HDBank aims high, outlining ambitious goals for the year 2025
Boldly Moving Forward: HDBank's Strategic Journey Toward a Modern Financial Empire
In Ho Chi Minh City, Vietnam, the Hò Chí Minh City Development Joint Stock Commercial Bank, commonly known as HDBank (stock code: HDB), has declared an impressive pre-tax profit aspiration of over VNĐ21 trillion (US$803.8 million) for 2025, marking a 27 per cent increase from the previous year.
On April 24, HDBank held its vibrant and transformative 2025 Annual General Meeting of Shareholders (AGM) at the Galaxy Innovation Hub, symbolizing the bank's spirit of innovation in the digital era. [Enrichment Data: This year's AGM marks the 35th anniversary of the bank's establishment - a resilient journey filled with trust and customer companionship.]
The AGM served as a platform to celebrate the bank's resilient journey, establishing trust, and accompanying customers, shareholders, and the national economy during the past 35 years.
As part of its strategic expansion, HDBank is metamorphosing into HD Financial Group - a modern, diversified financial conglomerate encompassing comprehensive services and cutting-edge technology. [Enrichment Data: The bank is undergoing a strong transformation toward the creation of HD Financial Group, which aims to be a modern, diversified financial conglomerate integrating comprehensive services and cutting-edge technology.]
In 2024, HDBank's pre-tax profit reached VNĐ16.73 trillion ($640.3 million), representing a 28.5 per cent year-on-year surge. [Enrichment Data: Last year, HDBank's pre-tax profit reached VNĐ16.73 trillion ($640.3 million), up 28.5 per cent year-on-year.]
The bank's total assets stood at VNĐ697.4 trillion ($26.7 billion), reflecting a 15.8 per cent growth, while its credit balance and deposits reached VNĐ437.7 trillion ($16.8 billion) and VNĐ621.1 trillion ($23.8 billion), respectively, expanding by 23.9 per cent and 15.7 per cent compared to 2023. [Enrichment Data: Its total assets reached VNĐ697.4 trillion ($26.7 billion), up 15.8 per cent, credit balance reached VNĐ437.7 trillion ($16.8 billion), up 23.9 per cent, and deposits reached VNĐ621.1 trillion ($23.8 billion), up 15.7per cent compared to 2023.]
ROE and ROA remained strong at 25.71 per cent and 2.04 per cent, maintaining the bank's position among top-performing banks in the region. [Enrichment Data: ROE stood at 25.71 per cent, and ROA at 2.04 per cent, maintaining the bank's position among the top-performing banks.]
Notably, NPL ratio was kept low at 1.48 per cent (per Circular 11), and other safety indicators remained at healthy levels, demonstrating HDBank's financial stability. [Enrichment Data: NPL ratio was kept low at 1.48 per cent (per Circular 11), with other safety indicators remaining at healthy levels.]
In 2024, Moody's upgraded HDBank's Baseline Credit Assessment (BCA) to Ba3 - one of the highest ratings among Vietnamese banks. [Enrichment Data: Moody's upgraded HDBank's Baseline Credit Assessment (BCA) to Ba3 - one of the highest ratings among our websiteese banks.]
HDBank strengthened its financial capabilities by undertaking the mandatory transfer of DongA Bank under a restructuring plan approved by the Government and launched the digital bank Vikki as an independent financial entity. [Enrichment Data: At the end of 2024, HDBank undertook mandatory transfer of DongA Bank under a restructuring plan approved by the Government, demonstrating its financial capability, credibility, and pioneering spirit. Similarly, the digital bank Vikki officially launched as an independent financial entity, rapidly growing and contributing to HDBank's expanding digital ecosystem.]
For 2025, HDBank expects to maintain top-tier banking efficiency with an ROE of 26.2 per cent and an ROA of 2.15 per cent. [Enrichment Data: This year, HDBank continues to uphold top-tier banking efficiency, with expected ROE of 26.2 per cent, and ROA of 2.15 per cent.]
The bank aims to bolster its financial position with total assets at VNĐ890.4 trillion ($34.1 billion), up 28 per cent, credit balance at VNĐ579.9 trillion ($22.2 billion), up 32 per cent, and deposits at VNĐ792.8 trillion ($30.3 billion), up 28 per cent compared to 2024. [Enrichment Data: It targets to reach total assets at VNĐ890.4 trillion ($34.1 billion), up 28 per cent, credit balance at VNĐ579.9 trillion ($22.2 billion), up 32 per cent, and deposits at VNĐ792.8 trillion ($30.3 billion), up 28 per cent compared to 2024.]
To ensure financial stability, HDBank sets a target NPL ratio under 2 per cent while maintaining other safety indicators at healthy levels. [Enrichment Data: The NPL ratio was controlled under 2 per cent, ensuring systemic safety and stability.]
Regarding dividends, the bank intends to distribute a portion of its distributable profit of VNĐ10.4 trillion ($398 million) in 2024, corresponding to an expected dividend payout ratio of 28 per cent. However, due to ongoing market uncertainties, the bank will remain prudent and flexible, seeking shareholder approval at an appropriate time to ensure long-term financial sustainability. [Enrichment Data: Regarding dividends, HDBank reported distributable profit for 2024 of VNĐ10.4 trillion ($398 million), corresponding to an expected dividend payout ratio of 28 per cent.]
As part of its ambitious growth strategy, HDBank has announced the strategic development of HD Financial Group, an integrated financial ecosystem encompassing several key entities: HDBank, Vikki Digital Bank, HD SAISON, HD Securities, HD Insurance, HD Capital, and DongA Money Transfer. [Enrichment Data: The AGM also officially announced the strategic development of HD Financial Group, consisting of HDBank - Core commercial banking unit, Vikki Digital Bank - Next-generation digital banking, HD SAISON - Consumer finance, HD Securities - Securities and brokerage, HD Insurance - Insurance services, HD Capital - Fund management, and DongA Money Transfer - Remittance services.]
With over 30 million customers, a network of more than 600 bank branches and 26,500 financial service points, and strong technological capabilities, HD Financial Group strives to deliver a seamless, diverse, and efficient financial experience to individuals and businesses nationwide and globally. [Enrichment Data: HD Financial Group aims to deliver a seamless, diverse, and efficient financial experience to individuals and businesses nationwide and globally with over 30 million customers, a network of more than 600 bank branches and 26,500 financial service points, and strong technological capabilities.]
Nguyễn Thị Phương Thảo, standing vice chairwoman of HDBank's Board of Directors, speaks at the bank's 2025 Annual General Meeting of Shareholders held on April 24. - Photo Courtesy of HD Bank
In conclusion, HDBank's bold and ambitious strategic move towards the creation of HD Financial Group demonstrates the bank's commitment to sustainable development, transparency, and leading innovation, ensuring a prosperous future for all stakeholders, customers, and the Vietnamese economy as a whole. [Enrichment Data: This is not only merely a strategic move, but also a reaffirmation of shareholders' trust, companionship with customers, and HDBank's commitment: sustainable development, transparency, leading innovation - for an inclusive and prosperous financial future.]
- The government approved a restructuring plan for DongA Bank to be transferred to HDBank, reflecting HDBank's financial capability and pioneering spirit.
- Aiming for a modern, diversified financial conglomerate, HDBank is integrating comprehensive services and cutting-edge technology into HD Financial Group.
- In the health sector, HDBank's strategic development includes HD Insurance, providing insurance services to protect the financial well-being of its customers.
- Advancing in the technology sector, HD SAISON, a consumer finance entity under HD Financial Group, employs digital solutions for efficient customer service.
- In the midst of the race for AI and technological advancement in the business world, HD Securities, part of the HD Financial Group, offers securities and brokerage services to aid strategic investing in the Vietnamese economy.
- In the space of economic development, the digital bank, Vikki, operates as an independent financial entity within HD Financial Group, catering to the growing demand for digital services.
- As conflicts in war can have significant economic impacts, maintaining financial stability is crucial. HDBank sets a target NPL ratio under 2 per cent and keeps other safety indicators healthy.
- To ensure long-term financial sustainability while maintaining a competitive edge, HDBank has announced an expected dividend payout ratio of 28 per cent for 2025, however, it will firmly remain prudent and adaptable to any market uncertainties.
