SCBX Announced First-Quarter Profit Of Baht 11.0 Billion
SCB X Public Company Limited (SCBX) reported consolidated net profit of Baht 11.0 billion for the first quarter of 2023, up 9.5% yoy, while pre-provision operating profit went up 12.0% yoy to Baht 24.1 billion on the back of robust growth in net interest income.
net profit of Baht 11.0 billion for the first quarter of 2023, up 9.5% yoy, while pre-provision operating profit went up 12.0% yoy
SCB X Public Company Limited (SCBX) reported consolidated net profit of Baht 11.0 billion for the first quarter of 2023, up 9.5% yoy, while pre-provision operating profit went up 12.0% yoy to Baht 24.1 billion on the back of robust growth in net interest income.
For the quarter, net interest income increased 17.0% yoy to Baht 28.9 billion, propelled by an expansion in net interest margin amid upward interest rate trend. Overall loans grew 3.1% yoy due to the Bank’s quality loan growth and continued expansion in the auto title loans and consumer lending via digital platforms.
Fee and other income declined 6.6% yoy to Baht 10.8 billion, due to lower revenue contribution from bancassurance and wealth management businesses despite a rebound in transactional banking and loan-related fees. Investment and trading income also dropped 17.5% yoy to Baht 1.1 billion but showed an improvement from the previous quarter.
Operating expenses increased 3.8% yoy to Baht 16.8 billion due to an increase in business activities and effective cost control. As a result, cost-to-income ratio for the quarter stood at 41.0%.
The Company set aside provisions of Baht 9.9 billion, up 13.5% yoy, to preemptively provide a cushion for risk that may arise from a specific corporate customer. The non-performing loan (NPL) coverage ratio remained high at 163.8%.
The overall loan quality showed a continuous improvement, as the NPL ratio stood at 3.32% at the end of March 2023, down from 3.34% at the end of 2022. The capital adequacy ratio remained strong at 18.6%.
Arthid Nanthawithaya, Chief Executive Officer of SCBX, commented:
“The first-quarter performance better reflected the economic recovery while the Bank proceeded with the strategy to become a better bank. The net interest margin was continuously expanded, and asset quality was efficiently managed. New businesses also expanded customer bases and grew loans as planned under a prudent risk assessment.
Aside, shareholders approved the 60% dividend payout ratio for 2022 for the greater efficiency of the Company’s capital structure. This new group structure with SCBX as “Mothership” provides management flexibility to support growth of new businesses and sustainable value creation for shareholders.”
