Joint Stock Commercial Bank For Investment And Development Of Vietnam · HOSE:BID
Joint Stock Commercial Bank For Investment And Development Of Vietnam — BIDV — Investor Presentation (November 2022)
34 slides from Joint Stock Commercial Bank For Investment And Development Of Vietnam's investor presentation, November 2022
Slide 1: Solid Foundation for Future Value
SOLID FOUNDATION FOR FUTURE VALUE November 2022
Slide 2: Contents
Contents 2 SECTION 1 – VIETNAM MACRO ECONOMY • Macroeconomic Highlights ……………….…………………………….….... p.3 • Banking Industry Review ……………………….………………………….... p.6 SECTION 2 – BIDV OVERVIEW • BIDV Profile ……………………………………………………………......... p.10 • BIDV Performance in 2017 – 9M2022 ……..………………………………. p.20 SECTIO
Slide 3: Vietnam Macro Economy: Macroeconomic Highlights
1 VIETNAM MACRO ECONOMY Macroeconomic Highlights
Slide 4: Macroeconomic Environment
Macroeconomic Environment 4 Vietnam’s GDP growth expected to reach 6.5% - 7.2% in 2022 Vietnam’s CPI consensus to be below 4% target in 2022 IIP for the manufacturing sector increased by 9.6% YoY Vietnam is the region’s fastest-growing retail market
Slide 5: Macroeconomic Environment
Macroeconomic Environment 5 Vietnam recorded a trade surplus of US$9.4bn in 10M22 FDI disbursement grew at a steady pace in 10M22 Public disbursement accelerated further VN-Index is positioned in quite attractive valuation area
Slide 6: Vietnam Macro Economy: Banking Industry Review
1 VIETNAM MACRO ECONOMY Banking Industry Review
Slide 7: Monetary policy
Monetary policy 7 SBV increased interest rates to narrow the gap with foreign rates Deposit rate Level of VND depreciation has been modest amid strong US dollar Vietnam’s FX reserves fell significantly
Slide 8: Banking industry
Banking industry 8 2012 2022 Market share 33% 24% 33% 44% 43% 50% 40% 48% 52% 48% 42% 47% 46% 41% 40% 42% 45% 41% 40% 42% 29% 16% 12% 11% 15% Total Assets Lending Deposits Charter Captial Profit after Tax State-owned Commercial Banks Joint Stock Commercial Banks Other Source: SBV Credit growth (YTD)
Slide 9: Banking sector development strategy
Banking sector development strategy 9 2-3 commercial banks in top 100 largest banks in Asia (total assets) 3-5 banks listed their shares on foreign stock exchanges Increase non-credit income proportion of total income to 16-17% Mục tiêu đến 2025 năm Targets 2025 NPL of the whole sector below 3% Impr
Slide 10: BIDV Overview: BIDV Profile
BIDV™ 2 BIDV OVERVIEW BIDV Profile
Slide 11: Differentiating BIDV: A leading bank in Vietnam market
Differentiating BIDV 11 10 A le a ding ba nk in Vietna m ma r ket Customer base Financial Capacity # 1 by Customer Loans # 1 by Total Assets # 1 by Customer Deposits # 2 by Market Cap Payment system BIDV Network • Settlement bank for Vietnam stock market # 2 by National Network Coverage • The only s
Slide 12: Milestones
Milestones 12 11 64 years 65 year of steady of steady growth growth Converted to BIDV JSC Charter Capital: VND 23,012 bn Charter capital raised to VND 14,600 bn Charter capital raised to VND 34,187 bn Charter capital Name changed to Began operating as a Charter capital raised to raised to VND Bank f
Slide 13: Mission, Vision & Core Value
Mission, Vision & Core Value 13 12 Committe Committed dto to delivering delivering thevalue the best bes t va lue Mission • Best services for customers • Best value to shareholders Customer Innovation Orientation • Professional working environment for employees • Pioneer in community development act
Slide 14: 2021 – 2025 Strategy
2021 – 2025 Strategy 13 14 • Sound financial capacity as a basis for growing operational scale, increasing market share and 1 maintaining a leading position in the banking market • Sustainable performance, improving the quality of assets, increasing the proportion of non-interest income. providing t
Slide 15: Organization Chart
Organization Chart 15 14 ORGANIZATIONAL STRUCTURE GOVERNANCE CHART As of September 30th 2022 As of September 30th 2022
Slide 16: Diversified Business
Diversified Business 16 15 Extensive Domestic Network Coverage for both Traditional and Modern International Expansion Distribution Channels* 189 Domestic Branches 01 Oversea Branch 871 Transaction Offices 1,900 ATMs, CRMs, STMs 36,000 POS Internet Banking Mobile Banking • RMA with 1,100 banks and m
Slide 17: BIDV's Market Position 9M2022
BIDV’s Market Position 9M2022 16 17
Slide 18: Achievements
Achievements 18 17 Best Payment Bank in Vietnam Top 10 sustainable companies Best SME 2018-2020 Top 10 biggest Vietnam 2018-2020 The best retail bank in Vietnam companies Top 300 Global Banking Brand Best Cash Management Bank in Vietnam Top 4 most valued brands in Vietnam Best Transactio
Slide 19: BIDV Shares
BIDV Shares 19 18 Ticker BID Peer Comparison Outstanding Volume (shares) 5,058,523,816 Free-floating ratio 4.01% Foreign ownership 16.89% (15% by Hana) VND 174.8 trillion (USD 7.05 billion) Market Cap (VND tn) Rank the 5th in Vietnam Stock Market Last closed price 34,550 VND (October 31st 2022) 52-w
Slide 20: BIDV Overview: BIDV Performance
2 BIDV OVERVIEW BIDV Performance
Slide 21: Steady balance sheet growth
Steady balance sheet growth 20 21 Total Assets Profit Before Tax (VND billion) (VND billion) 2,048,953 20,600 10.0% +16.3% 2,923 1,761,696 +19% 1,489,957 1,516,686 +51% 1,312,886 13,602 1,202,283 10,876 9,473 9,214 8,665 17,677 Series 2017 2018 2019 2020 2021 9M2022 2017 2018 2019 2020 2021 9M2022 C
Slide 22: Loan portfolio focusing on Retail and SME components
Loan portfolio focusing on Retail and SME components 21 22 Trend in Gross Customer Loans (VND billion) Loan portfolio by customers 1,494,904 9M2022 1,354,633 10.4% 12% 1,214,296 1,116,998 Corporate 988,739 35.2% 64.6% 866,885 64.4% Retail 43.1% 62.9% 62.6% 61.8% 58.0% 5.2% 5.8% 5.4% 7.2% 6.6% 9.4% 3
Slide 23: Retail Banking
Retail Banking 27 23 Retail Deposits (VND billion ) Retail Loans (VND billion) 634,240 7.2% 723,998 690,437 530,250 19.6% 4.9% 625,666 634,127 22.1% 571,204 523,643 425,879 374,526 308,337 238,527 2017 2018 2019 2020 2021 9M2022 2017 2018 2019 2020 2021 9M2022 Customer Base (thousand people) Retail
Slide 24: Digital Banking
Digital Banking 24 BIDV’s digital banking vision 2030 - Become the leading financial institution in Southeast Asia with the best digital platform in Vietnam, Ratio of digital transactions to total transactions and strive to be among the 100 largest banks in Asia. (%) Digital Channels: Internet banki
Slide 25: ESG and Green Finance
ESG and Green Finance 25 22 Outstanding Hydropower and Solar Green credit growth power projects financed by BIDV Structure of renewable power loans The scale of green credit outstanding at BIDV as of 30/09/2022 reached VND 48,345 billion, nearly 2.8 times higher than 2018, achieving an average gro
Slide 26: Diversified focusing on high-growth sector and good credit quality
Diversified focusing on high-growth sector and good credit quality 22 26 Loan portfolio by industry • Credit quality was improved with NPL ratio according to Circular 2021 Agriculture, forestry & seafood Mining No.11 was at 1,09%. Others 4.1% Manufacturing & processing • Loan portfolio by industry i
Slide 27: Deposits
Deposits 23 27 Customer Deposits by Term Deposit Breakdown (VND billion) 1,380,402 1,414,224 +2.5% FI 9M2022 +13% 1,226,674 18.4% 19.4% 1,114,231 14.2% 18.0% 989,671 16.0% 859,985 16.4% 18.6% 46.7% Individuals 80.3% 81.2% 82.9% 81.4% 82.9% 80.7% 39.0% Corporate 0.7% 0.8% 1.1% 0.5% 0.4% 0.4% 2017 201
Slide 28: Financial Performance
Financial Performance 24 28 Total Operating Income Total Operating Expense (VND billion) (VND billion) 62,395 5.7% 12.5% 19,361 17,280 17,696 50,035 51,913 48,165 15,504 16,167 44,483 14,970 39,017 2017 2018 2019 2020 2021 9M2022 2017 2018 2019 2020 2021 9M2022 Net Interest Income Non-Interest Incom
Slide 29: Financial Performance
Financial Performance 25 29 Non-interest income accounted for bigger proportion in TOI Interest income from loans to customers is driven factor in NII From finance leases From guarantee Others Investment income Other income 2021 From debt securities From deposits 2021 Securities income 6% 2% 10% 2%
Slide 30: Key Ratios
Key Ratios 26 30 Source: BIDV Financial Reports
Slide 31: Update 9M2022
Update 9M2022 29 31 Source: BIDV Financial Reports
Slide 32: Capital Raising Plan: Overall Plan
3 CAPITAL RAISING PLAN Overall Plan
Slide 33: Projected Shareholding Structure
Projected Shareholding Structure 31 33 STAGE 1: 2022 STAGE 2: To 2025 STAGE 3: From 2030 • IPO finished on December, 2011 • Issuing shares to foreign investors • Additional public offering • Transforming to Joint Stock (total up to 30%): • Issuing additional shares to foreign Commercial Bank in Apri
Slide 34: Important Notice
Important Notice 34 32 This Presentation (the Presentation) has been prepared by IR Team - BIDV for the purpose of setting out certain confidential information in respect of BIDV’s business activities and strategy. This Presentation is for the exclusive use of the recipients to whom it is addressed.