Bao Viet Group Q1/2025 Pre-Tax Profit Hits 1,006B VND, Up 19% on Strong Deposit Income

Overview

Bao Viet Group (BVH) posted consolidated pre-tax profit of 1,006 billion VND for Q1/2025, up 19% year-on-year, driven by strong financial income from its large deposit and bond portfolio. The insurer’s financial revenue reached 3,990 billion VND, with deposit interest alone contributing 2,291 billion VND (+36% YoY).

Key Facts

• Q1/2025 pre-tax profit: 1,006 billion VND, up 19% YoY.
• Net profit after tax: 814 billion VND.
• Financial income: 3,990 billion VND, up 25% YoY.
• Deposit interest income: 2,291 billion VND, up 36% YoY, accounting for 58% of total financial revenue.
• Bond interest income: 1,401 billion VND, up 15% YoY.
• Total financial investment portfolio: 290,399 billion VND as of end-Q1/2025, up 15,500 billion VND from start of year.
• Cash and deposits: 166,922 billion VND, including 130,121 billion VND short-term and 36,800 billion VND long-term.
• Bond portfolio: 111,468 billion VND, of which government bonds 72,670 billion VND and corporate bonds 37,945 billion VND.
• Insurance underwriting gross profit: 308 billion VND, down 50% YoY.

What Happened

Bao Viet Group released its Q1/2025 consolidated financial statements, showing pre-tax profit of 1,006 billion VND, a 19% increase from the same period last year. The growth was primarily driven by financial income, which rose 14% to 2,959 billion VND. Insurance underwriting profit, however, halved to 308 billion VND, indicating a shift in earnings composition.

The company’s financial revenue surged 25% to 3,990 billion VND, with deposit interest contributing 2,291 billion VND (+36%) and bond interest adding 1,401 billion VND (+15%). These two sources accounted for over 92% of total financial revenue. Other income streams, such as securities trading and cash dividends, declined sharply.

Market Context

BVH shares closed at 76,000 VND on April 10, 2026, down 4.26% on volume of 1.6 million shares. The stock trades on HOSE. The insurance sector has faced margin pressure from rising competition and regulatory changes, but BVH’s large investment portfolio provides a buffer. The company’s total assets reached 290,399 billion VND, with 94% in financial investments, underscoring its asset-heavy model.

Strategic Significance

BVH’s earnings resilience hinges on its massive fixed-income portfolio, which generates stable interest income even as insurance underwriting weakens. The 166,922 billion VND in deposits and 111,468 billion VND in bonds provide a predictable revenue stream, but the reliance on deposit rates exposes BVH to monetary policy shifts. The 50% drop in underwriting profit highlights structural challenges in the core insurance business, making financial income the key earnings driver.

What to Watch

• Q2/2025 earnings release for trends in underwriting profit and deposit income.
• SBV policy rate decisions, which directly impact deposit interest income.
• Changes in the bond portfolio composition, especially corporate bond exposure.
• Any regulatory updates on insurance capital requirements or investment limits.
• BVH’s dividend policy and capital allocation for new investments.