☆ INTRODUCTION

I. BIDV (Joint Stock Commercial Bank for Investment and

Development of Vietnam)
- Established on April 26, 1957, BIDV is proud to be the oldest financial institution
in the banking and financial sector in Vietnam, with leading prestige and value in
Vietnam; Top 2,000 world's largest enterprises for 5 consecutive years
(2015-2019) (voted by Forbes Magazine); Ranked 307 out of 500 most valuable
banking brands in the world and the Enterprise with the top brand strength index
in Vietnam (as voted by Brand Finance). BIDV is the choice and credibility of
economic organizations, businesses and individuals in accessing and using
banking and financial services.
- With great importance and influence in the entire banking industry, BIDV brand
name is a valuable asset, requiring an overall and long-term development
strategy. In the plan to restructure BIDV to 2020, with a vision to 2030, BIDV has
determined to invest in developing a comprehensive brand, professionalizing
management in accordance with the scale of business operations and branding.
international reach.
- In 2014, BIDV signed a cooperation agreement with Ogilvy & Mather Vietnam to
implement the project "Consulting on building brand development strategy to
2020, vision to 2030" with the desire to understand more about the feelings and
expectations of customers. products from BIDV. From the research of the project,
BIDV sets the goal of building BIDV brand image closer to customers - a
dedicated bank, listening and timely understanding of customers' needs.
Systematize brand values ​to locate and convey to the public; identify guiding
principles to develop the BIDV brand architecture model consistent with the
operation model and business strategy; identify professional, methodical and
effective brand management methods; at the same time, building the optimal
strategy of marketing and branding communication, BIDV products and services
in the period from now to 2020.

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II. Vietinbank (VietNam Joint Stock Commercial Bank For
Industry And Trade)
- Established in 1988, VietinBank is currently holding a leading and key role of
a leading bank in the economy.
- Vietinbank has a strongly developed network system with 148 branches, 07
member companies, 03 non-business units, more than 1,000 transaction
offices in 63 provinces / cities nationwide. This bank also brings a lot of pride
to Vietnam that is leading among Vietnamese banks that have opened
branches in Europe. This has opened up many opportunities for Vietnam's
financial industry to be integrated with the world. VietinBank is the first and
only Vietnamese bank present in Europe with two branches in Frankfurt and
Berlin - Germany. At the same time, VietinBank was present in Vientiane -
Laos and is actively promoting the opening of representative offices and
branches in many other countries such as Myanmar, UK, Poland, Czech ...
- With the largest capital scale, the best asset quality and the highest brand
value in Vietnam, in two consecutive years 2012 and 2013, VietinBank was
voted by Forbes Magazine as the Top 2000 largest enterprises in the world
and the magazine. The Banker included in the Top 500 most valuable banking
brands in the world. In particular, on January 7, 2013, VietinBank was
honored to be conferred the title of Labor Hero by the State President.
- VietinBank is proud to have two foreign strategic shareholders, the prestigious
International Financial Organization IFC and the largest Bank in Japan, the
world's leading Bank of Tokyo - Mitsubishi UFJ. Up to now, VietinBank is the
bank with the strongest foreign shareholder structure in Vietnam.

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☆ RATIO ANALYSIS
LIQUIDITY RATIOS
1. Current Ratio

Vietinbank BIDV

2018 2019 2020 2020

1.01X 1.01X 1.01X 1.01X

This ratio indicates the extent to which current liabilities are covered by those assets
expected to be converted to cash in the near future.
Vietinbank’s current ratio is constant for the past 3 years (1.01 times from 2018 to
2020). This means for every 1,000 VND in current debt, Vietinbank has 1,000 VND
of current assets that can be converted into cash to pay current debt. Vietinbank’s
ratio is more than 1.0 times, which means current assets are more than current
liabilities. This shows current assets are enough to cover current liabilities. Compare
to BIDV’s ratio (1.01 times), Vietinbank’s ratio is the same.

2. Quick, or acid test, ratio

Vietinbank BIDV

2018 2019 2020 2020

1.01X 1.01X 1.01X 1.01X

This ratio measures the firm’s ability to pay off short-term debt without relying on the
sales of inventories.
However, Vietinbank does not have inventories, the quick ratio is the same as the
current ratio. Vietinbank’s quick ratio is constant for 3 years (1.01 times). This means
for every 1,000 VND of current debt, Vietinbank has 1,000 dong of current assets
that can be quickly converted into cash to pay current debt. In other words,

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Vietinbank is likely experiencing revenue growth from the interest of deposits of
customers, collecting its accounts receivable and turning them into cash quickly.
Compare to BIDV’s quick ratio, Vietinbank’s ratio seems to be adequate. This ratio is
quite good since it is higher than 1.0.

→ Through liquidity ratios, we can conclude that Vietinbank has a low level of
coverage of liquid assets to short-term debt. This is a good sign since the bank has
little difficulty in meeting its short-term financial obligations or in running its day by
day operations.

ASSET MANAGEMENT RATIOS

1. Inventory Turnover Ratio
This ratio indicates how many times inventory is turned over during the year.
However, Vietinbank does not have inventory, the inventory turnover ratio is not
available.

2. Receivables Turnover

Vietinbank BIDV

2018 2019 2020 2020

0.1X 0.1X 0.09X 0.09X

This ratio reflects the bank's ability to manage its liabilities and recover capital on
those liabilities.
Vietinbank’s receivables turnover ratio is constant for 2 years 2018 - 2019 (0.1
times) and decreases a little bit in 2020 (0.09 times). Compare to BIDV (0.1 times in
2019 and 0.09 times in 2020), Vietinbank has the same ratio. On average,
Vietinbank’s ratio is still low (lower than 1). This shows that the bank may have poor
collecting processes, a bad credit policy, or bad customers, customers with financial
difficulty.

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 3. Day Sales Outstanding (DSO)

Vietinbank BIDV

2018 2019 2020 2019 2020

3730 days 3715 days 3978 days 3704 days 3991 days

This ratio indicates the average length of time the bank must wait after making a
sale before it receives cash.
Vietinbank’s DSO in 2020 (3978 days) is longer than 2019 (3715 days). This means
in 2020, Vietinbank must wait 3978 days after making a sale before it receives cash
back. This longer DSO may attract more customers, but simultaneously, the risk of
recovery money will be higher, customers cannot pay on time causing the capital
flow to circulate slowly. Compare to BIDV’s (3991 days in 2020), Vietinbank seems
to collect all the receivables faster.

4. Fixed Assets Turnover Ratio

Vietinbank BIDV

2018 2019 2020 2019 2020

7.2X 8.2X 8.5X 10.8X 10.48X

This ratio measures how effectively the firm uses its plant and equipment.
Vietinbank witnesses an increase in fixed assets turnover ratio (from 7.2 times in
2018 to 8.5 times in 2020). For every 1,000 VND invested in fixed assets helps the
company bring 8,500 VND back in revenue. This shows Vietinbank uses its fixed
assets more efficiently. However, compare to BIDV’s ratio (10.48 times), Vietinbank’s
fixed assets turnover ratio is lower. Vietinbank should manage its fixed-asset
investment the most effectively.

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 5. Total Assets Turnover Ratio

Vietinbank BIDV

2018 2019 2020 2019 2020

0.068X 0.073X 0.069X 0.073X 0.072X

This ratio measures how effectively the firm uses its total assets.
Vietinbank’s total assets turnover ratio went down from 0.073 in 2019 to 0.069 in
2020. This indicates that for every 1,000 VND of assets, there are 69 VND of
revenue generated. This shows the bank’s performance is worse, because the low
ratio indicates that the revenue generated from every thousand VND of assets is
decreased. Compare to BIDV’s ratio (0.072 times), Vietinbank operates with more
assets, and so requires more debt and equity to operate.

→ Through 5 ratios above, we can see that Vietinbank’s asset management is

unstable. Although when compared to another bank, Vietinbank’s asset
management ratios are quite good, but it also shows a downside of managing
assets. Vietinbank needs more effort to improve these ratios.

DEBT MANAGEMENT RATIOS

1. Total Debt To Total Capital

Vietinbank BIDV

2018 2019 2020 2019 2020

94.2% 93.8% 93.6% 94.8% 94.75%

This ratio measures the percentage of the firm’s capital provided by debtholders.
Vietinbank’s total debt has been decreasing from 94.2% in 2018 to 93.6% in 2020.
This means in 2020 among the assets that Vietinbank owns, 93.6% belongs to
liabilities and 6.4% belongs to shareholders’ equity. In other words, debt accounts for

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93.6% in total capital. It indicates that Vietinbank depends on liabilities. Compare to
BIDV’s ratio (94.75% in 2020), Vietinbank’s total debt is lower. The higher the debt
ratio, the more leveraged the bank is. At the same time, it contains more financial
risk. However, leverage is an important tool that Vietinbank uses to develop, and it
sought substantial uses for debt.

2. Equity Multiplier

Vietinbank BIDV

2018 2019 2020 2020

17.3X 16.04X 15.7X 19.04X

This is a financial leverage ratio that measures the portion of a company's assets
that are financed by stockholders’ equity.
As we can see, the equity multiplier of Vietinbank for the past 3 years went down
from 17.3 times in 2018 to 15.7 times in 2020. This means that the financial leverage
of Vietinbank is becoming lower. The bank finances its operations with equity or
debt, so a low equity multiplier indicates that a smaller portion of asset financing is
attributed to debt. Vietinbank’s ratio in 2020 is lower than BIDV’s (19.04 times), but
still higher than industry average (13.62 times). A bank with lower leverage than the
industry average is not always safe, but a bank with too high leverage is certainly
too risky.

3. Times-Interest-Earned Ratio

Vietinbank BIDV

2018 2019 2020 2020

3.33X 10.7X 24.8X 4.45X

This ratio measures the bank’s ability to meet its annual interest payments.

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Vietinbank’s TIE has been strongly increasing from 3.33 times in 2018 to 24.8 times
in 2020. For every 1,000 VND interest payable, Vietinbank has 24,800 VND of
earnings before interest and taxes used to pay interest. Vietinbank’s ratio is much
greater than 1, it indicates that Vietinbank can fully pay interest. Compare to BIDV’s
TIE (4.45 times in 2020), Vietinbank’s ratio is higher, it also shows that Vietinbank’s
ability to meet its interest payments is better than BIDV.

PROFITABILITY RATIOS
1. Operating Margin

Vietinbank BIDV

2018 2019 2020 2020

8.2% 13% 18.6% 8.26%

This ratio measures how much profit a bank makes from its operations before taxes
and interest are deducted.
Vietinbank’s operating margin has been steadily increasing from 8.2% in 2018 to
18.6% in 2020. In 2020, for Vietinbank, earnings before interest and tax accounts for
18.6% in revenue. Compare to BIDV’s ratio, Vietinbank's ratio is higher. So
Vietinbank operated more efficiently than BIDV and had higher earnings before
interest and tax. This is good because a higher operating margin indicates the bank
is well managed and is potentially less of risk than a bank with a lower operating
margin.

2. Profit Margin

Vietinbank BIDV

2018 2019 2020 2020

6.6% 10.4% 14.9% 6.4%

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This ratio measures net income per VND of sales.
From 2018 to 2020, Vietinbank’s profit margin has been steadily increasing (6.6% in
2018 to 14.9% in 2020). This means Vietinbank is improving its profit very well. In
2020, for every 1,000 VND in sales, Vietinbank generated 149 VND in profit.
Compare to BIDV, Vietinbank earned more profit.

3. Return On Total Assets (ROA)

Vietinbank BIDV

2018 2019 2020 2020

0.45% 0.76% 1.02% 0.47%

This ratio measures the rate of return on the firm’s assets.

Vietinbank witnesses a positive increase from 0.45% in 2018 to 1.02% in 2020. For
every 1,000 VND invested in assets Vietinbank brings back 10.2 VND of net income.
Compare to BIDV’s ROA (0.47% in 2020), Vietinbank’s ratio is much higher.
Investors will prefer Vietinbank more than BIDV since a higher ROA shows that the
bank manages its assets more effectively to produce greater amounts of net income.
It also indicates an upward profit change as well.

4. Return On Common Equity (ROE)

Vietinbank BIDV

2018 2019 2020 2020

8.2% 12.2% 16.03% 8.7%

This ratio measures the rate of return on common stockholders’ investment.

Vietinbank’s ROE has been increasing from 8.2% in 2018 to 16.03% in 2020. This
means for every 1,000 VND of common shareholders’ equity earned about 160 VND
in 2020. In other words, shareholders received 16.3% return on their investment.

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Compare to BIDV’s ROE (8.7% in 2020), Vietinbank’s ratio is much higher. It
indicates that Vietinbank is becoming a fast growing company.

5. Basic Earning Power Ratio (BEP)

Vietinbank BIDV

2018 2019 2020 2020

0.56% 0.95% 1.27% 0.59%

This ratio indicates the ability of the bank’s assets to generate operating income.
BEP of Vietinbank grew steadily from 0.56% in 2018 to 1.27% in 2020. For every
1,000 VND in assets, Vietinbank generated 12.7 VND earnings before interest and
tax. Vietinbank’s 2020 BEP is higher than BIDV’s (0.59%), which indicates that the
better Vietinbank’s assets are utilized to generate earnings.

→ In 2020, Vietinbank’s profitability ratios is higher than the past 2 years. This
shows that Vietinbank made a lot of profit and so did their shareholders.

MARKET VALUE RATIO

1. Earning/Share Ratio

Vietinbank BIDV

2018 2019 2020 2020

1,454 2,541 3,678 1,740

EPS of Vietinbank has been increasing from 1,454 VND in 2018 to 3,678 VND in
2020. It means for every 1,000 VND of income Vietinbank distributes to its
shareholders, each share would receive 3,678 VND. Compare to BIDV’s EPS (1,740
VND in 2020), Vietinbank has higher EPS.

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 2. Price/Earnings Ratio

Vietinbank BIDV

2018 2019 2020 2020

13.27X 8.23X 9.39X 27.54X

The ratio of the price per share to earnings per share; shows the amount investors
will pay for 1,000 VND of current earnings.
P/E ratio of Vietinbank went down from 13.27 in 2018 to 8.23 in 2019 and then
increased to 9.39 in 2020. This means in 2020, investors have to pay 9,390 VND
just to get 1,000 VND profit. Meanwhile, for BIDV, they have to pay 27,540 VND.
This lower ratio points out Vietinbank’s slow recovery and high risk for investment,
as having poor growth prospects.

3. Market/Book Ratio

Vietinbank BIDV

2018 2019 2020 2020

1.07X 1.01X 1.51X 2.42X

The ratio of a stock’s market price to its book value.

Vietinbank’s market/book ratio was fluctuating down and up. This ratio is higher than
1, which means its stock is overvalued. In 2020, Vietinbank’s ratio is lower than
BIDV’s (2.42 times) This means the market will appreciate the stock’s of BIDV than
Vietinbank’s.

→ Throughn all the ratios above, we can say that shares of Vietinbank are very
promising although not as much as BIDV and the shareholders are willing to invest
the money to buy.

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☆ DUPONT ANALYSIS
This is an extended examination of return on equity (ROE) of a company which
analyzes profit margin, total assets turnover and the equity multiplier. In other words,
it breaks down the ROE to analyze how corporations can increase the return for
their shareholders.
Firstly, we have:
ROE = ROA X Equity Multiplier
= Profit margin X Total assets turnover X Equity Multiplier

Vietinbank BIDV

2018 2019 2020 2020

Profit margin 6.6% 10.4% 14.9% 6.4%

Total assets turnover 0.068X 0.073X 0.069X 0.072X

Equity multiplier 17.3X 16.04X 15.7X 19.04X

ROE 8.2% 12.2% 16.03% 8.7%

The development of banks in Vietnam over the years has two main types. The first
form is to grow rapidly and take risks to create significant "leaps" in market share
and business results. The second form is the banks that develop moderately and
focus on the security of the system. Vietinbank seems to have chosen the latter
direction: Choose safety during development.
As we can see, Equity multiplier of Vietinbank went down for the past 3 years. It
indicates that Vietinbank reduces risk by decreasing its financial leverage from 17.3
times to 15.7 times. However, moderate and conservative growth does not mean
that the bank has poor growth quality and lack of acumen.
With the formula above, we all know ROA is the product of Profit margin and Total
assets turnover. The total assets turnover of Vietinbank decreased a little bit, but it is
too small to count and it doesn’t affect the ROE much.

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On the other side, the Profit margin grows strongly is the reason why Total assets
turnover and Equity multiplier decreased but ROE of Vietinbank has been
increasing overtime. Credit still brought the main income for VietinBank, but the main
growth motivation was the non-interest business, especially buying securities,
investment, foreign exchange, and debt collection from risk management … This is a
very good sign of Vietinbank since the bank is able to increase its profitability and
improve its profit very well.
Compare to BIDV, the Equity multiplier of Vietinbank is much lower. The higher
Equity multiplier (19.04 times) means that BIDV is more risky than Vietinbank.
However, the Profit margin of BIDV is quite low (6.4%), which makes BIDV’s ROE
lower than Vietinbank. It shows that Vietinbank uses capital more effectively than
BIDV.

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☆ CONCLUSION
- As we see the trend analysis, Vietinbank is growing day by day and it has no
sign to stop. The profit Vietinbank gains is increasing steadily every year. On
the other hand, debt is a product of this bank, therefore, it is logicac when the
debt is high. We can see it is a good sign with Vietinbank’s revenue in the
following years
- Although Vietinbank is at top 4 about assets in Vietnam ( after BIDV ), it was
still highly appreciated about profitability in the Strength Rank list of The Asian
Banker. It predicts that Vietinbank will be more and more powerful in the
banking industry in the near future.
- Vietinbank is doing well on the E-Banking and iBanking part. Instead of going
to the bank, we can conduct transactions and transfer anywhere we want. In
the era of technology 4.0, Vietinbank should research more utilities and
improve them better to make the customers feel the most convenient and
useful when using them.
- Covid 19 occured in the period 2019 - 2020 has a serious impact on the
economy, thus affecting the banking industry, especially bad debt rising is
more of a concern. However, Vietinbank still maintained operations and
developed persistently until now thanks to the right and timely policies.
VietinBank has come up with suitable solutions for each customer and group
of customers to restructure operations, help customers overcome difficulties,
maintain operations, recover and develop. At the same time, VietinBank also
restructured the repayment period, kept the debt group intact, exempted /
reduced service fees and implemented a plan to ensure the bank's continuous
operation during the epidemic period. In 2020, VietinBank's business results
will all meet and exceed the set targets.
- VietinBank has developed a Development Strategy for the period 2021 - 2030
and a vision to 2045, linking VietinBank's development strategy with the
national and banking development strategies.

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☆ REFERENCE

- https://static2.vietstock.vn/data/HOSE/2020/BCTC/VN/NAM/BID_Baocaotaich
inh_2020_Kiemtoan_Hopnhat.pdf

- http://s.cafef.vn/hose/CTG-ngan-hang-thuong-mai-co-phan-cong-thuong-viet-
nam.chn

- https://www.bidv.com.vn/vn/ve-bidv/thuong-hieu-bidv#:~:text=Th%C3%A0nh%
20l%E1%BA%ADp%20ng%C3%A0y%2026%2F4,)%3B%20Top%2010%20d
oanh%20nghi%E1%BB%87p

- https://chiasevaytien.com/tin-tuc/vietinbank-la-ngan-hang-gi.htm

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 ☆ APPENDIX
VIETINBANK

2019 2020

Ratio Formular Calculation Ratio Calculation Ratio

Liquidity

Current 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑎𝑠𝑠𝑒𝑡𝑠 1,089,165,295 = 1.01X 1,178,590,386 = 1.01X

𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑙𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 1,078,647,079 1,166,180,839

Quick 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑎𝑠𝑠𝑒𝑡𝑠 = 1.01X 1,178,590,386 = 1.01X

𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑙𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 1,166,180,839
1,089,165,295
1,078,647,079

Asset Management

Days sales 𝑅𝑒𝑐𝑒𝑖𝑣𝑎𝑏𝑙𝑒𝑠 922,325,251 ≈ 3715 days 1,002,771,868 ≈ 3978

outstanding 𝐴𝑛𝑛𝑢𝑎𝑙 𝑠𝑎𝑙𝑒𝑠/365 90,630,691/365 92,020,219/365 days
(DSO)

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 Fixed assets 𝑆𝑎𝑙𝑒𝑠 90,630,691 = 8.2X 92,020,219 = 8.5X
turnover 𝑁𝑒𝑡 𝑓𝑖𝑥𝑒𝑑 𝑎𝑠𝑠𝑒𝑡𝑠 10,996,975 10,811,098

Total assets 𝑆𝑎𝑙𝑒𝑠 90,630,691 = 0.073X 92,020,219 = 0.069X

turnover 𝑇𝑜𝑡𝑎𝑙 𝑎𝑠𝑠𝑒𝑡𝑠 1,240,711,475 1,341,436,468

Debt Management

Total debt to 𝑇𝑜𝑡𝑎𝑙 𝑑𝑒𝑏𝑡 1,163,356,657 = 93.8% 1,256,025,218 = 93.6%

total capital 𝑇𝑜𝑡𝑎𝑙 𝑐𝑎𝑝𝑖𝑡𝑎𝑙 1,240,711,475 1,341,436,468

Times-interest- 𝐸𝑎𝑟𝑛𝑖𝑛𝑔𝑠 𝑏𝑒𝑓𝑜𝑟𝑒 𝑖𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝑎𝑛𝑑 𝑡𝑎𝑥𝑒𝑠 (𝐸𝐵𝐼𝑇) 11,780,993 = 10.7X 17,084,849 = 24.8X
earned (TIE) 𝐼𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝑐ℎ𝑎𝑟𝑔𝑒𝑠 1,100,375 689,276

Profitability

Operating 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑖𝑛𝑐𝑜𝑚𝑒 (𝐸𝐵𝐼𝑇) 11,780,993 = 13% 17,084,849 = 18.6%

margin 𝑆𝑎𝑙𝑒𝑠 90,630,691 92,020,219

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Profit margin 𝑁𝑒𝑡 𝑖𝑛𝑐𝑜𝑚𝑒 9,461,267 = 10.4% 13,693,588 = 14.9%
𝑆𝑎𝑙𝑒𝑠 90,630,691 92,020,219

Return on total 𝑁𝑒𝑡 𝑖𝑛𝑐𝑜𝑚𝑒 9,461,267 = 0.76% 13,693,588 = 1.02%

assets (ROA) 𝑇𝑜𝑡𝑎𝑙 𝑎𝑠𝑠𝑒𝑡𝑠 1,240,711,475 1,341,436,468

Return on 𝑁𝑒𝑡 𝑖𝑛𝑐𝑜𝑚𝑒 9,461,267 = 12.2% 13,693,588 = 16.03%

common 𝐶𝑜𝑚𝑚𝑜𝑛 𝑒𝑞𝑢𝑖𝑡𝑦 77,354,818 85,411,250

equity (ROE)

Basic earning 𝐸𝑎𝑟𝑛𝑖𝑛𝑔𝑠 𝑏𝑒𝑓𝑜𝑟𝑒 𝑖𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝑎𝑛𝑑 𝑡𝑎𝑥𝑒𝑠 (𝐸𝐵𝐼𝑇) 11,780,993 = 0.95% 17,084,849 = 1.27%
power (BEP) 𝑇𝑜𝑡𝑎𝑙 𝑎𝑠𝑠𝑒𝑡𝑠 1,240,711,475 1,341,436,468

Market Value

Price/Earnings 𝑃𝑟𝑖𝑐𝑒 𝑝𝑒𝑟 𝑠ℎ𝑎𝑟𝑒 20,912.43 = 8.23X 34,536.42 = 9.39X

(P/E) 𝐸𝑎𝑟𝑛𝑖𝑛𝑔𝑠 𝑝𝑒𝑟 𝑠ℎ𝑎𝑟𝑒 2,541 3,678

Market/Book 𝑀𝑎𝑟𝑘𝑒𝑡 𝑝𝑟𝑖𝑐𝑒 𝑝𝑒𝑟 𝑠ℎ𝑎𝑟𝑒 20,912.43 = 1.01X 34,536.42 = 1.51X

(M/B) 𝐵𝑜𝑜𝑘 𝑣𝑎𝑙𝑢𝑒 𝑝𝑒𝑟 𝑠ℎ𝑎𝑟𝑒 20,775 22,939

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 BIDV

2019 2020

Ratio Formular Calculation Ratio Calculation Ratio

Liquidity

Current 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑎𝑠𝑠𝑒𝑡𝑠 1,312,466,498 = 1.00X 1,352,651,807 = 1.01X

𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑙𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 1,311,992,232 1,339,010,857

Quick 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑎𝑠𝑠𝑒𝑡𝑠 1,312,466,498 = 1.00X 1,352,651,807 = 1.01X

𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑙𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 1,311,992,232 1,339,010,857

Asset Management

Days sales 𝑅𝑒𝑐𝑒𝑖𝑣𝑎𝑏𝑙𝑒𝑠 1,102,365,849 = 3704 days 1,195,239,968 = 3991 days

outstanding 𝐴𝑛𝑛𝑢𝑎𝑙 𝑠𝑎𝑙𝑒𝑠/365 108,619,602/365 109,305,592/365

(DSO)

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 Fixed assets 𝑆𝑎𝑙𝑒𝑠 108,619,602 = 10.8X 109,305,592 = 10.48X
turnover 𝑁𝑒𝑡 𝑓𝑖𝑥𝑒𝑑 𝑎𝑠𝑠𝑒𝑡𝑠 10,604,686 10,422,121

Total assets 𝑆𝑎𝑙𝑒𝑠 108,619,602 = 0.073 X 109,305,592 = 0.072X

turnover 𝑇𝑜𝑡𝑎𝑙 𝑎𝑠𝑠𝑒𝑡𝑠 1,489,957,293 1,516,685,712

Debt Management

1,437,039,100
Total debt to 𝑇𝑜𝑡𝑎𝑙 𝑑𝑒𝑏𝑡 1,412,304,312 = 94.8% 1,516,685,712 = 94.75%
total capital 𝑇𝑜𝑡𝑎𝑙 𝑐𝑎𝑝𝑖𝑡𝑎𝑙 1,489,957,293

Times-interest-e 𝐸𝑎𝑟𝑛𝑖𝑛𝑔𝑠 𝑏𝑒𝑓𝑜𝑟𝑒 𝑖𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝑎𝑛𝑑 𝑡𝑎𝑥𝑒𝑠 (𝐸𝐵𝐼𝑇) 10,732,209 = 3.68X 9,026,243 = 4.45X
arned(TIE) 𝐼𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝑐ℎ𝑎𝑟𝑔𝑒𝑠 2,918,669 2,027,045

Profitability

Operating 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑖𝑛𝑐𝑜𝑚𝑒 (𝐸𝐵𝐼𝑇) 10,732,209 = 9.9% 9,026,243 = 8.26%

margin 𝑆𝑎𝑙𝑒𝑠 108,619,602 109,305,592

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Profit margin 𝑁𝑒𝑡 𝑖𝑛𝑐𝑜𝑚𝑒 8,368,491 = 7.7% 6,996,622 = 6.4%
𝑆𝑎𝑙𝑒𝑠 108,619,602 109,305,592

Return on total 𝑁𝑒𝑡 𝑖𝑛𝑐𝑜𝑚𝑒 8,368,491 = 0.6% 6,996,622 = 0.47%

assets (ROA) 𝑇𝑜𝑡𝑎𝑙 𝑎𝑠𝑠𝑒𝑡𝑠 1,489,957,293 1,516,685,712

Return on 𝑁𝑒𝑡 𝑖𝑛𝑐𝑜𝑚𝑒 8,368,491 = 10.8% 6,996,622 = 8.7%

common equity 𝐶𝑜𝑚𝑚𝑜𝑛 𝑒𝑞𝑢𝑖𝑡𝑦 77,652,981 79,646,612

(ROE)

Basic earning 𝐸𝑎𝑟𝑛𝑖𝑛𝑔𝑠 𝑏𝑒𝑓𝑜𝑟𝑒 𝑖𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝑎𝑛𝑑 𝑡𝑎𝑥𝑒𝑠 (𝐸𝐵𝐼𝑇) 10,732,209 = 0.72% 9,026,243 = 0.59%
power (BEP) 𝑇𝑜𝑡𝑎𝑙 𝑎𝑠𝑠𝑒𝑡𝑠 1,489,957,293 1,516,685,712

Market Value

Price/Earnings 𝑃𝑟𝑖𝑐𝑒 𝑝𝑒𝑟 𝑠ℎ𝑎𝑟𝑒 46,152 = 19.4X 47,919 = 27.54X

(P/E) 𝐸𝑎𝑟𝑛𝑖𝑛𝑔𝑠 𝑝𝑒𝑟 𝑠ℎ𝑎𝑟𝑒 2,379 1,740

Market/Book 𝑀𝑎𝑟𝑘𝑒𝑡 𝑝𝑟𝑖𝑐𝑒 𝑝𝑒𝑟 𝑠ℎ𝑎𝑟𝑒 46,152 = 2.39X 47,919 = 2.42X

(M/B) 𝐵𝑜𝑜𝑘 𝑣𝑎𝑙𝑢𝑒 𝑝𝑒𝑟 𝑠ℎ𝑎𝑟𝑒 19,307 19,803

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