Joint Stock Commercial Bank For Investment And Development Of Vietnam · HOSE:BID
Joint Stock Commercial Bank For Investment And Development Of Vietnam — BIDV — H1 2024 Earnings Presentation
33 slides from Joint Stock Commercial Bank For Investment And Development Of Vietnam's earnings presentation, August 2024
Slide 1: 1H2024 Financial Results
1H2024 FINANCIAL RESULTS [August] 2024
Slide 2: Contents
Contents 2 Section 1 Vietnam macroeconomic environment Section 2 BIDV Profile Section 3 Financial results Section 4 Growth strategy and targets
Slide 3: Vietnam Macro Economy
Cia sed « ttt Gide a LA p 162:
Slide 4: Macroeconomic Environment
Macroeconomic Environment 4 Average CPI increased by 4.1% YoY, still within the target range 1H24 GDP came in at 6.4% YoY of 4–4.5% Industrial production to further improve Retail sales of goods accelerated since May
Slide 5: Macroeconomic Environment
Macroeconomic Environment 5 Exports continued to recover Vietnam remains an attractive destination for FDI Public investment to be the key driver VN-Index: ROE and P/E band chart from 2014 to date
Slide 6: Monetary policies
Monetary policies 6 Credit growth expected to improve in 2H24 Vietnam Interbank Offered Rate (VNIBOR) Market liquidity decreased while interbank interest rates increased USD/VND exchange rate continued to be under a lot of pressure
Slide 7: Banking industry
Banking industry 7 Market share 2023 Lending rates (%) Deposit interest rates of banks have begun to increase again NPL
Slide 8: Vietnam banking development strategy
Vietnam banking development strategy 8 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% Imp
Slide 9: BIDV Profile
AAS BIDV PROFILE \ A oe typ
Slide 10: BIDV: A leading bank in Vietnam market
Differentiating BIDV 10 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 11: Milestones
Milestones 11 64 years 67 year of steady of steady growth growth Converted to BIDV JSC Charter Capital: VND 23,012 bn Charter Charter Charter capital raised to capital raised capital VND 14,600 bn to VND raised to Name changed to Began operating as a 34,187 bn VND Charter capital raised to Bank for
Slide 12: BIDV's Market Position
BIDV BIDV’s Market Position Total Assets Loans Deposits Equity Profit before Profit before Tax Market Cap Network NPL raitio Provision and Tax BVO a oo A oo EE 9 nie os a Ve EE oe ss es on 2MB ME oo oe not i asa 24 19999 so o> oo oes 0 120% WVPBank MD oo tee ca oe “oo +0 Ses = Stcombank ME eM all Se
Slide 13: Organization Chart
Organization Chart 13 14 ORGANIZATIONAL STRUCTURE GOVERNANCE CHART As of June 30th 2024 As of June 30th 2024
Slide 14: Head office, branches and subsidiaries
01 189 895 02 03 01 04 HEAD OFFICE 194 Tran Quang Khai Street, Ly Thai To Ward, Hoan Kiem District, Ha Noi BRANCHES IN VIET NAM TRANSACTION OFFICES DOMESTIC REPRESENTATIVE OFFICES Ho Chi Minh City and Da Nang City DIRECT NON-BUSINESS UNITS = BIDV Training and Research Institute = Information Technol
Slide 15: Awards and Accolades
Awards and Accolades 15 17 The best retail bank in Vietnam Best SME Bank in Vietnam Best Trade Finance Bank The Best Custodian Bank in Vietnam Vietnam Domestic FDI Bank of the Best Supply Chain Finance Bank The Best FX Bank in Vietnam Year The Best Core Banking Technology Vietnam Do
Slide 16: BIDV Shares
BIDV Shares 16 18 Ticker BID Peer Comparison Outstanding Volume (shares) 5,700,435,900 600,000 16 Free-floating ratio 4.01% 14 Foreign ownership 17.3% (15% by Hana) 500,000 12 VND 251 trillion (USD 9.7 billion) 400,000 Market Cap (VND tn) Rank the 2nd in Vietnam Stock 10 Market 300,000 8 Last closed
Slide 17: Financial Results
RX Wn Sy =) D Lu [a4 | < U Z < Zz iL LOLA ZY oe tipi
Slide 18: 1H24 Results: Solid growth
1H24 Results: Solid growth 20 18 Total Assets Profit Before Tax (VND billion) (VND billion) 11.1% 2,521,071 27,589 2,300,869 9.6% 2,120,677 26.2% 22,923 20.4% 1,761,696 1,490,105 1,516,686 15,548 13,602 10,876 9,214 2019 2020 2021 2022 2023 1H2024 2019 2020 2021 2022 2023 1H2024 Customer Deposits Cu
Slide 19: Loan portfolio focusing on Retail and SME components
Loan portfolio focusing on Retail and SME components 21 19 Trend in Gross Customer Loans (VND billion) Loan portfolio by customers 1,882,815 1,777,665 1H2024 11.0% 5.9% 1,522,222 1,354,633 Corporate 1,214,296 33.6% 65.6% 1,116,998 66.3% Retail 45.2% 65.1% 64.4% 62.9% 62.6% 5.3% 5.0% 5.4% 5.1% 6.6% 5
Slide 20: Diversified focusing on high-growth sector and good credit quality
Diversified focusing on high-growth sector and good credit quality 22 20 Loan portfolio by industry • NPL ratio according to Circular No.11 was at 1.32% (within the 1H2024 Agriculture, forestry & seafood target control level: ≤1.4% ). Others 3.8% Manufacturing and processing • Loan portfolio by indu
Slide 21: Deposits
Deposits 23 21 Customer Deposits by Term Deposit Breakdown (VND billion) 1,806,925 10.2% 1,704,690 6.0% FI 1H2024 18.2% 1,473,598 19.6% 12.3% 1,380,402 1,226,674 18.4% 19.4% 1,114,231 18.0% 16.0% 81.4% 53.4% Individuals 80.0% 81.1% 34.3% 81.4% 80.3% Corporate 82.9% 1.1% 0.5% 0.4% 0.5% 0.4% 0.4% 2019
Slide 22: Retail Banking
Retail Banking 27 22 Retail Deposits (VND billion) Retail Loans (VND billion) 964,993 834,749 9.1% 17.4% 876,843 10.1% 765,254 9.1% 763,814 650,423 690,437 625,666 634,127 530,250 425,879 374,526 2019 2020 2021 2022 2023 1H2024 2019 2020 2021 2022 2023 1H2024 Customer Base (thousand people) Retail L
Slide 23: Digital Banking
Digital Banking 23 BIDV’s digital banking vision 2030 - Become the leading financial institution in Southeast Asia with the best digital platform in Vietnam, and strive to be among the 100 largest banks in Asia. Digital Channels: Internet banking, Mobile banking and other channels for online transac
Slide 24: ESG and Green Finance
ESG and Green Finance 24 22 Outstanding Hydropower and Solar power Green credit growth projects financed by BIDV 4.24% 4.08% 3.65% 2,132 2,117 3.30% 1,718 1,643 2.70% 1,632 1,418 74,177 75,459 1.90% 54,382 44,012 585 32,060 489 491 401 21,173 168 91 2019 2020 2021 2022 2023 1H2024 2019 2020 2021 202
Slide 25: Financial Performance
Financial Performance 24 25 Total Operating Income Total Operating Expense (VND billion) (VND billion) 11.0% 73,013 69,480 9.8% 25,081 5.1% 62,494 22,715 10.4% 19,465 48,165 50,035 17,696 17,280 37,396 12,101 2019 2020 2021 2022 2023 1H2024 2019 2020 2021 2022 2023 1H2024 Net Interest Income Non-Int
Slide 26: Financial Performance
Financial Performance 25 26 Interest income accounted for bigger proportion in TOI Interest income from loans to customers is driven factor in NII From finance leases Investment Securities Other income From guarantee Others Trading Securities From debt securities From deposits 1H2024 1H2024 Trading
Slide 27: Key Ratios
Key Ratios 26 27 Note: - Source: Financial Reports of BIDV. - NIM = Net interest income/Average period earning assets. - RoAA = Net profit to shareholders/Average period assets; RoAE = Net profit to shareholders/Average period shareholders’ equity.
Slide 28: Historical Income Statement and Balance Sheet
Historical Income Statement and Balance Sheet 28 29 Source: Financial Reports of BIDV.
Slide 29: Growth Strategy and Targets
4 GROWTH STRATEGY AND TARGETS
Slide 30: 2024 Business Performance
2024 Business Performance 30 31 • ↑14% • ↑11% Credit Deposit Growth Growth NPL Profit Ratio before tax • ≤ 1.4% • Subject to approval by the competent authority
Slide 31: Strategy and growth targets
Strategy and growth targets 31 VISION Top 100 Largest Banks in Asia Leading Financial Institution in Southeast Asia Best Digital Platform in Vietnam 5 Core Values Intelligence Believe Integrity Detail Orientation Vitality Scale Maintain #1 position and grow market share while maintaining strong bala
Slide 32: Projected Shareholding Structure
Projected Shareholding Structure 31 32 STAGE 1: To 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 A
Slide 33: Important Notice
Important Notice 33 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.