MB (Military Commercial Joint Stock Bank) has announced impressive financial results for the first half of 2025, achieving a record pre-tax profit of nearly 15,900 billion VND. This success is attributed to a combination of factors, including stable credit growth, effective risk management, a high CASA ratio, diversified income streams, efficient operations, and strategic investments in technology.

The bank's consolidated credit balance reached nearly 913,000 billion VND, a 12.5% increase compared to the end of 2024. Notably, the parent bank's credit growth rate reached 13.1%, exceeding the 10.2% growth in the same period last year. Both individual and corporate customer segments experienced stable growth, at 12.7% and 13.3% respectively, compared to the end of the previous year. Despite this growth, MB prioritized credit quality and risk management. The consolidated non-performing loan (NPL) ratio remained at 1.6%, with an NPL coverage ratio of 88.9%. At the parent bank level, the NPL ratio was even lower, at 1.47%, with a coverage ratio of 90.9%.

MB staff advising customers. Photo: MB

MB staff advising customers. Photo: MB

MB boasts one of the highest CASA ratios in the industry. As of the end of June 2025, total customer deposits reached over 783,000 billion VND, a 10% increase compared to the end of the previous year. CASA (current account savings account) deposits accounted for nearly 297,000 billion VND, equivalent to 37.9% of total deposits. This high CASA ratio allows MB to reduce capital costs and maintain a net interest margin (NIM) of 4.1%, surpassing the industry average of 3.0-3.2%. The bank attributes this success to its comprehensive digitalization strategy, with platforms like MB App and Biz MB attracting and retaining regular customers.

Customers making deposits at the bank. Photo: MB

Customers making deposits at the bank. Photo: MB

MB's profit growth in the first half of the year stemmed from diversified income streams. Net interest income remained the primary source, reaching over 24,000 billion VND, a 22.8% year-on-year increase. Non-interest income also performed well. Net service income reached 3,151 billion VND, a 37% increase, primarily from insurance, payments, investment advisory, and digital banking services. Foreign exchange trading contributed 1,072 billion VND, a year-on-year increase of over 25%. Profit from investment securities trading reached 1,295 billion VND, 2.3 times higher than the same period last year, marking the highest growth rate. Other income also saw a significant increase, reaching 2,543 billion VND, including income from asset disposal, provision reversals, and non-recurring income. Total operating income reached 32,568 billion VND, a 24.6% year-on-year increase.

MB demonstrated strong operational efficiency with an operating expense ratio (CIR) of just 27.3%, among the lowest in the banking system. Other profitability indicators remained high, with a consolidated return on equity (ROE) of 20.71%, placing it among the highest in the industry, and a NIM maintained at 4.1%. This efficient cost management, coupled with high profit margins, validates the bank's leadership strategy, aligning with its goal of "Becoming a digital enterprise, a leading financial group."

Bank staff guiding customers through biometric identification. Photo: MB

Bank staff guiding customers through biometric identification. Photo: MB

Contributing to MB's overall growth were its subsidiaries. In the first six months, the consolidated revenue of the subsidiaries reached 13,780 billion VND, a 25% year-on-year increase, with pre-tax profit reaching 1,633 billion VND, a 39% increase. Several subsidiaries maintained their market leadership: MB Ageas Life led in bancassurance, Mcredit ranked among the top three consumer finance companies, MIC was in the top 4 in non-life insurance market share, and MBS held the 7th position in brokerage market share. This synchronized development is the foundation for MB's goal of becoming a comprehensive digital financial group.

MB focuses on developing its technological capabilities to ensure its operational pillars are efficient, seamlessly connected, and competitive. The bank has an in-house team of over 2,500 technology experts, one of the largest in the Vietnamese banking sector. This allows MB to shorten product launch cycles, accelerate new service deployments, and improve customer experience. This internal technology capability not only provides flexibility and security but is also key to driving MB's comprehensive digital transformation in the era of financial digitalization. These factors contributed to MB's record profit of 15,889 billion VND in the first six months, an 18.3% increase compared to the same period in 2024. After deducting corporate income tax, net profit reached 12,679 billion VND. As of June 30th, MB's total consolidated assets reached 1.29 quadrillion VND, an increase of over 161,000 billion VND since the beginning of the year, maintaining its position as the fifth-largest bank in Vietnam by asset size, following the four state-owned banks.

Minh Ngoc