NCB Q1/2026 Pre-Tax Profit Surges 43% YoY, Hits 91% of Full-Year Asset Target

Overview

NCB (National Citizen Bank) posted strong Q1/2026 results, with pre-tax profit rising 43% year-on-year to over VND 216 billion. Total assets reached nearly VND 173.5 trillion, achieving 91% of the full-year target set at the 2026 annual general meeting. The bank’s loan book expanded 20% from end-2025, while net interest income surged 57%.

Key Facts

• Pre-tax profit in Q1/2026: VND 216 billion, up 43% from VND 151 billion in Q1/2025.
• Total assets at March 31, 2026: VND 173,504 billion, up 6% from end-2025.
• Net interest income: VND 792 billion, up 57% YoY.
• Fee and service income: VND 108 billion, up 270% YoY.
• Customer loans: VND 116,876 billion, up 20% from December 31, 2025.
• Total deposits (including valuable papers): VND 139,110 billion, up 6% from end-2025.
• Asset target completion: 91% of the 2026 plan of VND 189,912 billion.

What Happened

NCB released its Q1/2026 financial statements on April 28, 2026, showing broad-based growth across key metrics. The bank’s pre-tax profit of VND 216 billion represents a 43% increase from the same period last year, driven by a 57% jump in net interest income and a 270% surge in fee income. Loan growth accelerated to 20% quarter-on-quarter, while asset quality continued to improve, with the non-performing loan ratio declining.

At the 2026 annual general meeting held earlier, NCB shareholders approved a full-year plan targeting total assets of VND 189,912 billion (up 16% YoY), customer deposits of VND 158,685 billion (up 20%), and loans of VND 131,686 billion (up 35%). The bank also set a pre-provision profit target of VND 1,416 billion, up 49% from 2025. NCB reiterated its commitment to using all profits for its restructuring plan (PACCL) to achieve early completion.

Market Context

NCB, listed on UPCOM under ticker NCB, has been undergoing a comprehensive restructuring since 2021. The Q1 results mark a significant acceleration, with the bank achieving 91% of its full-year asset target in just one quarter. The broader Vietnamese banking sector has seen mixed earnings in early 2026, with some large banks reporting slower loan growth. NCB’s 20% quarterly loan expansion stands out, though it comes from a relatively small base. The stock has been trading near its book value, reflecting cautious investor sentiment toward smaller banks undergoing restructuring.

Strategic Significance

NCB’s Q1 performance suggests the restructuring plan is gaining traction, with strong loan growth and improving asset quality. The bank’s focus on fee income (up 270%) indicates successful diversification beyond net interest margin. Achieving 91% of the asset target early provides a buffer for the rest of the year, potentially allowing NCB to revise its targets upward. However, the bank’s small scale and reliance on wholesale funding remain risks. The commitment to channel all profits into restructuring means no dividends for shareholders in the near term, but could accelerate the path to normalized operations.

What to Watch

• Q2 2026 earnings release for sustained loan growth and margin trends.
• Progress on the restructuring plan (PACCL) timeline and any regulatory milestones.
• Deposit growth and CASA ratio improvement (targeted at 9.6% for 2026).
• Any announcements regarding capital raising or strategic partnerships.
• Asset quality metrics, especially NPL ratio and provisioning coverage.