VIETNAM PROSPERITY BANK 9MFY2017 - Results Presentation to Investors and Analysts Oct 2017 1
AGENDA Overview of VP Bank 9M FY 2017 Performance Strategic plans & targets
Overview of VP Bank 9M FY 2017 Performance Strategic plans & targets
VPBANK AT A GLANCE Full coverage of all banking segments Highly centralized and specialized VND 254 trillion total assets organization model Around 4.5 million active customers Over 22,5000 employees 9 business segments 215 branches and 77 SME 2 subsidiaries centers&hubs Over 500 branded ATMs/CDMs , nearly 17,000 linked ATMs 4 14
VPBANK AT A GLANCE ▪ ▪ Renamed Vietnam Total assets: IPO – listing 1.64 Established as Acquired Vinacomin Prosperity Joint Stock over VND 229 million shares on Vietnam Joint Stock Finance and renamed Commercial Bank trillion HOSE. Commercial Bank for ▪ VPBank Finance ▪ Engaged McKinsey for PBT almost Chartered capital : Private Enterprises Company overhauling business and VND 5,000 VND 15.706 billion operating models billion 1993 2006 2010 2012 2013 2014 2015 2011 2016 Aug 2017 ▪ Launched Established two subsidiaries: Announced Household VPBank Securities and 2012 - 2017 (Commcredit) VPBank Asset Management strategy, and Digital focusing on Banking Retail and SME businesses ▪ Sold VPBS 5 15
FOUR CONSUMER-RELATED PILLARS UNDERLYING BUSINESS GROWTH VPBANK Consumer-related products 1 2 3 4 5 6 7 8 9 Corporate Household Financial Consumer Commercial Digital and Retail Banking Markets / FI & Finance (FE SME Banking Banking Banking VP Direct Investment Banking (Comm Transaction Credit) (CMB) Services Banking credit) Banking (CIB) Core focus on Includes FE Division Targets micro Serves Launched Launched in Targets VPBank’s retail bank Credit, a formed in companies VPBank’s digital March 2017 enterprise capital lending and standalone July 2015 to and SMEs corporate banking as a s with markets Aims to deposit consumer target the through a customers separate annual division become a products and finance self- network of with annual business revenues performs FX, digital bank services business employed SME centers revenues segment in above monetary operated to focusing on mass ranging from 2015 to VND1,600 and bond Key loan Offers a full international the lower to segment VND400bn to digitize billion market products: suite of standards upper mass VND1,600bn existing transactions home loan, Launched banking Focuses markets banking auto loan, Commcredit products Customers on Handles process and consumption Key to include expandin primarily Won the services loan, business products: emphasize private and g transaction “Vietnam loan, UPL, cash loans, its focus on local Offers corporate banking SME Bank of credit card two-wheeler serving local enterprises as standard deposits services for the Year” loans, communities well as banking and domestic Promote award in consumer medium- products selectively and Affluent 2015 1 durables scale State- through e- growing international Banking & loans, credit owned banking its loan financial Credit Card card enterprises system portfolio institutions accessible from the web and mobile apps Partnerships with FinTech companies 16 6
NETWORK DISTRIBUTION Distribution network Distribution network - bank branches Physical distribution channels Established presence throughout Vietnam Over 22,500 employees 215 branches and 77 SME centers&hubs North: 103 Over 500 branded ATMs/CDMs , nearly 17,000 linked ATMs Number of Hanoi: 64 Transaction Transaction Channels points at points at Sales Staff Red River Delta: 18 31.12.2016 30.9.2017 + sales agents North Central coast: 37 Retail branches 215 215 3,985 SME centers and hubs 72 77 1,088 Household centers 130 236 1,242 (In thousands) (Commcredit) South Central coast: 13 Corporate banking 4 4 123 branches Consumer finance (FE Central highlands: 3 8,389 12,606 9,744 Credit) ATM/CDM 439/44 477/104 n/a Alternative channels n/a n/a 930 Southeast: 7 VPBank’s network is organized following a “hub” and Ho Chi Minh City: 45 Mekong River Delta: 12 “spoke” structure that allows the Bank to cover a wider area and reach more customers 7 7
CUSTOMER BASE GROWTH Active customers (thousands) Number of credit cards, active rate and market share (thousands,%) 236,964 80.00% 250,000 67.10% 64.40% 62.40% 70.00% 4,565 55.20% 200,000 60.00% 144,285 3,290 50.00% 150,000 40.00% 84,066 2,088 100,000 30.00% 44,569 1,305 20.00% 50,000 3.80% 2.90% 1.90% 635 10.00% 353 0.00% - 2014 2015 2016 2017 2012 2013 2014 2015 2016 Q3/17 Number of cards Active rate Market share * Using figures at Bank level Spending per active card per month (mil VND) Digital user and online transaction (user,%) 8.5 2016 2017 Digital user 5.5 296,118 483,760 4.5 Transaction online 27% 41% 2015 2016 9M 2017 * Using figures at Bank level * Using figures at Bank level
Overview of VP Bank 9M FY 2017 Performance Strategic plans & targets
9M FY 2017 - PERFORMANCE INDICATOR HIGHLIGTS Unit: bill VND V Budget Progress Y-o-Y 9M FY P&L 2017 status growth 2017 17,575 48% 23,500 75% TOI 14,944 41% 19,013 79% NII 6,319 33% 8,760 72% OPEX 5,620 42% 7,547 74% Provision expense 5,635 79% 7,192 78% PBT 16.7% 39% CAR Cir 36 13.5% 60% CAR Basel II Loans to customers Deposits from customers Vs budget Vs budget 2016 2016 158,696 2017 2017 172,438 + 19,627 + 22,537 Q4/16 Q4/16 + 11% + 14% 181,233 87% 91% 192,065 Q3/17 Q3/17 * Including Corporate bonds Total assets 2016 - NII increased by 41% y-o-y Vs budget + 25,076 2017 - PBT increased 77% 228,771 + 11% - CAR under Cir 36 & Basel II improved to 15.7% & 13.5%, much further than the threshold regulated by Q4/16 SBV thanks to the increase at VND 6,4 trillion from 253,847 83% IPO Q3/17 - Equity multiplier is 9.2%, much lower than others especially state-owned joint-stock banks
SOLID ASSET GROWTH DYNAMIC Summary (bil VND) Asset growth (bil VND) 23% 253,847 955 7,757 4,808 253,847 248,714 228,771 229,847 205,740 205,740 36,997 Q3 2016 Loans to Securities Interbank Others Q3 2017 customers * Outstanding is calculated as net after provision Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Asset proportion (bil VND) Asset mix (%) 8% 8% 9% 8% 10% 18% 3% 3% 4% 4% 2% 24% 23% 24% 26% 25% 253,847 65% 65% 64% 62% 62% 82% Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 11 Bank FE Credit Loans to customers Securities Interbank Others
LOAN PORTFOLIO BREAKDOWN (*) Summary (bil VND) Loan growth (bil VND) 27% 14% 23% 181,233 176,650 165,821 158,696 143,098 140,277 140,028 131,002 181,233 126,591 114,500 77% Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Bank FE Conso Bank By type (bil VND) By segments (bil VND) Inner circle : Q4 2016 + 9,313 Outer circle : Q3 2017 49,603 118,886 62,347 Q3 2017 + 8% + 31,436 58,502 + 31% + 13,224 + 27% 100,194 109,573 49,123 Q4 2016 - 8,898 131,630 - 15% Secured Unsecured 12 Strategic segments Others * Including Corporate bonds
FUNDING MIX Funding mix Deposit & valuable papers growth (bil VND) 16% 195,443 192,065 186,405 172,438 59.1% 59.4% 60.7% 63.8% 165,770 161,955 162,836 68.8% 160,706 150,633 144,002 23.9% 30.0% 29.9% 28.0% 21.3% 11.6% 5.2% 6.2% 4.4% 9.7% 5.6% 4.7% 3.8% 3.8% 0.2% Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Customer deposits Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Valuable paper issued Conso Bank Interbank funding Deposits & valuable papers by term and customers at Q3 2017 LDR & Short term funding for mid-long term loans (Bank) 87% 84% 83% 82% 78% 49.2% 38.6% 35.3% 46% 33.5% 49% 29.3% 51% 54% Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 LDR Short term fundings for mid& long-term loans Short term Mid& Long term Retail Corporate 13
STRONG CAPITAL BASE Number of shares (Million) Equity and Chartered Capital (Bil VND) 27,624 165 19,523 18,759 17,178 15,782 15,706 10,765 10,765 1,571 9,181 9,181 1,406 Sharesbefore IPO Shares raised Shares after IPO Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Equity Chartered Capital Capital Adequacy Ratios Equity multiplier 16.7% 13.2% 13.0 13.3 12.7 12.3 12.2% 12.0% 11.3% 13.5% 9.2 10.2% 9.6% 9.5% 8.5% Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 CAR Cir 36 CAR Basel II 14
TOI YTD TOI /Vs. Target 2017 (bil VND) TOI (bil VND) 6,277 5,891 75% 5,406 9M2016 5,013 + 5,724 bil 4,176 + 48% YTD/2017 Budget 17,575 4,581 3,161 2,956 2,069 2,514 2,101 2,717 2,891 3,013 3,320 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q3/17 Q1/15 TOI Conso TOI Bank TOI FE TOI by segments (bil VND) OPEX, Provision expense & PBT over TOI Inner circle : Q3 2016 Outer circle : Q3 2017 Q3 2017 37% 26% 37% 1,381 Q2 2017 38% 39% 23% 1,044 Q1 2017 33% 31% 36% Q4 2016 37% 27% 36% 3,132 Q3 2016 47% 16% 38% 4,897 0% 20% 40% 60% 80% 100% 120% OPEX Provision expense PBT Strategic Segments Others 15
Recommend
More recommend
