|Representing HDBank's Board of Directors at the Honoring Ceremony of Top 50 Best Listed Companies in 2020 |
According to Forbes, HDBank is a corporation owning a solid foundation with impressive business results and resilience in an economy suffering many fluctuations and challenges. Along with HDBank, a number of other major brands in Vietnam such as Vietcombank and Vinamilk made it on the list.
Companies participating in the assessment had to pass three rigorous screening rounds to select listed companies with good business results, capitalisation value, and revenue of over VND500 billion ($21.74 million). Besides, honoured companies were rated on the basis of compound annual growth, profit, profitability efficiency (ROE, ROA), and criteria for measuring the quality of operations. For the banking industry, the organisers applied a set of additional indicators, including net interest margin (NIM), rate of provision (RCC), non-performing ratio (NPL), and EPS over five consecutive years from 2015 to 2019.
Passing these rounds, companies are assessed by Forbes on the sustainable development of their businesses, including criteria for branding, quality of corporate management, historical profit figures, and the prospect of sustainable development.
HDBank received the highest scores for all the above criteria. In particular, HDBank is one of the leading banks in terms of the value added for shareholders. In the three consecutive years since the IPO, the return on equity (ROE) of the bank increased sharply from 15.8 per cent at the end of 2017 to 21.6 per cent at the end of 2019. HDBank’s CAGR in the period from 2015 to 2019 alone reached 55 per cent, from VND633 to VND3,675 (2-16 US cents) per share and is in the list of top Bank in the finance-banking industry. Each year, HDBank continuously sets its own new records of pre-tax profits while maintaining outstanding asset quality.
Besides, the bank has a history of paying high and steady dividends in cash and stocks. HDBank’s 2020 Annual General Meeting of Shareholders has approved a plan to distribute profits up to 65 per cent, including 50 per cent of stock dividends and 15 per cent of bonus shares. This is the highest yield in the banking industry this year. HDBank deployed the first dividend payment as planned in early October 2020 with the rate of 30 per cent. After dividend payment, HDBank’s breakthrough business potential is expected by investors with the stock market price continuing to grow.
In 2020, accompanying customers to overcome COVID-19 with a series of preferential support packages for interest rates, credit expansion, with effective business, HDBank continues to receive many noble titles from prestigious domestic and foreign organisations such as Best Domestic Retail Bank 2020 awarded by Asian Banking & Finance for two consecutive years. It was also the only Vietnamese bank on the Best Companies to Work for in Asia 2020 list by HR Asia magazine, title it has held for three consecutive years. Meanwhile, Moody’s, a credit rating agency, maintained HDBank’s long-term credit rating at B1, although in the context of the COVID-19 pandemic many businesses had their credit ratings downgraded. Most recently, HDBank has been honoured as one of the outstanding enterprises of Vietnam-ASEAN in 2020.