Vietcombank (VCB) Awaits Approval for VND 44,500B Dividend, Capital Hike Plan

Overview

Vietcombank (VCB) is awaiting regulatory approval for a combined VND 44,500 billion in stock dividends from retained earnings up to 2023, alongside a VND 10,687 billion capital increase plan. Shareholders at the 2026 annual general meeting approved the 2025 profit distribution, which allocates VND 20,331 billion for dividends. The capital actions are designed to strengthen VCB’s charter capital and sustain its lead among Vietnamese banks.

Key Facts

• Shareholders approved 2025 profit distribution: after-tax standalone profit of VND 34,506 billion, with VND 20,331 billion allocated for dividends.
• VCB is awaiting approval for stock dividends totaling nearly VND 44,500 billion from accumulated profits up to 2023 (VND 22,770 billion from 2023 and VND 21,680 billion from 2022).
• A capital increase plan of approximately VND 10,687 billion via share issuance from the accumulated statutory reserve up to end-2023 was approved.
• No financial reserve fund was set aside in 2025 as it already reached the maximum regulatory level.
• VCB’s charter capital would increase significantly, helping maintain its status as the largest bank by charter capital in Vietnam.
• The 2025 profit distribution includes VND 3,452 billion to statutory reserve, VND 7,768 billion to development fund, and VND 2,974 billion to bonus/welfare fund.
• VCB closed at VND 60,000 on April 15, 2026, up 1.01% with volume of 8.5 million shares.

What Happened

At the annual general meeting on April 24, 2026, Vietcombank (VCB) shareholders approved the 2025 profit distribution plan. The bank reported standalone after-tax profit of over VND 34,506 billion for 2025. After allocations to various funds, VND 20,331 billion remains for dividends, subject to regulatory approval.

Chairman Nguyen Thanh Tung stated that the bank is awaiting approval from competent authorities for stock dividend payments totaling nearly VND 44,500 billion from retained earnings up to 2023. This includes VND 22,770 billion from 2023 and VND 21,680 billion from 2022, both previously approved by shareholders. Additionally, a VND 10,687 billion capital increase from the statutory reserve was approved at the meeting.

Market Context

VCB shares closed at VND 60,000 on April 15, 2026, up 1.01% on volume of 8.5 million shares. The stock trades on HOSE and is a key component of the VN30 index. The banking sector has been under pressure from rising provisioning costs and margin compression, but VCB’s strong capital position and dividend plans provide a positive catalyst. The capital increase, if approved, would further solidify VCB’s position as the largest bank by charter capital in Vietnam.

Strategic Significance

The dividend and capital increase plans are critical for VCB to maintain its capital adequacy ratio (CAR) under Basel III standards and support loan growth. By using retained earnings for stock dividends, VCB avoids cash outflow while boosting equity. The capital increase from reserves also strengthens the balance sheet without diluting existing shareholders. This positions VCB to compete more effectively in corporate lending and international expansion, while potentially increasing its weighting in foreign indices.

What to Watch

• Regulatory approval timeline for the VND 44,500 billion stock dividend plan.
• Approval and execution of the VND 10,687 billion capital increase from reserves.
• Q1 2026 earnings release for updates on profit trends and NIM.
• Any changes in SBV dividend approval policies for state-owned banks.
• Foreign ownership limit and potential inclusion in MSCI or FTSE rebalancing.