TMBThanachart Bank Public Company Limited (SET: TTB) has announced its 2Q23 consolidated financial statement through the Stock Exchange of Thailand as follows;
| Quarter | 2Q23 | 2Q22 |
| Net Profit (Loss) Million Baht |
4,566 | 3,438 |
| Earning Per Share (Baht) |
0.0472 | 0.0356 |
| % Change | 33 | |
| 6 Months | 2023 | 2022 |
| Net Profit (Loss) Million Baht |
8,861 | 6,633 |
| Earning Per Share (Baht) | 0.0916 | 0.0687 |
| % Change | 34 | |
TTB’s net profit rose by 33% year over year, contributing to another impressive quarterly financial report. The 2Q23 net profit was THB4,566 million, an increase of 6.3% QoQ and 32.8% compared to the same period in the prior year. This resulted in a return on equity of 8.2%, which was up from 6.5% in 2Q22 and 7.9% in 1Q23. For the first six months of 2023, a net profit of THB8,861 million represented an 8.0% ROE.
The bank was able to manage its funding and liquidity more effectively at a period of rising interest rates in the second quarter as a result of ongoing efforts to optimize balance sheet structure following the merger.
Operating income improved 12% YoY from both NII +14% YoY and Non-NII +6% YoY. NIM continued to expand (+35 bps YoY) as the cost of funds was contained and asset yield improved following interest rate policy uptrend. In terms of cost, the operating costs were efficiently controlled, maintaining C/I ratio at 44%. Asset quality was also manageable with lower risk cost at 125 bps, well-contained NPL ratio and stronger LLR buffer at 144% in 2Q23.
Besides stringent risk management, this was a result of quality loan growth focus and prudent loan mix shift toward high-yield retail space. The healthy balance sheet was preemptively prepared to support business expansion and digital-first transformation which will become a key driver to help enhance business performance and returns in the long run.
