Nam A Bank Q1-2026: Optimizing capital efficiency, comprehensive risk control

The bank stated that its pre-tax profit (PBT) reached more than VND1,620 billion (US$61.5 million), a growth rate of 32.5 percent; ROE exceeded the 21-percent threshold; and the cost-to-income ratio (CIR) was strictly controlled at 39.2 percent.

Operational efficiency and asset quality improved strongly, with the bad debt ratio decreasing deeply to 1.6 percent (before CIC).

Profit, profitability efficiency maintain high growth 

In the first three months of 2026, Nam A Bank recorded a pre-tax profit of more than VND1,620 billion, a growth rate of 32.5 percent compared to the same period in 2025.

The indicators measuring capital use efficiency are among the market leaders, with ROE reaching 21.5 percent, among top six banks based on ROE statistics of listed banks in 2025, a strong increase compared to the level of 19.3 percent in the same period; ROA maintained its upward momentum to 1.3 percent.

The strong profit growth comes from the bank proactively diversifying revenue sources, reducing dependence on traditional credit, and improving overall operational efficiency.

Specifically, service profit reached VND147 billion ($5.6 million), maintaining a 16-percent growth rate.

Profit from trading valuable papers reached VND90 billion ($3.4 million), an increase of 4.6 times year on year.

Additionally, proactively controlling credit risk provision costs with a prudent management goal helped Nam A Bank optimize operational efficiency.

Focus on restructuring capital, credit

According to Nam A Bank, as of March 31, the bank recorded total assets of nearly VND410,000 billion ($15.6 billion), up 56 percent over the same period last year.

Total deposits from economic organizations, individuals, and the issuance of valuable papers reached more than VND217,000 billion ($8.2 billion), achieving a growth rate of more than 7.2 percent year on year.

Regarding credit activities, the bank reached more than VND201,000 billion ($7.6 billion), an increase of 13.1 percent compared to the same period in 2025, with its growth focus directed toward manufacturing enterprises, fisheries, and non-real estate businesses, while reducing the proportion of credit for the real estate group according to the orientation of the State Bank of Vietnam (SBV).

Besides, the total scale of investment in government bonds and valuable papers issued by credit institutions topped VND46,000 billion ($1.7 billion), up 80 percent year on year.

On March 31, Nam A Bank continued to expand its cooperation with BlueOrchard by officially receiving an additional $20 million. This is the first step in a cooperation package expected to scale up to $40 million from this organization to promote financial inclusion, targeting small and medium enterprises in Vietnam.

Also in March, Nam A Bank officially joined the Global Trade Finance Program under the International Finance Corporation (IFC), and the IFC is expected to deploy a $50 million trade finance package for Nam A Bank.

Simultaneously, the bank is coordinating with Proparco to promote the development and mobilization of green financial resources, expected at $30 million.

This series of activities marks a strategic turning point in the effort to internationalize sustainable capital for Vietnam.

Effective control of asset quality, cost optimization 

In Q1, Nam A Bank saw a significant improvement in asset quality; the bad debt ratio (before CIC) decreased sharply to 1.63 percent, compared to 2.1 percent in the same period last year, gradually moving toward the group of banks with good asset quality in the market.

In particular, Group 2 debt (before CIC) fell sharply by 67.9 percent, accounting for only 0.52 percent of the total outstanding debt.

The bank focused resources on debt handling and recovery, especially for loans with good collateral and market liquidity.

This is a positive signal because effective control of the Group 2 debt buffer will help reduce the pressure of making risk provisions in subsequent quarters, creating significant room for sustainable profit growth.

The loan loss reserve ratio was also raised to around 57 percent, continuing toward the goal of raising the ratio to 75-80 percent relative to the group of good banks to strengthen Nam A's resilience against market fluctuations.

The CIR was strictly controlled at 39.2 percent, resulting from the efficiency of optimizing operational costs through digital transformation activities.

Maintaining capital safety, liquidity indicators

The liquidity reserve ratio exceeded 22 percent, maintaining Nam A Bank's relatively cautious appetite, compared to the minimum 10-percent requirement set by the SBV.

The capital adequacy ratio was maintained at 10.5 percent, above the minimum eight-percent requirement as per SBV regulations, continuing to meet international standards according to Basel III; simultaneously, the bank pioneered the full implementation of capital safety regulations under Circular 14/2025/TT-NHNN of the SBV.

Strategic vision for capital increase, international reach

At the 2026 Annual General Meeting of Shareholders (AGM), Nam A Bank approved a plan to increase its charter capital by more than VND5,431 billion ($206 million), expected to be implemented in Q2 and Q3-2026 through three forms:

- Issuing shares to increase capital from equity, with the expected issuance of more than 343.1 million shares, a 20-percent ratio, corresponding to an increase of more than VND3,431 billion ($130 million) in charter capital.

- Issuing shares under the Employee Stock Ownership Plan – ESOP, with the expected issuance of 100 million shares, increasing the charter capital by VND1,000 billion ($38 million).

- Private placement of shares to professional investors, with the expected issuance of 100 million shares in a private placement, corresponding to VND1,000 billion at par value.

This additional capital will serve as important leverage to help the bank strengthen its financial capacity, ensure safety indicators according to international standards, and boost investment in technology infrastructure as well as expand its operational network.

The AGM also approved the plan to establish a 100-percent domestic-owned one-member limited liability commercial bank operating at the Vietnam International Financial Center.

A presence in an international financial center will help the bank enhance its ability to access and mobilize international capital, diversify financial products and services for customers with cross-border transaction needs, thereby improving competitiveness and consolidating the bank's position in both domestic and foreign markets.