CIMBT’s High Expense Sinks Its 2018 Profit by 98% to ฿7M. from ฿384M. in 2017
CIMBT reports a lower profit in 2018 due to higher operating expense and lower net fee and service income.
CIMB Thai Bank Public Company Limited (CIMBT) has reported its 2018 consolidated financial statement through the Stock Exchange of Thailand as follows:
In 2018, CIMBT recorded a net profit of ฿6.9 million, decreased from ฿384 million in 2017 or 98.2%, mainly from profit tax that decreased by ฿217.6 million or 44.5% YoY to ฿271.2 million as the operating expenses grew by 9.6%, while net fee and service income and other income also decreased by 7.0% and 2.6%, respectively. This is offset by a 5.3% growth in net interest income and a 2.6% decline in provisions.
On a YoY basis, CIMBT’s operating income increased by ฿381.7 million or 2.9% to ฿13,536.5 million from higher net interest income mainly due to loan expansion and higher interest income on investments.
The gross NPL stood at ฿9.9 billion, with a lower gross NPL ratio of 4.3% compared to 4.8% as at 31 December 2017. The lower NPL ratio was due to more efficient risk management policies, improved asset quality management and load collection processes as well as the sale of some NPLs in 2018.
