Sacombank May Not Distribute Dividends This Year

Sacombank reported a pre-tax profit of over 12.720 trillion VND in 2024, up 32.5% compared to 2023, but the bank has not distributed dividends for nine years. The retained earnings amount to 28.426 trillion VND, leading to pressure from shareholders during annual meetings. The bank’s chairman affirmed the desire to distribute dividends but must await approval from the State Bank. Sacombank is in the restructuring process, and to achieve this, it needs to reduce the bad debt ratio to below 3% and resolve debts backed by shares. The 2024 annual meeting season has arrived, but Sacombank shows no signs of approval for dividend distribution. Meanwhile, STB shares have seen impressive growth, rising from 28,200 VND per share to nearly 40,000 VND, alleviating shareholders’ concerns about not receiving dividends.