source: Vietnam News Agency