STB released consolidated results for 9M 2022 with TOI of VND18.3tn (USD747mn; +39.9% YoY) and bottom-line net profit of VND3.3tn (USD134mn; +28.8% YoY), achieving 68.9% and 66.1% of our FY2022 forecasts, respectively. The increase in NPAT was mainly driven by (1) a 17.3% YoY increase in NII and (2) 99.0% YoY increase in NOII, which were partly offset by a 12.0% YoY increase in OPEX and 130% YoY increase in provision expenses. On a quarterly basis, STB reported Q3 2022 NPAT of VND1.2tn, which increased 50.7% QoQ and 89.4% YoY mainly thanks to accrued interest reversal easing. STB’s 9M 2022 results tracked slightly behind our current forecasts; therefore, we see slight potential downside risk to our earnings forecast, pending a fuller review.

No corporate bonds on the balance sheet; slow Q3 2022 loan growth. STB reported modest Q3 2022 loan growth of 1.5% QoQ, which brought 9M 2022 loan growth to 8.5%. 9M 2022 deposit growth was 7.1%.