SeABank Achieves Significant Profit Before Tax Growth
By the end of 2024, Southeast Asia Commercial Joint Stock Bank (HOSE: SSB) has reported impressive business results that highlight its effective strategies and operations.
Impressive Financial Performance
Thanks to a flexible business strategy and a commitment to sustainable development goals, SeABank's profit before tax (PBT) reached US$238.2 million, showing an impressive increase of 31% year-over-year and exceeding its target by 103%. The total assets of the bank grew to US$12.85 billion, a 22% increase YoY, while credit expanded by 20.42%, reaching a remarkable US$8.26 billion in outstanding balance. The focus remained on prioritizing disbursement towards green credit sectors.
Strong Mobilization and Asset Growth
Total mobilization outperformed key performance indicators, rising by 23% YoY to reach US$8.52 billion. Notably, the CASA (Current Account Savings Account) segment saw a staggering growth of 96%, amounting to US$1.29 billion, which constitutes 19.4% of total mobilization. The total operating income increased by 32% YoY, totaling US$489.5 million, while the non-performing loan (NPL) rate was maintained at a manageable 1.89%, aligning with the State Bank of Vietnam's requirements.
International Partnerships and Capital Increase
Through the expansion of international partnerships, SeABank's international mobilization significantly increased by over US$250 million, reaching a total of US$850 million in 2024 (excluding trade finance). The bank enjoyed notable investments and collaborations from significant entities, which included various financial institutions. Moreover, in accordance with its approved roadmap, SeABank successfully increased its charter capital to US$1.12 billion, further enhancing its financial capabilities.
Digital Transformation and User Growth
SeABank continued to strengthen its robust growth by embracing digital technology and diversifying its product offerings. The bank reported growth in all performance indicators, with a return on equity (ROE) of 14.75% and a return on assets (ROA) of 1.63%. The cost-to-income ratio (CIR) witnessed a significant reduction to 33.28%. Furthermore, 2024 saw the bank receive approval from the State Bank of Vietnam to transfer 100% of its capital in PTF to AEON Financial, with completion targeted in the first quarter of 2025.
Commitment to Sustainable Development
SeABank successfully upgraded its T24 core banking system to the latest version, R22, which is expected to deliver long-term operational benefits. As part of enhancing customer experiences, the bank recorded approximately 52.6 million digital transactions, marking a remarkable 160% increase year-on-year. More than 70% of new accounts were opened online via electronic Know Your Customer (eKYC), increasing the number of online users to nearly 4 million.
Corporate Social Responsibility Initiatives
SeABank maintained its commitment to corporate social responsibility, allocating over US$900,000 to various initiatives, which include housing repairs, disaster relief, scholarships for disadvantaged students, and afforestation efforts. This dedication reflects the bank's values and its role in contributing positively to society.
Future Growth Prospects
As SeABank looks toward 2025, it aims to build on its solid foundation. The bank has set ambitious goals of a 10% increase in total assets, 15% growth in credit, a 16% rise in capital mobilization, and a 10% increase in profit before tax, anticipating a return on equity of 13.8%. These goals align with SeABank's vision for sustainable growth and reaffirm its ambitions to strengthen its position as a leading retail bank in the region.
Frequently Asked Questions
What were the main financial results for SeABank in 2024?
SeABank reported a profit before tax of US$238.2 million, with total assets reaching US$12.85 billion and an increase in credit of 20.42%.
How much did SeABank's total mobilization grow?
Total mobilization grew by 23% year-on-year, totaling US$8.52 billion as of the end of 2024.
What is SeABank's strategy for sustainable development?
SeABank focuses on sustainable development goals and aims to increase green credit disbursements while enhancing its digital capabilities and product offerings.
What is the expected growth for SeABank in 2025?
SeABank targets a 10% increase in total assets, 15% growth in credit, and a 10% increase in profit before tax for 2025.
What initiatives does SeABank support for corporate social responsibility?
SeABank allocates funds to various initiatives, including scholarships for disadvantaged students, housing repairs, and disaster relief efforts.
