Eximbank's announcement


Eximbank seeks to remove stocks from warning status

(VnExpress) - Vietnam Export-Import Bank said that the Board of Directors and Executive Board have developed a number of feasible plans to remove EIB shares from the warning area soon.
On April 11, Vietnam Export-Import Bank (Eximbank - EIB) explained the reasons and remedies for securities being put on warning status along with a number of contents related to the 2015 financial statements before and after. Audit sent to the State Securities Commission and Ho Chi Minh City Stock Exchange.
According to Eximbank's board of directors, since April 8, the bank's shares have been placed on warning because the undistributed after-tax profits at the end of 2014 have been adjusted negative to VND 834 billion (in when the previously announced profit was 114 billion VND).

This bank believes that the reason from profit after loss is because the bank followed the State Bank's inspection conclusion on October 19, 2015 and had to record a decrease in income due to selling assets that did not comply with regulations and record a decrease. these profits and other related costs to restore the asset value to its original value. Therefore, Eximbank has made retroactive adjustments.

In addition, when presenting the 2014 profit target in the 2015 financial report, the bank adjusted to reduce other expenses by the amount of 285 billion VND due to not being able to complete the purchase and sale procedures for 2 of the assets. sold incorrectly according to inspection conclusions. Therefore, although 2014 profit was adjusted to increase by 285 billion VND, the accumulated undistributed profit in 2014 is still a loss due to the impact of the retroactivity mentioned above.
Vietnam Export-Import Bank said that the Board of Directors and Board of Management have developed a number of feasible plans to bring EIB shares out of the warning area soon. Accordingly, the bank set a 2016 plan with total assets of 142,500 billion VND, an increase of 14% compared to 2015, capital mobilization of 113,500 billion VND, an increase of 15%, outstanding credit loans of 105,805 billion VND, an increase of 10%. Profit before and after tax were 720 billion VND and 576 billion VND, respectively.
In addition, for the previously accounted and distributed income from real estate sales (832 billion VND), it is likely to be earned in 2016 an amount of 298 billion VND. "With after-tax profit of 576 billion VND, plus the potential gain, the accumulated undistributed profit by the end of 2016 is positive 57 billion VND. Accordingly, EIB shares will be released from the warning area" written explanation.
By the end of the first quarter of 2016, Eximbank's total assets were at 123,263 billion VND, mobilized capital was 101,165 billion VND, an increase of 2.8% compared to the beginning of the year. Profit from business activities before risk provisions reached 500 billion VND.

Related Articles