VietCredit, a leading financial company in Vietnam, released its fourth-quarter 2024 financial report, showcasing promising results and a successful digital transformation.
As of December 31, 2024, the company’s total assets reached VND 8,163 billion, an impressive 81% increase from the third quarter’s figure of VND 4,489 billion. Operating expenses were VND 115 billion, a 14% rise from the previous quarter but a significant 30% decrease compared to the same period last year. This improvement is attributed to the company’s efforts in transforming traditional business models and streamlining operations for restructuring.
Additionally, the company’s credit risk provisions decreased by 36% year-over-year, with a 6% reduction in customer lending risk provisions and a 23% drop in investment securities risk provisions. The ratio of non-performing loans from existing old debt has improved, while the ratio of non-performing loans from new digital loans remains low, aligning with the company’s risk appetite.
Net interest income reached VND 203.2 billion, a 28% increase compared to the previous year and a 13% rise from the previous quarter. Notably, net income from other activities amounted to VND 141 billion, a significant 57% increase. VietCredit’s foreign exchange business also recorded a remarkable 135% profit growth.
Customer lending balances stood at nearly VND 6,300 billion as of December 31, 2024, reflecting a 36% growth compared to the previous year. VietCredit successfully tapped into new customer segments through digitization, partnering with major platforms like Momo, Fiza (Zalo), and Viettel Money. As a result, digital products contributed 22% to the company’s total lending balance in the fourth quarter of 2024.
VietCredit’s fourth-quarter performance demonstrated positive signs, with the company turning around from a loss of VND 36.5 billion in Q3 2024 to a profit of VND 69.6 billion in Q4 2024, a remarkable 290% increase. While this figure represents a 55% decrease compared to the same period last year, it indicates a positive shift in the company’s business operations following their restructuring and digitalization efforts.
According to the company, 2024 was a year focused on digitalization, infrastructure modernization, and enhancing human resources quality. Notable achievements include the launch of the Tin Vay digital consumer lending service on multiple large platforms and the upgrade of the VietCredit application.
Looking ahead to 2025, VietCredit plans to expand Tin Vay to cater to a broader range of individuals and small businesses, introducing Tin Vay Biz. Additionally, a new digital credit card product with advanced features is expected to be launched during the year.
The achievements in the fourth quarter of 2024 affirm that VietCredit is on the right track with its restructuring and business model innovation. The company’s successful expansion of its customer base and improved business efficiency, coupled with effective financial risk management and cost optimization, have contributed to enhanced profitability. As a result, VietCredit’s recently released fourth-quarter 2024 financial report showcases promising figures and growth potential for the upcoming year.
