Vietnam banks set modest dividend targets for 2011

Local banks are cautious in setting modest dividend for 2011 and call for support from shareholders amid the difficult time.

Ficombank, with a current chartered capital of VND2 trillion, set a pretax profit of VND285 billion, dividend payment equivalent to VND560. The lender is going to complete a task of raising chartered capital to VND3 trillion.

Navibank cuts dividend target to VND630 from 2010 payment of VND1,121. SouthernBank also cuts dividend plan to VND1,000 from VND1,100 realized in 2010.

TrustBank targets a pretax profit of VND550 billion this year, up 82.12% from 2010. However, the lender revised down its dividend target to 8.5%, the same as 2010’s from previous target of 9% and call for shareholders’ support.

Hoang Van Toan, TrustBank’s chairman, said the lender is not satisfied with the dividend target and it needs shareholders’ support amid this difficult time of high inflation and deposit rates conditions.

Mekong Bank sets pretax profit up 170% from 2010 but it raises dividend payment only by 0.66% to 7.56%.

Big lender Sacombank switches to cash dividend to support shareholders.

Sacombank is stick to its dividend of 15% stock bar value or VND1,500, but this year, it switches to cash dividend rather than bonus shares as usual to help shareholders “recognize the profit” said its chairman Dang Van Thanh. Thanh said in 2011 market condition, dividend payout should be thoroughly considered to ensure shareholders’ interests but it is hard to pay much as banks must pursued development as well as comply the government policy. – Stoxplus.com

Tags: Vietnam banks