KBank Subsidiaries and ASEAN Economic Strategy slide image

KBank Subsidiaries and ASEAN Economic Strategy

K KASIKORNTHAI Asset Quality and Expected credit loss (Provision) June 2020 (Consolidated) Expected credit loss (Provision) During 1997 (Bt bn) Asian Crisis* 54 48 42 36 30 24 16.8 18 12 6 2.3 0 44.1 50.6 14.2 11.7 9.4 6.7 7.3 8.4 0.7 26.4 Coverage Ratio I (%) During 1997 Asian Crisis* 150 I 33.8 34.0 32.5 32.1 100 41.8 48.8 50 34.7 25.4 30.0 34.2 0 141.4 127.1 131.8 134.5 111.0 88.4 91.6. 130.0 130.9 160.6 148.5 148 € 155.7 1996 1997 1998 1999 2000 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 20191H20"* 1996 1997 1998 1999 2000 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 20191H20** 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 During 1997 Asian Crisis* (%) 42.0 888 5050525050 45 40 723 35 31.7 30 23.5 NPL was peak at 287/42.3% in 1Q99 15 15.9 10 44 5.1 NPL Ratio and Credit Cost INPL ratio Credit Cost (bps) ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Asset quality remains manageable NPL ratio in 1H20 was at 3.92%, with a coverage ratio of 155.68% 1H20 credit cost was 311 bps ■Adhere to a prudent financial policy; economic downturn from COVID-19 outbreak ■COVID-19 significantly impacts asset quality; however, relief measures help reduce short-term impact to asset quality. NPL can stay at not too high 900 level for now. The Bank has to 700 prepare for the end of relief measures 500 168 204 239 311 93 102 3.09 3.76 2.91 66 64 66 85 96 175 174 300 NPL Ratio by Business 2.45 14 2.16 2.11 2.24 2.70 3.32 3.30 3.34 3.65 3.92 100 Corporate Business SME Business -10 1996 1997 1998 1999 2000 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 1H20** Retail Business*** 2015 2016 2017 2018 2019 1H20 <2% <2% <2% <2% <2% <2% -3% -5% -5% -5% -6% <7% -2% 4% 4% <5% -4% -4% ** 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, 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 Notes: * Data in 1996-1997 is KBank only K KASIKORNTHAI ROA and ROE June 2020 (Consolidated) ROA บริการทุกระดับประทับใจ ROE ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK (%) (%) 24 2.5 20 2.0 16 1.49 13.23 1.5 1.20 1.27 1.20 12 10.24 10.61 9.9 1.0 8 0.56 4.72 0.5 4 0.0 2016 2017 2018 2019 1H20* 2016 2017 2018 2019 1H20* ROA (%) ROE (%) 115 15 2016 2017 2018 2019 1H19 1H20 1.49 1.20 1.27 1.20 1.25 0.56 0.87 1Q20** 2Q20 0.25 13.23 10.24 10.61 9.90 10.35 4.72 7.26 | 2.15 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, which were based on the prior accounting standards (non-TFRS9). ** The Bank restated the 1Q20 financial statements from the reclassification of investment in fund/ REIT to investments in FVOCI to comply with the Federation of Accounting Professions' announcement on 25 June 2020 and reclassification some items which did not impact to total assets, total liabilities and total equity. บริการทุกระดับประทับใจ 16
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