KKP’s 1Q Profit Plunges 19% to ฿1.22bln. as Expenses Pile up!

Kiatnakin Bank Public Company Limited (KKP) has reported its 1Q19 consolidated financial statement through the Stock Exchange of Thailand as follows:

The net profit for 1Q19 totaled THB 1,228 million, declined 18.8% compared to a net profit of THB 1,513 million YoY.

Interest income was THB 4,441 million, increased 17.2% from 1Q18 mainly from loan expansions. Interest income on loans increased by 27.8% YoY. Interest income from hire purchase and financial lease and interest on investment in loans also increased by 6.1% and 77.4% YoY respectively.

Meanwhile, brokerage business income totaled THB 339 million, declining 29.8% from THB 483 million YoY mainly from the decrease in market trading volume.

Total operating income amounted to THB 4,441 million, increased by THB 102 million or 2.4% from 1Q18. In addition to net interest income and net fees and services income, gain on trading and foreign exchange transactions totaled THB 107 million declining by 34.4% YoY. Dividend income and profit sharing amounted to THB 180 million, also declining by 34.6% from 1Q18. Meanwhile, other operating expenses were THB 2,462 million, increased by 19.5% YoY from THB 2,060 million YoY.

total loan loss reserve to total NPLs ratio (coverage ratio) stood at 114.1% for 1Q19, increased from 110.9% as of the end of 1Q18.