Bangkok Bank Public Company (BBL) Investor Presentation summary

Macroeconomic and operating environment

• Thai economy is expanding modestly, with improved exports, robust domestic consumption, and a rebound in tourism supported by government stimulus and visa-free measures.

• Public spending and investment are expected to pick up, aided by large stimulus packages and property sector incentives.

• Foreign direct investment into ASEAN remains strong, with Thailand's inflows well-diversified across industries and countries.

• Solid fundamentals include low unemployment, controlled inflation, and robust foreign exchange reserves.

Financial performance and key metrics

• Net profit for 9M24 rose 6.2% YoY, driven by higher net interest income and stable cost management.

• Net interest margin improved to 3.05% in 9M24, with net fees and service income up 1.2% YoY, mainly from bancassurance and mutual funds.

• Cost to income ratio remained stable at 46.3%, and the NPL ratio was 3.4%, with a strong coverage ratio of 266.6% and healthy liquidity.

• 3Q24 net profit increased 9.9% YoY, with total income up 7.6% and operating expenses rising 13.7%.

Balance sheet, asset quality, and capital

• Loan portfolio decreased slightly YTD, with corporate loans showing growth and a diversified sectoral mix.

• Asset quality remains manageable, with NPL ratio at 3.4% and strong loan loss reserves built up over years.

• Loan-to-deposit ratio is stable at 84.8%, and liquidity coverage ratio remains robust.

• Capital positions are strong, with CET1 at 16.6%, Tier 1 at 17.4%, and total capital ratio at 20.8% as of Sep 2024.