Vietnamese Banks' Q2 2026 Service Fee Income Hits Record, Private Lenders Lead

Overview

Vietnamese banks reported record service fee income in Q2 2026, reaching nearly VND 28,000 billion, up over 30% from the previous two quarters. Private banks like Sacombank (STB) and LPBank (LPB) led the gains, while some state-owned banks lagged. This marks a structural shift in revenue mix as net interest margins (NIM) compress.

Key Facts

• Total service fee income for 28 listed banks reached nearly VND 28,000 billion in Q2 2026, up over 30% from Q1 2026 and Q4 2025.
• Sacombank (STB) surged 327% to VND 3,202 billion, jumping from 12th to 3rd place, its highest ranking since 2022.
• LPBank (LPB) rose 187.2% to VND 1,915 billion, climbing from 13th to 7th place.
• SHB increased 96.8% to VND 2,536 billion, moving to 4th place.
• Techcombank (TCB) retained the top spot with VND 3,662 billion, up 16.3%, leading for the third consecutive quarter.
• VPBank (VPB) held 2nd place with VND 3,490 billion, up 69.1%.
• The number of banks with service fee income above VND 1,000 billion rose from 8 to 11; those above VND 2,000 billion increased from 2 to 5 (Techcombank, VPBank, Sacombank, SHB, VietinBank).
• VIB fell 8 places to 11th, with service fee income down 46% to VND 1,075 billion; Vietcombank (VCB) dropped to 12th, down 8.9% to VND 860 billion.

What Happened

According to financial reports from listed banks, total service fee income in Q2 2026 hit a record high of nearly VND 28,000 billion, a more than 30% increase from the previous two quarters. This far exceeds the VND 14,000–17,000 billion quarterly range seen in 2024–2025. The trend marks a shift from the usual pattern where service fees peaked in Q4 and declined in early the following year; in 2026, Q1 income was already higher than Q4 2025, and Q2 surged further.

Among 28 banks, one reported a loss, 17 saw increases, and 10 saw declines. Sacombank (STB) was the standout, with service fee income jumping from VND 750 billion in Q1 to VND 3,202 billion in Q2, a 327% increase. LPBank (LPB) rose 187.2% to VND 1,915 billion, and SHB increased 96.8% to VND 2,536 billion. In contrast, VIB fell 46% to VND 1,075 billion, and Vietcombank (VCB) dropped 8.9% to VND 860 billion, making it the lowest-ranked state-owned bank among listed peers.

Market Context

Sacombank (STB) trades on HOSE and closed at VND 74,900 on August 24, 2026. The bank’s service fee surge has likely contributed to positive sentiment, though the stock’s recent price action is not detailed. The broader banking sector is seeing a structural shift toward non-interest income as NIMs compress. FiinRatings noted in its April 2026 report that the industry NIM fell from a peak of 3.8% in 2022 to 2.9% by end-2025, and is likely to stay below 3% in 2026. This environment favors banks with strong fee-generating capabilities, particularly private banks like STB, LPB, and TCB, which are outperforming state-owned peers.

Strategic Significance

For long-term investors, the record service fee income signals a pivotal shift in Vietnamese banks’ business models. As NIMs narrow due to rising funding costs and pressure on lending yields, banks are increasingly relying on fee-based revenue to sustain profitability. Private banks like Sacombank and LPBank are demonstrating agility in capitalizing on this trend, potentially improving their earnings quality and reducing sensitivity to interest rate cycles. The market upgrade and increased corporate bond issuance are expected to further boost brokerage and advisory fees, benefiting banks with strong capital markets capabilities. This trend could lead to a re-rating of banks with diversified income streams.

What to Watch

• Q3 2026 service fee income reports from STB, LPB, and SHB to see if the momentum is sustained.
• NIM trends across the sector, as further compression could accelerate the shift to fee income.
• Regulatory developments related to the stock market upgrade and corporate bond issuance, which could boost fee-related activities.
• Any announcements from state-owned banks like VCB on strategies to improve fee income, as they currently lag private peers.
• BVBank (BVB) performance, as it remains the only bank with a service fee loss, to see if it can turn around.