KTC Reports Slight Decline in 1Q24 Earnings to THB1.8 Billion despite Growth in Card Spending

Krungthai Card Public Company Limited (SET: KTC) has announced its 1Q24 consolidated financial statement through the Stock Exchange of Thailand as follows;

Quarter 1Q24 1Q23
Net Profit (Loss)
Million Baht
1,803.00 1,871.71
Earning Per Share
0.7000 0.7300
% Change -3.67

KTC reported a net profit of Baht 1,803 million for the first quarter of 2024, down 3.7% from the 1Q2023 net profits of Baht 1,872 million.

KTC’s revenues grew by 11.7% (YoY), driven by interest income, fee income, and bad debt recovery. Meanwhile, total expenses increased by 20.4% (YoY) due to a higher number of transactions and an increase in bad-debt write-offs as KTC had decided to quicken the timing criteria for writing off bad debts to realistically reflect the actual asset quality following the expiry of the financial assistance program which temporarily relaxed loan staging.  

KTC continued to appropriately manage the asset quality by maintaining a high Non-Performing Loan (NPL) Coverage Ratio of 434.7%, with the NPL ratio (%NPL) of the separate financial statement of 1.5%, a reduction from the year-end 2023 of 1.7%. On a consolidated basis, KTC maintained a high NPL Coverage Ratio of 353.8%, with KTC’s NPL ratio of 2.0%, down from 2.2% at the end of 2023. For 1Q2024, credit cost rose to 6.4% from 5.3% in 1Q2023 due to the accelerated write-off criteria. Nevertheless, KTC has concrete operational targets and remains dedicated to expanding our quality loan portfolio responsibly and fairly under the ongoing economic conditions. 

The total value of KTC’s card spending for the first two months and the first quarter of 2024 was Baht 45,187 million and Baht 69,419 million, respectively, exhibiting growth rates of 9.1% and 8.5% (YoY). KTC had 3,423,147 accounts, consisting of 2,695,453 credit cards, up 4.0% (YoY), and 727,694 personal loan accounts, down 2.6% (YoY). 

KTC’s market share of credit card receivables for the first two months of 2024 stood at 13.2%, and KTC’s market share of the total credit card spending was 12.4%, up from the same period in 2023. Moreover, KTC’s market share of personal loans (excluding auto title loan receivables) was 6.3%.