TMB Books a Profit of ฿7.2bn in 2019, Reporting Higher NII and Lower NPL!

TMB Bank Public Company Limited (TMB) has reported its yearly consolidated financial statement of 2019 through the Stock Exchange of Thailand as follows;

TMB reports a net profit in 2019 at THB 7,222 million, decreased by 37.74% mainly due to lower non-interest income and an increase of non-interest expenses.

TMB reported 12M19 net interest income of THB 26,865 million, rose by 99.77% YoY. Key driver was due to the recognition of interest income on hire purchase into TMB account despite NIM declined to 2.8 1% in 2019.

Non-interest income declined by 45.0% YoY to THB 12,956 million from THB 23,545 million in the same period last year due primarily to the recognition of gain from TMBAM deal in 2018 and lower net fees and service income from Bancassurance and mutual fund sales.

Net fees and service income decreased by 13.3% YoY to THB 8,098 million. The reduction was due owing to slowing mutual fund and bancassurance fees, offsetting with higher net fee income from auto loan business from TBANK.

Share of profit from investment using the equity method was recorded at THB 324 million, consisted of the recognition 35% in TMBAM stake and profit-sharing from 49.9% holding in TFUND as an associated company.

Meanwhile, gain on trading and foreign exchange transactions relatively stable YoY to THB 1,528 million. However, non-interest expenses amounted to THB 20,674 million, an increase of 18.3% YoY from last year.

 

As of 31 December 2019, NPL ratio was recorded at 2.30%, compared with 2.52% as of 30 September 2019 and 2.76% at the end of 2018.