Currency and Interest Rate Outlook slide image

Currency and Interest Rate Outlook

K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK KBank: Financial Performance 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) บริการทุกระดับประทับใจ K KASIKORNTHAI 1H21 Performance Highlights ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK 67 Consolidated Net Profit (Bt bn) Profitability - NIM - ROE* - ROA - YTD Loan growth - YoY Non-interest income growth - YoY Loan growth - YoY Net fee income growth Cost control - Cost to income Asset quality - NPL ratio - Credit Cost -Coverage ratio Loans to Deposits Tier 1 Ratio CAR 6.57% (4.28%) 2019 2020 1Q21 2Q21 38.73 29.49 10.63 8.89 1H21 19.52 3.31% 3.27% 3.16% 3.22% 9.90% 7.10% 9.57% 8.11% 3.20% 8.87% 1.20% 0.85% 1.14% 0.93% 1.03% 4.59% 12.13% 2.56% 6.17% 6.17% 4.59% 12.13% 12.69% 12.06% 12.06% (3.61%) (10.17%) 1.51% (20.65%) 6.56% 19.30% 6.57% (20.96%) 45.32% 45.19% 41.30% 41.78% 41.54% 3.65% 1.74% 148.60% 149.19% 3.93% 2.05% 3.93% 1.52% 153.98% 96.62% 95.73% 95.91% 16.19% 16.13% 15.80% 19.62% 18.80% 18.44% 3.95% 1.85% 154.09% 96.07% 15.86% 18.19% 3.95% 1.68% 154.09% 96.07% 15.86%. 18.19% Note: Under Bank of Thailand regulations, net profit in the first half of the year is counted as capital after approval by the Board of Directors as per Bank regulations. Net profit in the second half of the year is counted as capital after approval of the General Meeting of Shareholders. However, when a net loss occurs, the capital must be reduced immediately Capital Adequacy Ratio (CAR) has been reported in accordance with Basel III Capital Requirement from January 1, 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, consisting of KBank, K Companies, and subsidiaries operating in supporting KBank, Phethai Asset Management Co., Ltd., and other subsidiaries within the permitted scope of the BOT's definition to be a 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 บริการทุกระดับประทับใจ ■1H21 net profit increased 104.40% YoY, mainly due to lower expected credit losses and higher EBPT. ■1H21 EBPT increased 2.90% YoY, mainly due to higher net interest income from continual loan growth despite lower interest rate. 1H21 loans grew 6.17% YTD, mainly from COVID-19 relief measures (mainly from SMEs), housing loans, corporate business, and retail lending using data analytics capability. ■NIM was 3.20%, decreasing 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. 1H21 net fee income rose 6.57% YoY, mainly from fund management business and brokerage fees. ■1H21 cost to income ratio was 41.54%, decreasing YoY from an increase of net total income; cost to income will rise seasonally in 2H21. 1H21 NPL ratio was at 3.95%, with 154.09% coverage ratio. 1H21 capital base remained adequate. 68
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