TMB Reports a Soaring 2020 Profit at ฿10Bn after Booking over a Fold of NII

TMB Bank Public Company Limited (TMB) has reported its yearly consolidated financial statement of 2020 through the Stock Exchange of Thailand as follows;

TMB reported a net profit of 10,112 million baht in 2020, increased 40% from a net profit of 7,222 million baht in 2019.

 

TMB reported yearly net interest income of 53,805 million baht, significantly rose by 100.33% YoY due to balance sheet optimization from running down high cost deposit which resulted in lower interest expense for the merged bank while NIM improved to 3.00% in 2020 despite the multiple rate cuts during the year and customer relief programs recalculated EIR, resulting from higher yield on earning assets from consolidation with TBANK and optimize its balance sheet. Non NII increased by 15.7 % YoY to 14,986 million baht, mainly from the broad based fee recovery in 4Q20, covering all key products.

 

TMB set aside expected credit loss of 24,831 million baht in 2020 compared to 10,337 million baht in 2019. The Bank’s provisioning is kept at an elevated level with sufficient capital cushion and is continuously adjusted to reflect changing environments. Stage 3 loans, as a result, totaled 39,594 million baht, representing NPL ratio of 2.50%.