Krungthai Card Public Company Limited (SET: KTC) demonstrated resilient financial performance in the second quarter of 2025 (2Q25), recording notable growth in net profit and maintaining robust asset quality.
KTC’s net profit reached THB 1,895 million in 2Q25, representing a 3.8% year-on-year (YoY) increase. This growth was supported by KTC’s ability to sustain its revenue base while effectively controlling costs, particularly through a reduction in credit cost.
Total revenue for KTC in 2Q25 stood at THB 6,812 million, a slight increase of 0.5% YoY, primarily driven by growth in interest income from personal loans and higher fee income due to increased credit card spending. Total expenses for the Group declined by 3.5% YoY to THB 4,340 million, mainly attributed to a significant 10.0% YoY reduction in expected credit losses (ECL) and lower funding costs. This led to a marginal increase in the cost-to-income ratio, from 34.8% in 2Q24 to 35.0% in 2Q25.
KTC’s total loan portfolio expanded to THB 107,104 million as of the end of 2Q25, marking a 1.2% YoY growth. This expansion was propelled by a 1.0% YoY increase in the credit card portfolio to THB 69,925 million and a 4.0% YoY growth in the personal loan portfolio to THB 35,396 million. The growth in personal loans was largely driven by the KTC P BERM Car for Cash product. Meanwhile, the leasing portfolio saw a 29.4% YoY decrease as KTC discontinued new disbursements for this loan type.
In terms of card activity, KTC’s credit card spending rose by 5.0% YoY in the first five months of 2025 and 4.4% YoY in 1H25, significantly outperforming the industry growth rate of 1.2% YoY. As of June 2025, credit card accounts increased by 3.5% YoY to 2,813,627.
KTC continued to demonstrate strong asset quality, with the consolidated Non-Performing Loan (NPL) ratio improving to 1.83% in 2Q25, down from 1.97% in 2Q24. The NPL coverage ratio significantly increased to 419.9%, up from 363.3% in the previous year, reinforcing the company’s financial stability. Furthermore, the consolidated credit cost declined to 5.7% in 2Q25, compared to 6.4% in 2Q24. The debt-to-equity (D/E) ratio also improved to 1.64 times as of 2Q25, down from 1.97 times in 2Q24, reflecting strong financial discipline.
