2022 Performance and Synergy Realization
With core operating improvement and lower provision underpinning by
controllable asset quality, Net Profit +36% YoY
ECL & Credit Cost
Expected credit loss (ECL) (THB million)
Annualized credit cost (bps)
Net Profit
THB million
Utb
157
146
142
138
133
127
124
5,017 4,808 4,382 4,361
+10% QoQ
4,802 -4% YoY
21,514
18,353 -15% YoY
+4% QoQ
2,799 3,195 3,438 3,715 3,847 +37% YoY
10,474
14,195 +36% YoY
4Q21 1Q22 2Q22 3Q22 4Q22
2021
2022
TTB's portfolio quality is well under control as a result of prudent risk management
and conservative initiatives during COVID-19. Credit cost, therefore, was in
downward trend comparing to 2021 & 2020. Stage 3 ratio was at 2.7%, below the
guidance (≤3.2%).
With the one-time gain from AT1 buy back and NPL sale opportunity in 4Q22, the
Bank decided not to reverse provision and set-up higher ECL level for prudence. In
parallel, we cleaned up B/S and further de-risk portfolio and ensure healthiness of
our asset quality. Overall, 2022 provision was down by 15% YoY and recorded
credit cost at 133 bps, below 2022 target range.
The level of ECL is prudent and includes forward-looking approach and additional
MO in preparation for unforeseen circumstance and economic headwinds.
4Q21
1Q22 2Q22 3Q22 4Q22
2021
2022
Robust growth (+36% YoY) in net profit was supported by NII recovery,
cost discipline and lower ECL. 4Q22 net profit increased by +4% QoQ
and +37% YoY.
RoE also improved by 158 bps YoY and registered at 6.6%.
For 2023, the Bank plans to enhance Merged bank's customer base for
cross-selling opportunity thru ecosystem's initiatives as well as to
increase our fair share in consumer lending space to enhance loan
yield. We will continue to improve earnings capability to generate
sustainable returns to our shareholders.
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