#1K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK KASIKORNBANK Presentation for Analyst Meeting as of 3Q21 October 2021 For further information, please contact the Investor Relations Unit or visit our website at www.kasikornbank.com บริการทุกระดับประทับใจ K KASIKORNTHAI KASIKORNBANK at a Glance ธนาคารกสิกรไทย 开泰银行 KASIKORN BANK ■Established on June 8, 1945 with registered capital of Bt5mn (USD0.16mn) ■Listed on the Stock Exchange of Thailand (SET) since 1976 Consolidated (as of September 2021) Assets Loans* Deposits CAR ROE (9M21) ROA (9M21) Number of Branches Number of E-Machine (ATM/RCM) Number of K PLUS Users Number of Employees Bt4,030bn (USD118.8bn) Bt2,444bn (USD72.0bn) Bt2,531bn (USD74.6bn) 18.82% *** 8.39% **** 0.98% 857 10,783 16.5mn 19,116 Ranked #3 with 16.8% market share** Ranked #2 with 17.2% market share** Ranked #3 with 17.1% market share** Share Information SET Symbol Share Capital: Authorized Issued and Paid-up Number of Shares Market Capitalization 3Q21 Avg. Share Price: KBANK KBANK-F EPS (9M21) BVPS KBANK, KBANK-F Bt30.2bn (USD0.9bn) Bt23.7bn (USD0.7bn) 2.4bn shares Bt316.3bn (USD9.3bn) Bt115.81 (USD3.41) Ranked #2 in Thai banking sector Dow Jones Sustainability Indices Powered by the S&P CSA Sustainability Award Silver Class 2021 S&P Global Notes: Bt115.78 (USD3.41) Bt11.59 (USD0.34) Bt189.43 (USD5.58) * Loans Loans to customers less deferred revenue ** Assets, loans and deposits market share is based on C.B.1.1 (Monthly statement of assets and liabilities) of 13 Thai commercial banks as of August 2021 *** Capital Adequacy Ratio (CAR) has been reported in accordance with Basel III Capital Requirement from 1 January 2013 onwards. CAR is based on KASIKORNBANK FINANCIAL CONGLOMERATE. KASIKORNBANK FINANCIAL CONGLOMERATE means the company under the Notification of the Bank of Thailand re: Consolidated Supervision, consisted of KBank, K Companies and subsidiaries operating in supporting KBank, Phethai Asset Management Co., Ltd. and other subsidiaries within the permitted scope from the BOT's to be financial conglomerate **** ROE = Net profit (attributable to equity holders of the Bank) deduct dividend from other equity instruments after income tax divided by average equity of equity excluded other equity instruments Exchange rate at the end of September 2021 (Mid Rate) was Bt33.92 per USD (Source: Bank of Thailand) บริการทุกระดับประทับใจ 1 2#2K KASIKORNTHAI Operating Environment: Economic Outlook for 2021 %YoY 5.0 0.0 -5.0 Key GDP Forecasts and Assumptions 2.4 -10.0 -6.1 2019 2020 -0.5 2021 F % YoY 2021 F* (Previous) 2021F* 2019 2020 Base Case GDP 2.4 -6.1 1.0 Range 0.0-1.2 Base Case -0.5 Private Consumption 4.5 -1.0 0.8 0.5-1.0 -0.1 Government Consumption 1.4 0.8 3.0 2.5-3.5 2.5 Total Investment 2.2 -4.8 4.5 3.4-5.8 4.1 - Private investment 2.8 -8.4 3.5 2.5-5.0 3.0 - Public investment 0.2 5.7 8.5 7.2-9.5 7.5 Gov't Budget Deficit (% of GDP) -2.9 -5.1 -5.3 -5.0 to -5.4 -5.3 Exports (Customs Basis) -2.7 -6.0 11.5 8.5-12.5 12.4 Imports (Customs Basis) -4.7 -12.4 21.5 17.0-22.5 23.0 Current Account (USD bn) 38.2 16.5 -7.0 -8.3 to -3.7 -11.0 Headline Inflation 0.7 -0.9 1.2 0.8-1.5 1.2 Policy Interest Rate** 1.25 0.50 0.50 0.50 Notes: MPC's policy rate is at 0.50% (as of August 4, 2021) ▲ represents a higher base case assumption, comparing with the previous forecast, Source: * KResearch (as of August 16, 2021 vs forecast on July 14, 2021) **KBank Capital Markets Research (as of January 19, 2021) Key Points: ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK ■KResearch maintains 2021 GDP forecast at -0.5% despite an upside from reopening country plan ■Rising energy prices as well as potential flood could be a drag on economic growth ■Exports and government spending will be the key drivers for Thai economy this year ■Thai GDP may return to its pre-COVID-19 level in 2024 Risk Factors: ■Re-emergence of COVID-19 outbreak ■Thai Baht volatility Flood ■Trade tensions and geopolitical risks ■Household and business balance sheet deterioration, if outbreak lasts longer than expected represents a lower base case assumption, comparing with the previous forecast บริการทุกระดับประทับใจ K KASIKORNTHAI 9M21 Financial Performance ธนาคารกสิกรไทย 开泰银行 KASIKORN BANK 3 Consolidated NIM 2020 Actual 9M21 Actual Y2021 Targets 3.27% 3.21% Loan Growth 12.13% YTD 8.87% YTD 13.32% YoY Net Fee Income Growth* Cost to Income Ratio** -10.17% 7.55% YoY 3.1-3.3% 4-6% Low single digit growth rate 45.19% 41.85% Mid-40s Credit Cost per year (bps) 205 bps 175 bps NPL Ratio (Gross)*** 3.93% 3.85% ROE**** 7.10% 8.39% 0.85% 0.98% ROA Note: *Net Fee Income Notes 9M21 NIM declined YoY, mainly due to lower yield on loans from interest rate cut, deterioration of asset quality and loans in relief measures despite lower cost of funds. 9M21 YTD loans grew mainly from COVID-19 relief measures (mainly from SMEs), corporate business, housing loans, and retail lending using data analytics capability. 9M21 net fee income increased YoY mainly from fund management business and brokerage fee. 9M21 cost to income decreased YoY from an increase of net total income while expenses increased; cost to income will rise seasonally in 4Q21. Focus on cost management and productivity improvement, with new investments for future growth. Credit Cost: Maintain conservative assumptions and Up to 160 bps prudent financial policy amid high uncertainties related to COVID-19. Relief measure help limit short-term impact on asset quality; while, asset quality is closely monitored and constantly reviewed. 4.0-4.5% N/A N/A Fees and Service Income - Fees and Service Expense; ** Cost to Income Ratio = Total Other Operating Expenses to Total Operating Income - net (Total Operating income less Underwriting Expenses); *** NPL Ratio (Gross) = NPL (gross) to total loans; NPL (gross) used in the calculation are loans to general customers and loans to financial institutions that are non-performing loans; total loans used in the calculation are loans to general customers and loans to financial institutions **** ROE = Net profit deducted Additional Tier 1 dividend after tax/Average total equity excluded Additional Tier 1 บริการทุกระดับประทับใจ 4#3K KASIKORNTHAI Relief Measures to Lessen COVID-19 Impact ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Relief measures (the government, the BOT, and KBank) have been offered to help customers through the COVID-19 pandemic. Relief measures help limit short-term impact on asset quality; while, asset quality is closely monitored and constantly reviewed. Total Loans Bt2.3trn Loans Exited Relief Total Loans Loans Able to Pay Bt438bn or 91% Bt2.4trn Exited Relief Able to Pay Bt433bn or 91% Programs Bt480bn Programs Bt476bn 14% of or 20% Total Loans Days Past Due (> 30 days) Bt42bn or 9% Loans in Relief Programs Bt338bn or 14% Retail Bt108bn Corporate Bt95bn Able to Pay Bt327bn or 97% 15% of or 19% Total Loans Days Past Due (> 30 days) Bt43bn or 9% Loans in Relief Programs Bt359bn or 15% Retail Bt136bn Corporate Bt90bn Able to Pay Bt347bn or 97% SME Bt135bn As of June 2021 Days Past Due (> 30 days) Bt11bn or 3% บริการทุกระดับประทับใจ SME Bt133bn As of September 2021 Days Past Due (> 30 days) Bt12bn or 3% 5 K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Relief Measures: To Reflect the Ability-to-Pay of Customers, Both Days Past Due and Stage Classification Are Used to Ensure the Prudence Days Past Due Days Past Due (DPD) 90 DPDs (> 30 days) 30 DPDs Grey Zone Grey Zone Grey Zone Grey Zone is loans classified as Underperforming or Non-performing with qualitative factors, such as Deterioration in financial position or operating results Uncertainty in loan repayments of loans in observation period or in payment holiday package Liquidation or taken litigation process by other banks with high probability of default ■Loans in Stage 2 and Stage 3 are secured with lifetime expected credit loss (ECL) Able to Pay Stage1: Stage2: Stage3: Perform Underperforming Non-performing บริการทุกระดับประทับใจ ■ Management overlays are added for vulnerable industries and economic uncertainties 6#4K KASIKORNTHAI Composition of Growth: Loans by Business Moderate loan growth momentum in line with full-year target Loan Portfolio Structure ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Loan Portfolio Bt bn Consolidated 2,400 2,245 2,383 Amount (Bt bn) Dec 20 Jun21 1H21 1H21 Y2021 Loan Growth Yield Range Loan Growth Target 2,000 1,803 1,914 2,002 36% 35% Corporate (%) (%) 1,600 35% 36% 34% ■ SME Corporate Loans 814 834 2.5% 2-4% 1,200 800 36% 35% 34% 33% 33% SME Loans 733 782 6.7% 5-7% 400 24% 25% 28% 28% 29% Retail Others Retail Loans 638 695 8.9% 5-7% 0 5% 4% 4% 3% 3% Other Loans Total Loans 60 2,245 72 19.6% 2,383 6.2% 4.6% (%) 1-3% 2-4% 11-13% 4-6% 2017 2018 2019 2020 1H21 Note: * From time to time, the Bank has adjusted loan definitions based on loan portfolio management; thus, the latest loan base is not comparable with previous reports. 1H21 Corporate Loans ■ Loan portfolio mainly grew from short-term lending from liquidity needs ▪ KBank provided relief measures to corporate customers in a timely SME Loans Retail Loans Loan Definition manner ■ Amid slow pace of global and local economy, the bank prudently supported customers' liquidity needs, where appropriate ■ Financial assistance measures meant to soften impact of the outbreak mainly support loan expansion in this quarter ■ Major loan contribution to Commerce Consumer and Construction industry ■ Retail loans grew mainly from home loans, expanding into high potential customers with product offerings matched to customers' needs ■ Offered "Smart PAY & Smart CASH via K PLUS" for credit card customers to better provide accessibility and convenience ■ Offered new feature, "Swipe, Press, Pay by Installments in one card," for Xpress Cash. Customer enables QR code, scans option for cardless cash withdrawal at K-ATMs nationwide, and completes money transfer free of charge 24/7 via KPLUS 2021 Outlook ■ Potential loan growth in some sectors to support business opportunities ■ KBank continuously provides assistance to corporate customers affected by COVID-19 pandemic ■ Domestic and global trade still uncertain; local government spending and public investment remain major drivers. Lending growing organically and prudently while still meeting customers' funding needs and aligning with government measures ■ Apply data analytics to enhance predictive model and credit process in order to lend intelligently with acceptable risk, via blended traditional and digital channels ■ Continuous growth supporting consumer market and local demand ■ Focus on lending thru data analytics and supporting financial solutions for all life stages via assisted and unassisted channels where most relevant to customers' lifestyles and needs ■ Maintain lead market position in key strength products ■ Focus on new potential target customers with acceptable risk; predictive monitoring and strict control on loan portfolio quality Corporate Loans: Loans of KBank and KBank's Subsidiaries in Corporate Segments (annual sales turnover > Bt400mn) SME Loans: Loans of KBank and KBank's Subsidiaries in SME Segments (annual sales turnover ≤ Bt400mn) Retail Loans: Loans of KBank and KBank's Subsidiaries in Retail Segments บริการทุกระดับประทับใจ Other Loans: Composed of loans through the insurance business (MTL), regional markets, and other loan types not directly attributable to the main business groups. Before Y2020, other loans were loans in Enterprise Risk Management Division (NPL + Performing Restructured Loans) were reclassified to their customer segments. 7 K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Composition of Growth: Net Fees and Non-interest Income September 2021 (Consolidated) Total Operating Income - net 36% 25% 30% 27% 23% 21% Non-interest Income Ratio and Net Fee Income Ratio (Bt bn) (%) 160.49 154.89 50 200 156.86 155.48 (+2%) (-1%) (+3%) (-3%) 40% 150 36% 40% 37% 30% 120.83 40 (+4% YOY) 37% 30 25% 27% 100 20 50 70% 60% 63% 64% 73% 10 0 0 2017 2018 2019 2020 9M21 2017 Net Interest Income Non-interest Income (Bt bn) 70 62.70 Non-interest Income 65 (-2%) 56.95 57.80 (-9%) (+2%) Other Operating Income 2018 2019 Non-interest Income Ratio 2020* 22% 9M21 Net Fee Income Ratio Net Fee Income 45.87 (-21%) ■Fee and Service Income - net (Bt bn)41.31 (+6%) 32.24 (-4% YoY) Net Premium Earned -net 40 38.12 36.74 (-8%) (-4%) 33.00 (-10%) | 66% ■Dividend Income 30 26.57 (+8% YoY) 67% 64% 72% Share of Profit from Investments on Equity Method 20 82% 9% 6% 0.1% Gain on Investment 10 0.1% 15% 6% 5% 13% 16% 14% 3% 18% 8% 9% -1% 0 -0.3% -3% Gain on financial instrument measured at FVTPL (Gain on Trading and FX transactions-Old) 0 -5 2017 2018 2019 2020* 9M21 2017 2018 2019 2020* 9M21 ■9M21 non-interest income accounted for 27% of total net operating income and net fee income accounted for 22%; non-interest income decreased 4% YoY, mainly from mark to market of financial assets according to market condition and a decrease in net premium earned - net. ■Net fee income increased 8% YoY, mainly from fund management business and brokerage business; while fees from card business and money transfer decreased - Non-interest Income Ratio = Non-interest Income/Total Operating Income - net Note: - Net Fee Income Ratio = Net Fee Income / Total Operating Income - net - Net Premium Earned net Net Premium Earned less Underwriting Expense * The Bank and its subsidiaries have adopted new accounting standards (TFRS 9: Financial Instruments) since January 1, 2020 onwards, some financial statements and financial ratios are not comparable with previous years' financial figures before Y2020, which were based on the prior accounting standards (non-TFRS9). บริการทุกระดับประทับใจ 8#5K KASIKORNTHAI Asset Quality and Expected credit loss (Provision) September 2021 (Consolidated) Expected credit loss (Provision) ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK During 1997 (Bt bn) Asian Crisis* 54 50.6 48 44.1 42 36 30 24 16.8 18 12 6 2.3 9.4 14.2 11.7 6.7 7.3 8.4 0.7 Coverage Ratio 1 During 1997 Asian Crisis* I (%) 150 41.8 43.5 33.8 32.5 34.0 127.1 131.8 134.5 141.4 130.0 148.5 111.0 130.9 191.6 30.8 100 26.4 1996 1997 1998 1999 2000 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020"* 9M21 50 34.7 48.8 25.4 30.0 34.2 0 160.6 148.6 149.2 157.0 1996 1997 1998 1999 2000 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020**9M21 Note: Provision referred to Impairment Loss on Loans and Debt Securities; from January 1, 2020 onwards based on TFRS9, provision refers to Expected Credit Loss NPL Ratio and Credit Cost Asset quality remains manageable; closely monitored and constantly reviewed. ■NPL ratio in 9M21 was at 3.85%, with coverage ratio of 157.0%. 9M21 credit cost was 175bps; while COVID-19 negatively affected asset quality, relief measures lessened impact in the short-term. During 1997 Asian Crisis* (%) 42532505 42.0 888 723 31.7 23.5 15 NPL was peak at 287 42.3% in 1Q99 15.9 10 44 5.1 (bps) 900 NPL ratio Credit Cost 700 500 168 239 204 102 175 174 205 300 175 3.76 14 85 66 66 64 3.76 2.45 2.16 2.11 2.24 2.70 96 3.32 3.30 3.34 3.65 3.93 3.85 100 -100 1996 1997 1998 1999 2000 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020** 9M21 NPL Ratio by Business Corporate Business SME Business Retail Business*** 2016 2017 2018 2019 2020 <2% <2% <2% <2% <2% <2% -5% -5% -5% -6% <7% <7% -4% -4% -4% -4% <5% <5% 1H21 Notes: * Data in 1996-1997 is KBank only ** The Bank and its subsidiaries have adopted new accounting standards (TFRS 9: Financial Instruments) since January 1, 2020 onwards, some financial statements and financial ratios are not comparable with previous years' financial figures before Y2020, which were based on the prior accounting standards (non-TFRS9). *** NPL ratio in retail business, excluding 180 dpd (days past due) of credit card and consumer loans for peer comparison K KASIKORNTHAI ROA and ROE September 2021 (Consolidated) ROA บริการทุกระดับประทับใจ (%) 24 ROE*** ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK (%) 20 22 2.5 2.0 1.5 505 16 1.20 1.27 1.20 12 10.24 10.61 9.90 0.85 0.98 8.39 7.10 1.0 0.5 05 8 4 0.0 0 2017 2018 2019 2020* 9M21 2017 2018 2019 2020* I 9M21 ROA (%) ROE (%) 2017 2018 2019 2020 9M20 9M21 1Q21 2Q21 3Q21 1.20 1.27 1.20 0.85 0.63 0.98 1.14 0.93 0.87 10.24 10.61 9.90 7.10 5.31 8.39 9.57 8.11 7.44 9 Note: * The Bank and its subsidiaries have adopted new accounting standards (TFRS 9: Financial Instruments) since January 1, 2020 onwards, some financial statements and financial ratios are not comparable with previous years' financial figures before Y2020, which were based on the prior accounting standards (non-TFRS9). The Bank restated the 1Q20 financial statements, due to reclassification of investment in trust fund to FVOCI. *** ROE = Net profit (attributable to equity holders of the Bank) deduct dividend from other equity instruments after income tax divided by average equity of equity excluded other equity instruments บริการทุกระดับประทับใจ 10 10#6K KASIKORNTHAI Net Interest Margin September 2021 (Consolidated) NIM (%) 8.00 ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Yield on Earnings Assets and Cost of Fund (%) 6.00 5.45 5.29 5.21 54321 4.82 1 4.65 4.37 3.44 3.39 4.27 3.31 3.27 3.21 4.19 3.83 1 3.64 Yield on Loans 4.00 Yield on Earnings Assets 2.00 1.22 1.19 1.23 0.78 0.59 0 2017 2018 2019 2020** 9M21 1.11 1.11 1.14 0.71 0.00 Cost of Fund 0.54 Cost of Deposits* 2017 2018 2019 2020* 9M21 ■NIM was 3.21% in 9M21, decreasing YoY, due to lower yield on loans from interest rate cut, deterioration of asset quality and loans in relief measures, despite of lower cost of funds. High portion of CASA (81%) also helped support low cost of fund. 2017 2018 2019 2020 9M20 9M21 1Q21 2Q21 3Q21 NIM (%) 3.44 3.39 3.31 3.27 3.34 3.21 3.16 3.22 3.23 Yield on Earnings Assets (%) 4.37 4.27 4.19 3.83 3.93 3.64 3.59 3.64 3.66 Yield on Loans (%) 5.45 5.29 5.21 4.82 5.00 4.65 4.56 4.67 4.71 Cost of Fund (%) 1.22 1.19 1.23 0.78 0.83 0.59 0.60 0.58 0.59 Cost of Deposits (%), incl DPA 1.11 1.11 1.14 0.71 0.76 0.54 0.55 0.54 0.54 Note: Cost of deposits including contributions to the Financial Institutions Development Fund (FIDF) and Deposit Protection Agency (DPA). * The FIDF fee is temporarily reduce from 0.46% to 0.23% for 2 years, according to the BOT announcement in the Royal Gazette, during January 2020 to December 2021. ** The Bank and its subsidiaries have adopted new accounting standards (TFRS 9: Financial Instruments) since January 1, 2020 onwards, some financial statements and financial ratios are not comparable with previous years' financial figures before Y2020, which were based on the prior accounting standards (non-TFRS9). บริการทุกระดับประทับใจ K KASIKORNTHAI Cost to Income Ratio September 2021 (Consolidated) Cost to Income Ratio ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Cost to Average Assets Ratio (%) (%) 50 42.31 43.96 45.32 45.19 6 41.85 40 4 2.31 2.26 2.26 2.01 30 1.75 20 2 10 0 0 2017 2018 2019 2020* 9M21 2017 2018 2019 2020* 9M21 9M21 cost to income ratio was 41.85%, decreased YoY from an increase of net total income, despite operating expenses increased; cost to income will rise seasonally in 4Q21. 2017 Cost to Income Ratio (%) 42.31 2018 43.96 2019 2020 9M20 9M21 1Q21 2Q21 3Q21 45.32 45.19 42.87 41.85 41.30 41.78 42.47 Cost to Average Assets Ratio (%) 2.31 2.26 2.26 2.01 1.94 1.75 1.78 1.78 1.71 Note: * The Bank and its subsidiaries have adopted new accounting standards (TFRS 9: Financial Instruments) since January 1, 2020 onwards, some financial statements and financial ratios are not comparable with previous years' financial figures before Y2020, which were based on the prior accounting standards (non-TFRS9). ** The Bank restated the 1Q20 financial statements, due to reclassification of investment in trust fund to FVOCI. บริการทุกระดับประทับใจ 11 12#7K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Capital (Reported Number: Excluding Net Profit of Each Period) September 2021 (Consolidated) Bank only Basel III KASIKORNBANK FINANCIAL CONGLOMERATE* Basel III (%) 18.52 17.20 17.26 17.74 17.79 (%) 17.96 18.0 18.0 2.30 18.32 2.42 19.62 3.43 18.80 18.82 3.58 15.0 2.58 2.51 2.80 2.42 15.0 2.29 2.67 0.65 AT1 1.04 AT1 0.68 AT1 1.09 AT1 12.0 12.0 9.0 9.0 14.62 14.75 14.94 14.94 15.37 15.66 15.90 16.19 16.13 16.53 6.0 6.0 3.0 3.0 0.0 0.0 2017 2018 2019 2020** 9M21 2017 2018 2019 2020** 9M21 ■Tier1 Tier2 AT1 ■Tier 1 ■Tier2 AT1 Capital adequacy remains sufficient to support business growth; maintained adequate Tier 1 ratio, as required under the Basel III and new requirements. Additional Tier 1 instrument issuance is intended to optimize and further strengthen capital base in long run. Bank only CAR (%), excluding net profit of each period Tier 1 (%), excluding net profit of each period KASIKORNBANK FINANCIAL CONGLOMERATE* CAR (%), excluding net profit of each period Tier 1 (%), excluding net profit of each period Note: 2016 2017 2018 2019 2020 1Q21 2Q21 3Q21 18.17 17.20 17.26 18.52 17.74 17.42 17.13 17.79 14.27 14.62 14.75 14.94 14.94 14.65 14.68 15.37 18.84 15.16 17.96 15.66 18.32 15.90 19.62 18.80 16.19 16.13 18.44 18.19 18.82 15.80 15.86 16.53 * KASIKORNBANK FINANCIAL CONGLOMERATE means the company under the Notification of the Bank of Thailand re: Consolidated Supervision, consisted of KBank, K Companies and subsidiaries operating in supporting KBank, Phethai Asset Management Co., Ltd. and other subsidiaries within the permitted scope from the BOT's to be financial conglomerate. Under Bank of Thailand regulations, net profit in the first half of the year is to be counted as capital after approval by the Board of Directors as per the Bank's regulations. Net profit in the second half of the year is also counted as capital after approval of the General Meeting of Shareholders. However, whenever a net loss occurs, the capital must be immediately reduced accordingly. ** The Bank and its subsidiaries have adopted new accounting standards (TFRS 9: Financial Instruments) since January 1, 2020 onwards, some financial statements and financial ratios are not comparable with previous years' financial figures before Y2020, which were based on the prior accounting standards (non-TFRS9). K KASIKORNTHAI Dividend Dividend Per Share บริการทุกระดับประทับใจ ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Dividend Payout Ratio (Bt) 5.00 (%) 50 5.0 42.49 4.00 4.00 4.00 4.00 4.00 40 4.0 10 34.43* 3.50 31.88 32.14 32.80 3.00 27.00 27.83 29.40 30 22.32 26.96 3.0- 2.50 2.502.50 2.50 32.33 22.12 2.00 2.00 2.0 20 20 22.51 1.0 0.50 10 23.73 0.0 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 1H21 I Interim Dividend 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Dividend policy: both operating results and long-term returns to shareholders are taken into consideration in determining dividend payments, in order to ensure a sustainable and adequate capital level through the changing economic environment, the ongoing adoption of Basel III and new requirements. Dividend Per Share (Bt) Dividend Payout Ratio (%) 2007 2.00 2008 2.00 2.50 31.88 32.33 42.49 2009 2010 2011 2.50 32.14 2012 2013 2014 2015 2016 2017 2018 2019 2020 2.50 3.00 3.50 4.00 4.00 4.00 4.00 4.00 5.00 2.50 27.00 22.12 22.32 22.51 27.83 26.96 32.80 29.40 34.43 23.73 Note: * The Board of Directors' Meeting of KASIKORNBANK PCL. No. 1/2020, held on January 30, 2020 has approved the share repurchase project for financial management purposes with the number of shares to be repurchased not exceeding 23,932,601 shares or equal to the amount of not exceeding 1% of the total paid-up capital of the Bank and the maximum amount not exceeding Bt4,600mn. The share repurchase was conducted through the Stock Exchange of Thailand during February 14, 2020 to February 27, 2020. - In 2020, due to the high uncertainty in the near future, the BOT supported the preventive measures by allowing financial institutions to suspend payment of interim dividend from Y2020 operating performance and to pay dividends for Y2020 not exceeding Y2019 payout ratio and 50% of Y2020 net profit. - In 2021, as banks are strong with sufficient capital to withstand the impact of COVID-19 outbreak, the BOT allowed banks to pay 2021 interim dividends not exceeding Y2020 dividend payout ratio and 50% of 1H21 net profit. - Dividend payout will be calculated based on dividend divided by net profit attributable to shareholders net of dividend on other equity instrument including additional Tier 1 instrument. บริการทุกระดับประทับใจ 13 14#8K KASIKORNTHAI Summary ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK ■The K-Strategy: Customer Centricity remains our core philosophy with purpose to "Empower Every Customer's Life and Business" Balanced Growth: loans to grow carefully in line with economic conditions and loans relief measures; appropriate liquidity maintained; manageable asset quality supported by strong risk management capabilities; appropriate loan loss reserves; manageable cost to income ratio; appropriate ROE maintained ■ Adequate Capital: maintains adequate Tier 1 ratio, as required under Basel III amid COVID-19 especially after debt moratorium and remain sufficient for new requirements. Additional Tier 1 instrument issuance is intended to optimize and further strengthen capital base in long run ■Sustainable Development: conducts business with the principles of a Bank of Sustainability, and appropriate risk management and good corporate governance principles; striving to balance economic, social, and environmental dimensions to achieve goals and create sustainable long-term returns บริการทุกระดับประทับใจ K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK For Further Enquiries, Contact KASIKORNBANK Investor Relations: Chief Investor Relations Officer Investor Relations Team Tel (66) 2470 2673 to 4 Tel (66) 2470 6900 to 1 IR Website Tel (66) 2470 2660 to 1 Email: [email protected] www.kasikornbank.com → Investor Relations Disclosure Practice: ■Unreviewed/unaudited quarterly financial reports are released within 21 days from the end of each period ■Reviewed financial reports are released within 45 days from the end of the period for 1Q and 3Q; Audited financial reports are released within 2 months from the end of the period for 2Q and 4Q ■Following KASIKORNBANK's Disclosure Policy and good governance practice, KBank maintains a "silent period" for 7 days prior to the unreviewed/unaudited earnings announcement. During this period, the Bank refrains from replying to questions or commenting on the earnings announcement and arranging one-on-one or group meetings with analysts and investors บริการทุกระดับประทับใจ 15 16#9K KASIKORNTHAI DISCLAIMER: Bank of Sustainability IC+ ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK This document is intended to provide material information relating to investments or products in discussion and as a reference during the discussion, presentation, or seminar only. It does not represent or constitute any advice, offer, contract, recommendation, or solicitation and should not be relied upon as such. In preparation of this document, KASIKORNBANK PUBLIC COMPANY LIMITED ("KBank") has made several crucial assumptions and relied on financial and other information available from public sources as of the date of this document. Therefore, KBank assumes no responsibility or liability and makes no representations or warrants with respect to the accuracy and/or completeness of the information described herein. Before making their own independent decision to make any investment or enter into any transaction, the recipient of this information ("Recipient") shall carefully review information relating to services or products of KBank, including but not limited to economic and market situations and other factors pertaining to the transaction as posted on KBank's website at URL www.kasikornbank.com and in other sources, and make their own investigation on all other information, documents prepared by other institutions, as well as consult with Recipients' financial, legal, or tax advisors on each decision. The Recipient understands and acknowledges that the investment or execution of the transaction may be a transaction with low liquidity and KBank shall assume no liability for any loss, damage, or expense of any nature incurred by the Recipient arising out of such investment or execution of the transaction. The Recipient also understands and acknowledges that the information so provided by KBank does not represent the expected yield or consideration to be received by the Recipient arising out of the investment or the execution of the transaction. Further, the Recipient should be aware that the transaction can be highly risky as markets are unpredictable and uncertain, and there may be inadequate regulations and safeguards available to the Recipient. KBank reserves the right to amend, either in whole or in part, the information so provided herein at any time as it deems fit, and the Recipient acknowledges and agrees with such amendments, accordingly. For any inquiry, or in the case of making a complaint, the Recipient may seek further information from KBank at [email protected], +(662) 470 6900 to 01, +(662) 470 2660 to 61, or +(662) 470 2673 to 74. * The information herewith represents data in the Bank's consolidated financial statements, some of the numbers and ratios are calculated before netting with KBank's non-controlling interest. บริการทุกระดับประทับใจ 17 K KASIKORNTHAI บริการทุกระดับประทับใจ