Chapter 3 - The Achievement of Tech

Bank-wide Management Report

“Our robust business model drove double-digit profit growth, industry-leading asset quality and capital adequacy, despite market-wide headwinds impacting our key lines of business.”

Chief Finance Officer

Alexandre Macaire


In 2022, Vietnam’s economy continued to show commendable resilience in the face of mounting global challenges.

Profit before tax

VND 25.6 trillion (+10.0% YoY)

Total operating income

VND 40.9 trillion (+10.3% YoY)











Double-digit growth in total operating income (TOI), supported by successful fee income diversification

Double-digit growth in total operating income (TOI), supported by successful fee income diversification

Net interest income (NII) expanded:

13.5% YoY to VND 30.3 trillion

Net fee income (NFI) grew:

24.8% YoY to VND 9.7 trillion

  • Cards: VND 1,980.6 billion NFI, +83.5% YoY
  • Banca: VND 1,750.6 billion NFI, +12.3% YoY
  • Trade Finance: Letters of Credit VND 2,016.0 billion, +154.0% YoY
  • Cash & settlement: VND 467.7 billion, +76.2% YoY
  • FX fees: VND 912.2 billion NFI, +74.8% YoY
  • IB fees: VND 2,591.2 billion NFI, -28.1% YoY

Prudent cost management, focused on investing for growth

Cost-to-income ratio


Technology and infrastructure expenses


Operating expenses grew 19.9% YoY to VND 13.4 trillion, with the cost-to-income ratio (CIR) standing at 32.8%.

Personnel costs

  • 88% YoY increase in training costs.

Marketing and promotion expense

  • Marketing and promotion expenses increased 63% YoY in 2022
  • ‘Why not?’ clip for our Inspire proposition
  • ‘Mèo Đại Cát’ mega campaign
  • Techcombank Ho Chi Minh and Hanoi marathon
  • Our many marketing initiatives enabled us to finish the year with the highest Net Promoter Score in the industry, as measured by YouGov.

Technology and infrastructure expenditure

  • Technology and infrastructure expenses increased 57% in 2022.

Strong asset growth with improved diversification

  • Total assets grew 22.9% YoY to VND 699,033 billion
  • Our loan and bond balances grew 12.5% YoY
  • Retail loans grew 40.1% YoY
  • Loans to SME customers up 7.3% YoY
  • Loans and bonds to large corporates reduced by 9.9% YoY to VND 165.6 trillion
  • Asset yields in 2022 improved to 7.5%.

Techcombank has developed internal liquidity management ratios and early warning triggers, enhancing the Bank’s liquidity management capabilities Finally, the Bank’s liquidity contingency plan provides a set of actions to ensure timely responses, as well as preventative measures.

Robust funding position, driven by domestic customer deposits and international institutional lenders

  • We expanded total funding balances by 21.5% to VND 560.0 trillion, while maintaining a cost of funds at the third lowest level in the Vietnamese banking sector
  • Our customer deposits, including CD Bao Loc, grew 12.8%
  • In early 2022, we concluded a landmark USD 1.0 billion syndicated loan facility, setting another milestone in our offshore fund-raising activities.

Strong capital position

  • Total equity expanded by 21.9%
  • Capital adequacy ratio strengthened further, 15.2% at the end of 2022.

Prudent liquidity management

  • In 2022, our liquidity regulatory ratios improved or remained broadly stable, comfortably within regulatory limits.

Liquidity ratios

  • Liquidity reserve ratio
  • 30 days solvency ratio – VND
  • Loan-to-deposit ratio
  • Short-term funding to MLT loans

Limit 2022

  • ≥ 10%
  • ≥ 50%
  • ≤ 85%
  • ≤ 34%

Actual 31/12/2022

  • 18.10%
  • 78.51%
  • 76.57%
  • 28.75%

Limit 2021

  • ≥ 10%
  • ≥ 50%
  • ≤ 85%
  • ≤ 37%

Actual 31/12/2021

  • 14.98%
  • 60.78%
  • 75.00%
  • 28.77%

Robust asset quality

  • NPL ratio increased to a moderate level of 0.72% at 31 December 2022
  • The bank-only NPL ratio was stable at 0.58%.

Looking forward: Volatility in the short-term but intact medium-term potential

At the end of 2021, most of Techcombank’s profitability and efficiency metrics were one to two years ahead of our five-year strategic plan.

Overall, 2023 is expected to be a year of consolidation in our growth trajectory and five-year strategic plan. The focus will be on keeping our balance sheet strong and our customer ecosystem healthy; investing in the future with a revamped suite of digital products and propositions and growing our customer base at scale.

Looking forward: Volatility in the short-term but intact medium-term potential

2023 Financial Targets

Techcombank’s Board of Directors will propose 2023 business plan to shareholders at the General Meeting of Shareholders on 22 April 2023. It outlines:

(i) Credit balance (1)

VND 511,297 billion (growth of 15% subject to SBV’s approval)

(ii) Total deposits

To be in line with actual credit growth

(iii) Profit before tax

VND 22,000 billion (down 14.0% YoY)

(iv) Non-performing loans (2)

Lower than 1.5%

(1) The Bank’s credit balance and growth are calculated according to SBV regulations

(2) Pre-CIC Bank-only NPL

Copyright © 2022 owned by Vietnam Technological and Commercial Joint-stock Bank (Techcombank)

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