Investor Presentation - Bangkok · PDF fileThe Thai Economy: Steady Trend of Moderate Recovery...
Transcript of Investor Presentation - Bangkok · PDF fileThe Thai Economy: Steady Trend of Moderate Recovery...
Investor Presentation For 2Q17
1. Operating Environment
2. Bangkok Bank’s Position
3. Our Key Focus & Strategy
4. Our Financial Results 2Q17
Bangkok Bank
2
The Thai Economy: Steady Trend of Moderate Recovery
3
Source: National Economic and Social Development Board of Thailand and Bank of Thailand 2017F GDP forecast by Bangkok Bank Since 2012 GDP Revised by Chain Volume Measures
GDP growth YoY (%)
4.6% 5.1% 5.0%
2.5%
-2.3%
7.8%
0.1%
7.3%
2.8%
0.9%
2.9% 3.2% 3-4%
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017F
Collapse in oil price
Great floods
Large scale fiscal stimulus
Global economic recovery
Global financial crisis
Strong Baht appreciation up to taper tantrum
Brexit US election
US Population : 323 mn
Euro area Population : 341 mn China
Population : 1,379 mn
World Population : 7.4 bn
Note: Population as of 2016 * Composed of 5 countries: Indonesia, Malaysia, Philippines, Thailand, and Vietnam Source: International Monetary Fund, World Economic Outlook update July 2017, The World Bank
ASEAN* Population : 639 mn
Japan Population : 127mn
1.6 2.1 2.1 2.1 1.8 1.7
0
1
1
2
2
3
3
2016 2018F 2020F
1.8 1.9 1.7 1.6 1.5 1.5
0
1
1
2
2
3
3
2016 2018F 2020F
6.7 6.7 6.4 6.0 5.9 5.8
5
6
6
7
7
2016 2018F 2020F
1.0 1.3 0.6 0.8
0.2 0.7
0
1
1
2
2
2016 2018F 2020F
4.9 5.1 5.2 5.3 5.3 5.3
55555555
2016 2018F 2020F
3.2 3.5 3.6 3.7 3.7 3.7
2
3
3
4
4
2016 2017F 2018F 2019F 2020F 2021F
4
With Moderate Global Growth, ASEAN Presents Major Opportunities Going Forward
60
80
100
120
140
160
180
Jan Jan Jan Jan Jan Jan Jan Jan Jun
Private Consumption Index (Seasonally Adjusted) Durables Index (Seasonally Adjusted)
90
100
110
120
130
140
Jan Jan Jan Jan Jan Jan Jan Jan Jun80
90
100
110
120
130
Jan Jan Jan Jan Jan
0
10
20
30
40
50
60
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
FY 2015 FY 2016 FY 2017
Exports and Government Spending underpin Growth
Exports
Private Consumption
Source: Bank of Thailand, The Office of Industrial Economics, Center for Economic and Business Forecasting, Bureau of Budget and Fiscal Policy Office 5
Government Investment Expenditure Billion Baht
Index Jan 2013 = 100, 3mma Monthly Index Jan 2010 = 100
Monthly Index Jan 2010 = 100
Flood
Flood
Private Investment
Apr 2010 2011 2012 2013 2014 2015 2016 2017
2010 2011 2012 2013 2014 2015 2016 2017
2013 2014 2015 2016 2017
15.9
19.2
22.4
26.5 24.8
29.9 32.6
0
5
10
15
20
25
30
35
40
2010 2011 2012 2013 2014 2015 2016
0.80 0.79
1.44 1.33
0.88 0.80 0.77
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
1.8
2010 2011 2012 2013 2014 2015 2016
Bright Spots in 2017: Tourism and Motor Vehicle Sales
Visitor Arrivals
Source: Department of Tourism, Ministry of Tourism and Sports
6
No of units (in million)
Motor Vehicle Sales
0.37 0.41
1H16 1H17
Number of Foreign Tourists (in million)
16.6 17.3
1H16 1H17
Source: CEIC
Infrastructure Projects in the Pipeline
7
Inter-city rail network Baht 1,184.1 billion
Transportation in Bangkok & vicinity Baht 396.6 billion
1
2
3 Highway network Baht 160.4 billion
Water transportation Baht 3.9 billion 4
Air transport Baht 51.6 billion
5
Source: Office of Transport and Traffic Policy and Planning, Ministry of Transport
2015-2022 Infrastructure Projects 1.797 Trillion Baht
2017 Transport Action Plan 36 Projects, 896 Billion Baht
Inter-city rail network
Under construction: Chira-Khonkhaen
Approved by the cabinet: 5 projects
To be proposed to the cabinet: 7 projects
Transportation in Bangkok & vicinity
Under procurement: Yellow/Pink/Orange Lines
Proposal development: 7 lines
Highway network
Under construction: Bang Pa In-Korat
Bang Yai-Kanchanaburi
Pattaya-Map ta Phut
Air Transport
Under construction: Suvannabhumi Phase II
Other Projects
High-speed trains: Bangkok-Korat, Bangkok-Rayong
Eastern Economic Corridor
Under procurement: Rama 3-Dao Khanong –Outer Ring Road west Bangkok
1.0 1.5 2.5
1.5
2014 2015 2016 Jan-May2017
Opportunities from Regionalization & Urbanization
Higher Connectivity in the AEC
0 10 20 30 40
Malaysia
USA
Japan
China
ASEAN
Billions of Dollar
Note: Trading value during January – June 2017 Source: Ministry of Commerce
Source: ASEAN Secretariat, ASEAN FDI database, Bank of Thailand
Thailand's Top 5 Trading Partners
8
FDI into Thailand and CLMV
8% of total trade CLMV 22% of total trade
16% of total trade
12% of total trade
9% of total trade
5% of total trade
Thailand’s Investment in CLMV Billions of Dollar Billions of Dollar
9.2 11.8 12.6
2.8 3.0 1.7
1.7 2.3
5.0
9.0 2.6
2014 2015 2016
Thailand
Cambodia
Lao PDR
Myanmar
Vietnam
Thailand’s New Engine of Growth
10 Target Industries
Next-Generation Automotive
Smart Electronics Affluent, Medical & Wellness Tourism
Agriculture & Biotechnology
Food for the Future
Robotics Aviation & Logistics Biofuels & Biochemicals Digital Medical Hub
9
National e-Payment
Digitalization
Anytime, Anywhere, Any devices
Challenges & Opportunities
PromptPay
EDC & Card Usage Expansion
E-Tax
Government E-Payments
Everyday-transactions to be made anywhere at anytime
Disrupted the way doing business in various industries
10
Intermediary Bypass
Digital Economy
1. Operating Environment
2. Bangkok Bank’s Position
3. Our Key Focus & Strategy
4. Our Financial Results 2Q17
Bangkok Bank
11
Large Retail Customer
Base
Scale and Franchise Leadership
Multi-tiered Distribution
Platform
Long-presence
International Branches
Full Range of Products & Services
Bangkok Bank
Our strong, long-standing relationships and extensive regional network position us to benefit from the opportunities provided by current market trends
Market Leader in Corporate
& SMEs
Strong Domestic Network
12
13
60%
70%
80%
90%
100%
110%
2009 2011 2013 2015 Jun-17
Sustainable Liquidity and Funding
Note: Data as at June 2017 /1 System refers to all commercial bank in Thailand Source: Bank of Thailand, Bangkok Bank Analysis
Stable deposit
base
Well-positioned
LDR
Adequate liquid assets
System/1 96.9%
BBL 86.1%
0
1,000
2,000
3,000
2009 2011 2013 2015 Jun-17
Baht bn +5.5% YTD
Our respectable liquidity ratio is supported by diversified customer base in Thailand
Regulatory Economic Momentum
15%
20%
25%
30%
35%
40%
2009 2011 2013 2015 Jun-17
BBL 34.0%
System/1 27.3%
% %
Capital requirements/1 as of the year 2017
Common Equity Tier 1 Ratio
Basel III
Tier 1 Ratio Total Capital Adequacy Ratio
Capital requirements/1 as of the year 2019
7.0%
17.1%
Note: /1 The Bank of Thailand requires commercial banks to maintain an additional capital conservation buffer. The buffer will gradually increase by more than 0.625% each year from January 1, 2016 until it reaches more than 2.5% in January 1, 2019
/2 The ratios include net profit for the second half of 2016 and the deduction of dividends to be paid in May 2017 /3 The ratios include net profit for the first half of 2017
Dec-16 Jun-17
Total Capital (Baht bn)
CE Tier1/ Tier 1 capital
407
Tier 2 capital
Strong Capital Position Our prudent policy of capital and liquidity enable us to capture future business opportunities while meeting the challenges of regulatory requirements
7.25% 9.75%
361
42
11.0%
8.5%
14
Regulatory Economic Momentum
367
40
403
5.75%
16.8% 17.1% 16.8%
18.9% 18.7%
Dec-16 Jun-17 Dec-16 Jun-17 Dec-16 Jun-17
and ratio as of June 30, 2017/3
BBL’s ratio as of December 31, 2016/2
45% 42% 40% 40% 42%
18% 19% 20% 20% 20%
11% 11% 11% 10% 10% 11% 12% 13% 14% 13% 15% 16% 16% 16% 15%
2013 2014 2015 2016 Jun-17
30% 30% 28% 26% 26%
16% 17% 19% 21% 21%
18% 16% 16% 16% 15%
15% 15% 14% 15% 15%
10% 11% 11% 11% 11% 9% 9% 10% 9% 10% 2% 2% 2% 2% 2%
2013 2014 2015 2016 Jun-17
Loan breakdown Percentage of composition
61% 61% 56% 60%
59%
39% 39% 44% 40%
41%
2013 2014 2015 2016 1H17
Net Interest Income
Non Interest Income
Income breakdown Baht bn, Percentage of composition
105.9 96.9
91.5 102.7
Resilient Position Across Business Cycle Diversification supports earning stability
By business unit
By Industry
International Consumer Business
Commercial
Corporate
Manufacturing
Utilities & services
Commercial
Other Housing Real estate & cons Agri & mining
15
55.3
16
214 204 185
174 151
142 141 130 136 132
100
120
140
160
180
200
220
240
260
280
300
2013 2014 2015 2016 Jun-17
Note: /1 System refers to all commercial bank in Thailand.
Source: Bangkok Bank Analysis
36.0 33.1 48.8 58.3 69.0
56.6 58.8 55.4
61.2 60.9
5.3 5.2 5.6 6.2 6.6
3.5 3.5 3.8 4.4 4.5
-15.00-14.95-14.91-14.86-14.82-14.77-14.72-14.68-14.63-14.59-14.54-14.49-14.45-14.40-14.36-14.31-14.26-14.22-14.17-14.13-14.08-14.03-13.99-13.94-13.90-13.85-13.80-13.76-13.71-13.67-13.62-13.57-13.53-13.48-13.44-13.39-13.34-13.30-13.25-13.21-13.16-13.11-13.07-13.02-12.98-12.93-12.88-12.84-12.79-12.75-12.70-12.65-12.61-12.56-12.52-12.47-12.42-12.38-12.33-12.29-12.24-12.19-12.15-12.10-12.06-12.01-11.96-11.92-11.87-11.83-11.78-11.73-11.69-11.64-11.60-11.55-11.50-11.46-11.41-11.37-11.32-11.27-11.23-11.18-11.14-11.09-11.04-11.00-10.95-10.91-10.86-10.81-10.77-10.72-10.68-10.63-10.58-10.54-10.49-10.45-10.40-10.35-10.31-10.26-10.22-10.17-10.12-10.08-10.03-9.99-9.94-9.89-9.85-9.80-9.76-9.71-9.66-9.62-9.57-9.53-9.48-9.43-9.39-9.34-9.30-9.25-9.20-9.16-9.11-9.07-9.02-8.97-8.93-8.88-8.84-8.79-8.74-8.70-8.65-8.61-8.56-8.51-8.47-8.42-8.38-8.33-8.28-8.24-8.19-8.15-8.10-8.05-8.01-7.96-7.92-7.87-7.82-7.78-7.73-7.69-7.64-7.59-7.55-7.50-7.46-7.41-7.36-7.32-7.27-7.23-7.18-7.13-7.09-7.04-7.00-6.95-6.90-6.86-6.81-6.77-6.72-6.67-6.63-6.58-6.54-6.49-6.44-6.40-6.35-6.31-6.26-6.21-6.17-6.12-6.08-6.03-5.98-5.94-5.89-5.85-5.80-5.75-5.71-5.66-5.62-5.57-5.52-5.48-5.43-5.39-5.34-5.29-5.25-5.20-5.16-5.11-5.06-5.02-4.97-4.93-4.88-4.83-4.79-4.74-4.70-4.65-4.60-4.56-4.51-4.47-4.42-4.37-4.33-4.28-4.24-4.19-4.14-4.10-4.05-4.01-3.96-3.91-3.87-3.82-3.78-3.73-3.68-3.64-3.59-3.55-3.50-3.45-3.41-3.36-3.32-3.27-3.22-3.18-3.13-3.09-3.04-2.99-2.95-2.90-2.86-2.81-2.76-2.72-2.67-2.63-2.58-2.53-2.49-2.44-2.40-2.35-2.30-2.26-2.21-2.17-2.12-2.07-2.03-1.98-1.94-1.89-1.84-1.80-1.75-1.71-1.66-1.61-1.57-1.52-1.48-1.43-1.38-1.34-1.29-1.25-1.20-1.15-1.11-1.06-1.02-0.97-0.92-0.88-0.83-0.79-0.74-0.69-0.65-0.60-0.56-0.51-0.46-0.42-0.37-0.33-0.28-0.23-0.19-0.14-0.10-0.050.000.040.090.130.180.230.270.320.360.410.460.500.550.590.640.690.730.780.820.870.920.961.011.051.101.151.191.241.281.331.381.421.471.511.561.611.651.701.741.791.841.881.931.972.022.072.112.162.202.252.302.342.392.432.482.532.572.622.662.712.762.802.852.892.942.993.033.083.123.173.223.263.313.353.403.453.493.543.583.633.683.723.773.813.863.913.954.004.044.094.144.184.234.274.324.374.414.464.504.554.604.644.694.734.784.834.874.924.965.015.065.105.155.195.245.295.335.385.425.475.525.565.615.655.705.755.795.845.885.935.986.026.076.116.166.216.256.306.346.396.446.486.536.576.626.676.716.766.806.856.906.946.997.037.087.137.177.227.267.317.367.407.457.497.547.597.637.687.727.777.827.867.917.958.00
-
30.00
60.00
90.00
120.00
150.00
180.00
2013 2014 2015 2016 Jun-17
BBL's Excess reserves over BOT requirement (Bn Baht)
BBL's Required Reserve by BOT (Bn Baht)
BBL's LLR/Loans (%)
System 's LLR/Loans (%)
Resilient Position Across Business Cycle
Loan loss reserves, LLR/Loan Billion Baht, Percentage
92.6 91.9
119.5 104.2
Sound loan asset quality reflects our conservative stance
Coverage ratio Percentage
System/1 BBL
129.9
/1
1. Operating Environment
2. Bangkok Bank’s Position
3. Our Key Focus & Strategy
4. Our Financial Results 2Q17
Bangkok Bank
17
Our Key Focus & Strategy
Go through transition period
together with customers
Short-term
Sustainability growth
Long-term
Leverage our scale and franchise
leadership
Tailor products and services to customer needs
Digital capabilities
Utilize our extensive network, long-term relationships and full range of products & services
Support customers to reach out to new markets
Offer total solutions with full suite of best-in-class financial solutions
Support customers in adapting to rapidly evolving sector dynamics
Continue to improve customer experience by further developing digital technology
Capture new trends and digital practices
18
19
1. Operating Environment
2. Bangkok Bank’s Position
3. Our Key Focus & Strategy
4. Our Financial Results 2Q17
Bangkok Bank
1,753 1,782 1,869
1,941 1,924 1,978
2013 2014 2015 2016 Mar-17 Jun-17
90.6% 86.6% 89.4% 89.1% 85.7% 86.1%
2013 2014 2015 2016 Mar-17 Jun-17
Current & Saving Fixed LDR ratio
Overall Financial Positions
20
NPL amount, NPL ratio Billion Baht, Percentage
Loans Billion Baht
Deposit Baht bn, Percentage of composition
CE Tier1, Capital Ratio/1 Percentage
43.2 45.0 56.2
68.8 77.8
85.9
2.2 2.1 2.8 3.2 3.5 3.7
(1 0.00 )
(5 .00)
-
5.0 0
10.00
0
20
40
60
80
100
120
140
160
180
2013 2014 2015 2016 Mar-17 Jun-17
NPL Amount (Bn Baht) NPL Ratio (%)
-0.9% YTD
+1.9% YTD +2.8 % QoQ +3.7% YoY
+5.5% YTD +2.4% QoQ
14.7% 15.6% 16.2% 16.8% 17.2% 17.1%
2013 2014 2015 2016 Mar-17 Jun-17
CE Tier 1/Tier1 Tier2
17.2% 17.9% 18.3% 18.7% 19.0%
1,935 2,059 2,091 2,298
58%
42%
58%
42%
55%
45%
52%
48%
2,178
52%
48%
Note: /1 For 2013-Mar-17, the ratios include net profit and deducted dividend /2 For Jun-17, the ratios include net profit for the first half of the year 2017
2,244
51%
49%
18.9%
/2
41.5% 44.5% 43.8%
47.7%
2013 2014 2015 2016
50.7%
40.7% 45.8%
2Q16 1Q17 2Q17
49.4%
43.3%
1H16 1H17
2.36% 2.37%
2.16%
2.34%
2013 2014 2015 2016
2.33% 2.33%
1H16 1H17
61% 59%
1H16 1H17
Net Interest Income Net Fee Income Other Income
61% 61% 56% 60%
2013 2014 2015 2016
63% 60% 59%
2Q16 1Q17 2Q17
21
Total Income and Operating Expenses
2.27% 2.35% 2.31%
2Q16 1Q17 2Q17
+4 bps YoY -4 bps QoQ
6.0 6.7 6.4
0
5
10
15
20
25
30
2Q16 1Q17 2Q17
+6.6% YoY -5.2% QoQ
37%
Income breakdown Baht bn, Percentage of composition
NIM Percentage
27.2 24.8 28.0
40% 41%
105.9 102.7 96.9 91.5
39% 44% 40% +18 bps YoY
Net fee income Baht bn
21.2 21.7 24.1 24.5
0
10
20
30
40
2013 2014 2015 2016
Cost-to-income ratio Percentage
+1.7% YoY
39% 51.5 55.3
39% 41%
12.1 13.1
1H16 1H17
+8.4% YoY
+7.2% YoY +12.9% YoY +3.0% QoQ
+3.0% YoY
15.5 16.4
7.2 11.5
25.4 23.9
1H16 1H17
15.5 16.4
7.2 11.5
25.4 23.9
1H16 1H17
35.9 36.3 34.2 31.8
8.6 8.7 14.7 15.7
37.9 43.1 45.0
50.5
2013 2014 2015 2016
Overall Profitability
Profitability drivers Billion Baht
Note: /1 Owners of the Bank
22
Total Revenue
105.9 102.7 96.9
91.5
51.5 55.3
Operating expenses Provisioning expenses Tax Net profit/1
7.2 8.3 8.0
3.5 5.8 5.7
12.6 11.1 12.8
2Q16 1Q17 2Q17
24.8 27.2 28.0 51.5 55.3
Appendix
23
- Financial Results
Loan Growth and Composition
Loan by Business Unit Percentage of composition
Dec-16
Loan by Industry Percentage of composition
21% Utilities & Services
11% Housing
15% Others
Agriculture & Mining 2%
26% Manufacturing
Real Estate &Construction
9%
16% Commercial
24
1,753 1,782 1,869
1,941 1,924 1,978
2013 2014 2015 2016 Mar-17 Jun-17
Loan Billion Baht
+1.9% YTD +2.8% QoQ +3.7% YoY +3.9% YTD
10% Business
14% Consumer
International 16% Corporate
40%
20% Commercial
Jun-17
10% Business
13% Consumer
20% Commercial
Dec-16
21% Utilities & Services
11% Housing
15% Others
Agriculture & Mining 2%
26% Manufacturing
Real Estate &Construction
10%
15% Commercial
Jun-17
International 15% Corporate
42%
-0.9% YTD
16% 16% 16% 16%
25% 26% 25% 26%
25% 24% 23% 24%
9% 9% 8% 8%
12% 13% 15% 15%
13% 12% 13% 11%
2013 2014 2015 2016
16% 17% 16%
25% 25% 24%
23% 22% 23%
9% 8% 8%
15% 17% 17%
12% 11% 12%
2Q16 1Q17 2Q17
17% 16%
26% 25%
23% 23%
8% 8%
15% 17%
11% 11%
1H16 1H17
25
Fee income breakdown Percentage of composition
12.1 13.1
1H16 1H17
Net fee income Baht bn
+8.4% YoY
Fee Income
21.2 21.7 24.1 24.5
2013 2014 2015 2016
+1.7% YoY
Other Fees and Commissions
Bancassurance and Mutual Funds
Global market services
Transaction services
Credit Card business
Loan related fee
6.0 6.7 6.4
2Q161Q172Q16
+6.6% YoY -5.2% QoQ
12.1 13.1
1H16 1H17
+8.4% YoY
Baht mn
Dec-13 Dec-14 Dec-15 Dec-16 Growth Jun-17 Growth
%YTD %QoQ %YTD
Loans/1 1,752,667 1,782,233 1,868,903 1,941,093 3.9% 1,978,391 2.8% 1.9%
Deposits 1,935,272 2,058,779 2,090,965 2,178,141 4.2% 2,297,918 2.4% 5.5%
LDR 90.6% 86.6% 89.4% 89.1% -0.3% 86.1% 0.4% -3.0%
NPL 43,228 45,046 56,226 68,841 22.4% 85,947 10.5% 24.8%
NPL ratio 2.2% 2.1% 2.8% 3.2% 0.4% 3.7% 0.2% 0.5%
LLR to NPL 214% 204% 185% 174% -11% 151% -9% -23%
LLR to loans 5.3% 5.2% 5.6% 6.2% 0.6% 6.6% 0.1% 0.4%
Liquid assets/2 772,733 920,034 906,648 956,847 5.5% 1,034,447 0.03% 8.1%
Liquid asset to total assets 29.8% 33.3% 32.0% 32.5% 0.5% 34.0% -0.5% 1.5%
CET1/Tier 1 ratio/3 14.7% 15.6% 16.2% 16.8% 0.6% 17.1% -0.1% 0.3%
CAR/3 17.2% 17.9% 18.3% 18.7% 0.4% 18.9% -0.1% 0.2%
Financial Position
Note: /1 Loans = Loans to customers Less Deferred revenue /2 Liquid assets consist of cash, interbank and money market assets, claims on securities and trading & available-for-sale securities /3 For 2013-2016, the ratios include net profit and deducted dividend. For Jun-17, the ratios include net profit for the first half of the year 2017.
26
Financial Performance – 2Q17
Note: /1 Attributable to the Bank
Baht mn
2Q16 1Q17 2Q17 Growth (%)
QoQ YoY
Net interest income 15,596 16,277 16,568 1.8% 6.2%
Net fee income 5,976 6,719 6,372 -5.2% 6.6%
Non-interest income 9,250 10,939 11,472 4.9% 24.0%
Total income 24,846 27,216 28,040 3.0% 12.9%
Operating expenses 12,599 11,082 12,846 15.9% 2.0%
Provisioning expenses 3,542 5,806 5,688 -2.0% 60.6%
Net profit/1 7,169 8,305 8,047 -3.1% 12.2%
EPS/1 (Baht per share) 3.76 4.35 4.22 -3.1% 12.2%
NIM 2.27% 2.35% 2.31% -0.04% 0.04%
Net fee income ratio 24.1% 24.7% 22.7% -2.0% -1.4%
Cost to income ratio 50.7% 40.7% 45.8% 5.1% -4.9%
ROA/1 0.98% 1.13% 1.07% -0.06% 0.09%
ROE/1 7.80% 8.81% 8.38% -0.43% 0.58%
27
Financial Performance – 1H17
Note: /1 Attributable to the Bank
Baht mn
1H15 1H16 1H17 Growth (%)
YoY
Net interest income 27,452 31,629 32,845 3.8%
Net fee income 11,820 12,079 13,091 8.4%
Non-interest income 22,135 19,916 22,408 12.5%
Total income 49,587 51,545 55,253 7.2%
Operating expenses 21,959 25,448 23,925 -6.0%
Provisioning expenses 5,901 7,186 11,494 59.9%
Net profit/1 17,442 15,487 16,352 5.6%
EPS/1 (Baht per share) 9.14 8.11 8.57 5.6%
NIM 2.08% 2.33% 2.33% 0.00%
Net fee income ratio 23.8% 23.4% 23.7% 0.3%
Cost to income ratio 44.3% 49.4% 43.3% -6.1%
ROA/1 1.25% 1.07% 1.10% 0.03%
ROE/1 10.48% 8.48% 8.61% 0.13%
28
Financial Performance – Year
Note: /1 Attributable to the Bank
Baht mn
2013 2014 2015 2016 Growth (%)
YoY
Net interest income 55,879 58,997 57,510 63,998 11.3%
Net fee income 21,239 21,726 24,071 24,492 1.7%
Non-interest income 35,579 37,860 45,219 41,860 -7.4%
Total income 91,457 96,857 102,728 105,858 3.0%
Operating expenses 37,947 43,087 45,045 50,505 12.1%
Provisioning expenses 8,593 8,687 14,654 15,728 7.3%
Net profit/1 35,906 36,332 34,181 31,815 -6.9%
EPS/1 (Baht per share) 18.81 19.03 17.91 16.67 -6.9%
NIM 2.36% 2.37% 2.16% 2.34% 0.18%
Net fee income ratio 23.2% 22.4% 23.4% 23.1% -0.3%
Cost to income ratio 41.5% 44.5% 43.8% 47.7% 3.9%
ROA/1 1.45% 1.39% 1.21% 1.09% -0.12%
ROE/1 12.62% 11.66% 9.91% 8.59% -1.32%
29
Baht
0.75 0.75 1.00 1.00 1.00 1.00 1.50 2.00 2.00 2.00 2.00 2.00 2.00 1.00 1.25 1.75 2.00 2.00
3.00 3.50
4.00 4.50 4.50 4.50 4.50 4.50
0
10
20
30
40
50
0
2
4
6
8
10
12
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Interim (L) Final (L) Dividend payout ratio (R)
5.00
3.00 4.00
6.00 6.50 6.50
43.6%
3.00 2.75 2.00 1.75
Percent
6.50 6.50
Dividends and Payout Ratio
30
6.50
2014 2015 2016 2Q17
Branches/1
ATMs
CDMs
Employees
1,144
8,877
1,237
26,132
1,169
9,330
1,271
27,142
1,189
9,305
1,282
26,871
1,197
9,338
1,291
Note: Consolidated /1 Including domestic and international branches, excluding self-services outlets
+25
+453
+34
+1,010
+20
-25
+11
+8
+33
+9
-271
31
Networks
26,030 -841
Long-standing International Presence
Japan Branches: 2 Number of Years: 61
UK Branches: 1 Number of Years: 60
USA Branches: 1 Number of Years: 52
Laos Branches: 2 Number of Years: 23
Philippines Branches: 1 Number of Years: 21
Vietnam Branches: 2 Number of Years: 24
China/1
Branches: 6 Number of Years: 30
Myanmar
Branches: 1 Number of Years: 22
Malaysia/1
Branches: 5 Number of Years: 58
Singapore Branches: 1 Number of Years: 60 Indonesia
Branches: 3 Number of Years: 44
Taiwan Branches: 3 Number of Years: 52
Hong Kong Branches: 2 Number of Years: 63
Cayman Island Branches: 1 Number of Years: 1
Cambodia Branches: 1 Number of Years: 2
Note: As at June 2017
/1 Wholly-owned subsidiaries
Source: Bangkok Bank filings
32 international locations
in 15 economies
32
Consolidated 2017 Financial Targets
Loan growth 4-6%
NPL ratio (gross) Slightly increase
Net interest margin (NIM) Maintain
Net fee income growth Up to mid single digit
Cost to income ratio Mid-40s
2017 Financial Targets
Note: The above financial targets are based on the Bank’s preliminary estimates that may change due to the operating environments and other unforeseen circumstances.
33
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Contact: Investor Relations Team Tel (66) 2 626 4981 Fax (66) 2 231 4890 Email: [email protected] Bangkok Bank Website www.bangkokbank.com
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