SHB Proposes 16% Dividend, Targets VND 19T Profit and VND 1 Quadrillion Assets by 2026

Overview

SHB (Ngân hàng TMCP Sài Gòn – Hà Nội) has announced plans to propose a 16% dividend for 2025 and set ambitious growth targets for 2026, including profit exceeding VND 19 trillion and total assets surpassing VND 1 quadrillion. The bank will present these proposals at its Annual General Meeting scheduled for April 22 in Hà Nội, reflecting a strategy to balance shareholder returns with expansion.

Key Facts

• SHB plans to propose a 16% dividend for 2025, consisting of 10% in stock and 6% in cash, funded from VND 8,550 billion in accumulated undistributed profit.
• In its optimistic 2026 scenario, SHB targets pre-tax profit of VND 19,165 billion (up 28% year-on-year) and total assets exceeding VND 1 quadrillion.
• In its base 2026 scenario, SHB targets pre-tax profit of VND 17,655 billion (up 18% year-on-year) and total assets of VND 974,773 billion.
• The bank aims to maintain its non-performing loan ratio below 2% in 2026.
• SHB expects to increase its charter capital by VND 5,343 billion through the issuance of nearly 534.5 million shares for the stock dividend.
• The dividend stock issuance is planned within 45 days after regulatory approval from the State Securities Commission.
• As of December 31, 2025, SHB’s charter capital stood at VND 45,942 billion.

What Happened

SHB disclosed its agenda for the 2026 Annual General Meeting in a filing, outlining two growth scenarios for the year based on credit growth limits allocated by the State Bank of Vietnam. In the base scenario, assuming a maximum credit growth of 10.2%, the bank targets a pre-tax profit of VND 17,655 billion and total assets of VND 974,773 billion. In the optimistic scenario, with a 16% credit growth limit, it aims for pre-tax profit of VND 19,165 billion and total assets surpassing VND 1 quadrillion, marking a 15% increase.

Alongside these targets, SHB plans to propose a dividend payment for 2025 at a total rate of 16%, comprising 10% in stock and 6% in cash. The cash portion will be sourced from VND 8,550 billion in accumulated undistributed profit after provisions. The stock dividend will involve issuing nearly 534.5 million shares, increasing charter capital by VND 5,343 billion. The bank also emphasized asset quality control, targeting a non-performing loan ratio below 2%.

Market Context

SHB trades on the Hồ Chí Minh Stock Exchange (HOSE) and closed at VND 15 on April 14, 2026, with a slight gain of 0.33% and volume of 72.8 million shares. This announcement comes amid a broader trend of Vietnamese banks proposing dividends and setting growth targets for 2026, as seen with recent disclosures from peers like ACB and Eximbank. SHB’s targets position it among mid-tier banks aiming for aggressive expansion while managing shareholder returns.

Strategic Significance

The proposal underscores SHB’s dual focus on capital growth and shareholder value. By combining a stock dividend to bolster capital with a cash payout, the bank aims to fund its asset expansion—potentially crossing the VND 1 quadrillion threshold—while rewarding investors. Maintaining a sub-2% non-performing loan ratio indicates a disciplined approach to risk amid rapid growth, which could enhance long-term stability and investor confidence in a competitive banking sector.

What to Watch

• Shareholder approval of the dividend proposal and 2026 business plan at the Annual General Meeting on April 22, 2026.
• Regulatory approval from the State Securities Commission for the stock dividend issuance, expected within 45 days.
• Q1 2026 earnings release to assess progress toward the VND 19 trillion profit target.
• Credit growth limits set by the State Bank of Vietnam, which will influence SHB’s ability to achieve its optimistic scenario.
• Updates on the bank’s plan to establish a subsidiary at an international financial center, as mentioned in the broader context.