KTC profit for 9 months 4,631 million baht
On October 16, 2021 at 1:37 p.m.
KTC reported a 9-month performance with a net profit growing 15.4% to 4,631 million baht, while the third quarter grew 7.9% to 1,317 million baht in response to the COVID-19 situation. affect income
Mr. Rathian Srimongkol, Chief Executive Officer, “KTC” or Krungthai Card Public Company Limited, said that although the overall Thai economy continues to be affected by the COVID-19 outbreak. But the situation is expected to improve. After the government relaxed measures to control travel and behavior in some high-risk areas. According to the announcement that the country will begin opening on November 1, this should benefit the amount of card spending and the growth of the receivable portfolio that will return to growth. KTC has developed and is ready to offer quality financial services and products. so that KTC members and new target groups Get value, convenience and a good experience with every spending.
In the past 8 months KTC accounted for 13.5% of credit card receivables compared to the industry. Credit card spending decreased by -1.5% (industry contracted -2.1%) and the proportion of personal loan receivables compared to industry was 4.3%.
As for KTC’s operating results as of September 30, 2021, when compared to the same period of 2020, KTC had a profit attributable to the Company for the first nine months of 4,631 million baht, an increase of 15.4% and a net profit in the third quarter of 1,317 million baht, an increase of 7.9%. Although for the 9-month period of 2021, KTC’s total revenue decreased -3.4% to 15,930 million baht, but the company was able to manage total expenses to decrease -12.0% at 10,097 million baht due to the reduction of finance costs -7.5 percent and the expected credit loss -28.9%, as well as bad debt recovery at an increased rate of 5.9%. Consistently good quality debtors Consequently, there is less need to set up an allowance for expected credit losses. As a result, the net profit of the company grow in proportion to the above
The total receivable portfolio expanded and the quality improved. due to a decrease in the number of non-performing loans Total loans to customers and accrued interest increased 3.2% from the same period last year, equal to 87,030 million baht, total membership base 3,306,580 accounts, divided into 2,522,945 credit card member portfolios, loans to credit card debtors and total accrued interest. 54,521 million baht, 9-month spending via card was 137,705 million baht, a decrease of -1.6% in line with the economic situation. In the third quarter, the ratio of NPLs to total loans (% of NPL) was 3.8%, decreasing from the second quarter. At 4.4%, credit card NPL in Q3 was at 1.5%, the same level as Q2. KTC personal loan portfolio 783,635 accounts. Loans to personal loan and accrued interest receivables totaled 29,203 million baht. at 3.2%, an increase from 3.0% in Q2; KTBL’s portfolio of hire purchase receivables valued at 3,306 million baht. NPL to Leasing Loans was 46.1%, decreasing from 51.7% in Q2. KTC paid the purchase price. Ordinary shares of Co., Ltd. Krungthai Leasing Business (KTBL) in the proportion of 50% with an amount of 297.2 million baht on May 21, 2021 and will pay the rest of the price. After the examination of the conditions is completed within November 2021, the total value may be adjusted lower or higher in accordance with the settlement conditions.
The Company also has an Available Credit Line of 21,250 million baht, the cost of finance for the nine-month period is 2.64%, and the debt to equity ratio is 2.21 times, lower than the obligation of 10 times.
For the direction of doing business in the last quarter of this year In addition to the selection of products Marketing services and activities to meet the diverse needs of each group member KTC continues to focus on quality debtor portfolio management in every business throughout the process. from the beginning of screening until the maintenance and maintenance of the member base To offer effective financial tools to members of all groups in every rhythm of life. Even when members are suffering from various situations For example, the COVID-19 crisis, the Company has complied with all measures to help debtors of the Bank of Thailand. Including helping debtors who participate in the measure to change credit card debt and personal loans to long-term personal loan loans The value of receivables as of September 30, 2021 is equal to 1,825 million baht from 26,174 accounts and has also extended the measure to reduce the minimum repayment rate of KTC credit cards automatically from 10% to 5% for cards with Summary of the fiscal year from March 26, 2020 – December 31, 2022, the rate of 8% for cards with a summary of the accounting period from January 1, 2023 – December 31, 2023 and a rate of 10% for cards with a summary of the accounting period from January 1, 2024 onwards by members. The card does not have to be requested individually.
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