Vietnamese conglomerate Masan Group and its affiliate company Techcombank have both clocked higher profits in Q3 2024.
Masan Group enjoys over 13x increase in net profit
Vietnam-based diversified business Masan Group reported a 1,349.2% year-on-year jump in net profit after tax (NPAT) to reach 701 billion dong ($27.6 million) in Q3 2024. The result came on the back of nearly 21.5 trillion dong in net revenue in the quarter, which grew 6.6% year-on-year.
The company earned a 503-billion-dong NPAT in the previous quarter.
The biggest value creation driver came from WinCommerce and Masan MEATLife, the retail network and meat processing subsidiary of Masan, said Nguyen Dang Quang, the firm’s chairman.
“With this momentum, I am confident we will approach our high-case NPAT target of 2 trillion dong, and now are focused on synergising our entire consumer-retail platform to deliver consolidated double-digit top and bottom-line growth for 2025,” he added.
Masan’s NPAT in entire 2023 was 418.7 billion dong. Its record high profit was 8.6 trillion dong in 2021.
Investors in Masan and its units include US-based Bain Capital, TPG, Abu Dhabi Investment Authority, South Korean conglomerate SK Group, Singapore’s sovereign fund GIC, Temasek-backed SeaTown Holdings and Chinese tech giant Alibaba.
Last month, Masan announced that SK agreed to extend its put option, which was made in 2018 when the Korean chaebol injected $470 million into Masan, for up to five years.
Techcombank’s profit before tax rises 33.5% to $900m
Warburg Pincus-backed private lender Techcombank scored 22.8 trillion dong ($900 million) in profit before tax in the first nine months of 2024, up 33.5% year-on-year, per an announcement by the bank.
The profit expansion was driven by improvements in net interest income (NII), and strict cost management. The bank’s NII reached 26.9 trillion dong, increasing 33.9% compared to the same period last year.
By the end of September 2024, Techcombank’s total assets stood at 927.1 trillion dong, up 9.1% year-to-date and 18.7% year-on-year.
The bank’s capital adequacy ratio (CAR) improved to 15.1% as on September 30, 2024, while non-performing loans (NPL) was 1.35%, from 1.28% at the end of Q2 2024.
“Q3 2024 marked a busy and productive quarter for our insurance business. Techcom Non-Life Insurance Joint Stock Company was established while our exclusive partnership with Manulife was mutually agreed to conclude. These developments open the opportunity for the bank to expand our ecosystem strategy, reaching out to more customers and serving them through more integrated and compelling propositions,” said Techcombank CEO Jens Lottner.
The bank said it had 14.8 million customers by the end of the third quarter.
Techcombank raised $922 million in an IPO in early 2018, which was the biggest offering in Vietnam by that time. The IPO attracted global investors such as GIC and Fidelity Management. Warburg Pincus invested $370 million in Techcombank’s pre-IPO round.
A mid-sized lender in Vietnam, Techcombank is an affiliate company of Masan Group.
