VietinBank posts consolidated profit of 614b dong in Q2/2012

Vietnam Commercial Joint Stock Bank of Industry and Trade (VietinBank-CTG) has recently announced its consolidated fiscal statement in the second quarter of this year with a year-on-year decline of over 8 percent in net interest income, to reach 4.68 trillion dong.

The bank’s profit from forex trading and capital contribution and stake purchase decreased from the same period last year. Meanwhile, the lender’s profit saw year-on-year increase in services, securities trading and other activities.

Due to 15 percent decrease in operating costs, VietinBank gained a profit of nearly 2.3 trillion dong before spending on the credit risk provision, rising 6.6 percent from Q2/2011.

However, due to spending nearly 1.5 trillion dong on credit risk provision fund while in last Q2/2012, the bank received a provision refund of 611 billion dong, in Q2/2012, CTG’s profit declined 70 percent on year. Its after tax profit was 614 billion dong.

Cumulatively, in Jan-Jun, the lender’s net interest income reached over nine trillion dong. Operating costs were nearly 5.4 trillion dong. After tax profit was 2.154 trillion dong, down 26 percent on year.

The bank’s credit growth in H1/2012 was negative 2.99%. Its bad debt ratio as of June 30 was 2.5 percent while the ratio by the end of 2011 was 0.75%. After six months, the bank’s bad debts increased nearly five trillion dong.

 

Category: Finance