LHFG’s Net Profit Drops 5% in 2Q Owing to a Decrease in Gains on Investments

LH Financial Group Public Company Limited (LHFG) has announced its 2Q21 consolidated financial statement through the Stock Exchange of Thailand as follows;

In the second quarter of 2021, the operating results of LHFG showed the net profit of Baht 477.5 million, decreased by 14.8% when compared to the first quarter of 2021 with the net profit of Baht 560.5 million due to the decrease in net fees and service income by 19.9%  and the increase in expected credit losses by 21.2%, and decreased by 4.7% when compared to the second quarter of 2020 with the net profit of Baht 500.9 million due to the decrease in gains on investments.

In the 6-month period of  2021, LHFG’s net profit was Baht 1,038.0 million, decreased by 21.9% when compared to the 6-month period of 2020 with the net profit of  Baht 1,329.7 million due to the decrease in gains on investments and dividend income and the increase in other operating expenses.

Net interest income in the second quarter of 2021 amounted to Baht 1,272.0 million,  increased by 3.6% when compared to the first quarter of 2021 due to the decrease in  financial costs, and increased by 12.8% when compared to the second quarter of 2020. Interest income was Baht 1,874.5 million, decreased by 4.1% and interest expenses were Baht 602.5million, decreased by 27.1% when compared to the second quarter of 2020.

In the 6-month period of 2021, net interest income amounted to Baht 2,500.3 million,  increased by 3.9% when compared to the 6-month period of 2020. Interest income was Baht 3,722.0 million, decreased by 9.2% and interest expenses were Baht 1,221.7 million, decreased by 27.8% when compared to the 6-month period of 2020.