BBL Shows over ฿9bln. of Profit from Q1 Operation, Total Capital Adequacy Ratio at 18.9%
BBL has reported over THB 9 billion of profit from the operation in the first quarter of 2019 with a total capital adequacy ratio at 18.9%.
Bangkok Bank Public Company Limited (BBL) has reported its 1Q19 consolidated financial statement through the Stock Exchange of Thailand as follows:
BBL reported a net profit of THB 9,028 million, a slight increase of 0.3% from the first quarter of 2018 and an increase of 11.4% from 4Q18. The main reason was due to a decline of THB 4,143 million or 25.3% in operating expenses, caused mainly by the recognition of provision for post-employment benefits in the previous quarter for the compensation in lieu of notice in the case of retirement of employees according to the new Labor Protection Act (7) B.E. 2562 (2019).
Compared with the first quarter of 2018, net interest income rose by THB 1,176 million or 6.9%, due mainly to increases in yields on earning assets and loan volumes. Non-interest income fell by THB 4,086 million or 28.3%, largely due to declines in gains on investments and net fees and service income.
With the inclusion of net profit from July to December 2018 and net profit for the first quarter of 2019 minus the dividend which will be paid in May 2019, the total capital adequacy ratio, the Common Equity Tier 1 capital adequacy ratio and the Tier 1 capital adequacy ratio would be 18.9%, 17.4% and 17.4%, respectively.
The decrease in net fees and service income was due to the exemption of transaction fees via digital channels and lower fees from loan-related services. Impairment loss on loans and debt securities fell by THB 2,244 million.
Non-performing loan (NPL) at the end of March 2019 amounted to THB 83,668 million, an increase of THB 3,531 million or 4.4% from the end of December 2018. The ratio of NPL to total loans stood at 3.5%.
Total liabilities as of March 31, 2019 amounted to Baht 2,723,141 million, an increase of Baht 19,550 million or 0.7% from the end of December 2018, due largely to an increase of Baht 14,509 million or 0.6% in deposits, while debt issued and borrowings decreased by Baht 2,176 million or 1.9%.