Sacombank (STB) Cuts 25% of Staff as 9-Month Profit Falls 46%

Overview

Sacombank, now formally named Ngân hàng Sài Gòn Tài Lộc and listed on HOSE as STB, reduced its workforce by more than 4,260 people, or about 25%, in the first nine months of the year, according to its consolidated third-quarter financial statements. The reduction leaves the bank with roughly 12,550 employees, its smallest headcount since 2014, and coincides with a broad restructuring under General Director Nguyễn Đức Thụy, who joined in March. Nine-month pre-tax profit fell more than 46% year-on-year to nearly VND 5,900B as provisioning increased, and the bad-debt ratio rose to 7.33%.

Key Facts

• Group headcount fell by more than 4,260 people, or 25%, in nine months to about 12,550 at end-September, the lowest level since 2014.
• The parent bank alone employs about 11,560 people, down 27% from the start of the year.
• Nine-month pre-tax profit was close to VND 5,900B, down more than 46% year-on-year, driven by higher credit-risk provisioning.
• Total assets exceeded VND 1 quadrillion, up 15% from the beginning of the year.
• The bad-debt ratio rose to 7.33% from 6.41% at the start of the year.
• Deposits grew faster than credit during the period, contrary to the pattern at many other banks.
• The bank changed its name from Ngân hàng Sài Gòn Thương Tín to Ngân hàng Sài Gòn Tài Lộc in June and moved its head office to Nguyễn Thị Minh Khai in Hồ Chí Minh City.

What Happened

The figures come from Sacombank’s consolidated third-quarter financial statements, which show the workforce reduction continuing after a sharp cut in the first half. The bank said the streamlining is taking place during a comprehensive restructuring that began after Nguyễn Đức Thụy joined at the end of 2025. He became general director in early March and, following the April annual general meeting, was appointed permanent vice chairman with direct responsibility for strategy, senior governance and long-term development direction.

The same period brought visible changes to the institution’s identity and operations. In June the bank changed its name to Ngân hàng Sài Gòn Tài Lộc and relocated its head office within Hồ Chí Minh City. In April it held its annual general meeting in Phú Thọ rather than Hồ Chí Minh City, the first such meeting after Thụy’s arrival. The financial statements attribute the profit decline to increased provisioning for credit risk, while total assets continued to grow and deposits expanded faster than loans. The filing does not disclose the cost of the restructuring or the breakdown of the headcount reduction by function.

Market Context

STB closed at VND 67,400 on 27 October 2026 on HOSE. The stock sits within the Vietnamese banking sector, where asset quality and provisioning have been the dominant themes as a prolonged property-market slowdown works through lenders’ balance sheets. Sacombank’s 7.33% bad-debt ratio is high relative to the sector, and the 46% profit decline reflects the cost of addressing it. The combination of falling headcount, a rebrand and a new head office signals a bank rebuilding its operating base rather than pursuing near-term growth.

Strategic Significance

The core question for long-term holders is whether the restructuring is a one-off clean-up or a durable reset of the franchise. Cutting a quarter of staff lowers the recurring cost base, which should support earnings once provisioning peaks, but the 7.33% bad-debt ratio and the deposit-led balance-sheet growth suggest the earnings recovery is not yet in sight. The concentration of authority in Thụy, who now combines executive and board-level strategic roles, gives the turnaround a single clear owner, which can accelerate decisions but also raises governance questions that investors in Vietnamese banks have historically weighted heavily.

What to Watch

• The fourth-quarter and full-year 2026 financial statements, for evidence that provisioning has peaked and the bad-debt ratio has stabilised.
• Any disclosure on restructuring costs, severance provisions and the targeted headcount level.
• Loan growth versus deposit growth in coming quarters, to test whether the funding mix normalises.
• Resolution progress on legacy non-performing assets, including any asset-sale announcements.
• Governance disclosures on the division of responsibilities between the general director and the permanent vice chairman role.