The Military Commercial Joint Stock Bank (MB) held an online analyst meeting on June 22, with the participation of 300 guests, including representatives of 90 investment funds and 30 securities firms, both foreign and domestic. The meeting discussed MB Group’s achievements in the first half of 2021 and its important strategic goals in the coming period.

Although the developments of the COVID-19 pandemic were unpredictable, MB Group remained resilient with stable operations and positive business results. By the end of the Q2/2021, MB achieved a total consolidated asset of more than VND523 trillion, increasing by 5.65% compared to the end of 2020. The total operating income in the first half of the year was nearly VND18.2 trillion, increasing by 40% year on year. Total consolidated pre-tax profit in H1/2021 reached nearly VND8 trillion, a remarkable increase of 56% compared to the same period of last year. MB also enjoyed a top business performance in the period with a return on asset (ROA) ratio of 2.48 percent and a return on equity (ROE) ratio of 23.28 per cent.

These outstanding results are a testament to MB’s effective business strategy with a focus on digital transformation. In H1/2021, with a series of innovative products that conveyed MB’s competitive advantages, such as the payment with VietQR code, personalised bank account number, account number as same as phone number, etc. along with the great efforts of the entire system, MB attracted around 2.5 million new customers. The number of transactions on the digital channel nearly tripled that of the same period last year. The transaction value reached VND 1.7 quadrillion, an increase of over 5 times year on year. 

MB's desire to become a leading digital bank has also been reflected in its commitment to make an annual investment of US$50 million in technology infrastructure over the past 3 years and at least in the next 5 years.

At the event, Vice Chairman of the Board of Directors cum CEO Luu Trung Thai emphasised that MB is determined to achieve the goal to become the most convenient bank.

“MB will continue to affirm its solid position in the top 5, while striving to fulfill more ambitious targets in the new strategic period, consolidating the financial group model on a digital basis in order to strengthen the connection among customers, services and products of MB and its subsidiaries,” Mr. Thai said. 

In addition to MB's solid performance, in the first 6 months of the year, MB’s six subsidiaries also achieved outstanding growth in business scale. More specifically, the Military Insurance Joint Stock Corporation (MIC) jumped up one rank to be in the Top 5 of the industry, while MB Ageas Life Insurance Company Limited rose one rank up to be in the Top 11 agency channel APE (with 2.5% of the market share), accompanied by the growth rate of 266% - the highest in the market.

“The subsidiaries’ contribution to MB Group’s total profit accounted for 13.2%, which is a strong improvement compared to five years ago”, said Mr. Thai.

Speaking at the meeting, Director of Research and Corporate Development Dam Nhan Duc stressed that in the 2017-2021 period, MB has consistently achieved a faster growth rate compared to the average of the seven largest Vietnamese commercial banks and the top three banks of each country in the region and the world. Thanks to that, MB’s ranking has been remarkably improved.

The revenue and profit of MB Group by the end of 2021 are forecast to triple compared to those in 2016. In the next five years, if MB Group can maintain this growth rate, or a bit slower due to the increasing scale, the group will be highly likely to earn up to $5 billion in revenue by the end of 2026.

PV