LHFG Reports 2024 Performance with 7% Loan Growth, Unveils 2025 Strategy to Expand Loan Portfolio, Strengthen LHB SME Brand, and Drive Sustainable Growth

Despite these challenges, LH Financial Group's financialbusinesses demonstrated resilience and growth. In 2024, LHFG recordeda robust 7.3% expansion, bringing total assets to THB 346.86 billion andnet profit to THB 2.047 billion an impressive performance, even amidstcapital market volatility affecting the securities sector.

Commitment to Sustainable Growth and Governance in 2025

Looking ahead to 2025, LHFG and its subsidiaries remaincommitted to providing comprehensive financial services while ensuringsustainable growth and strong corporate governance. This commitment isreflected in various prestigious recognitions, including the ExcellentCorporate Governance Assessment 2024, SET ESG Ratings, ESG100Certification, Sustainability Disclosure Recognition, and Carbon NeutralCertificate.

LH Bank Reports Strong 2024 Performance with 18.7%

ProfitGrowthMr. Shih Jiing-Fuh, CEO and President of Land and HousesBank Public Company Limited (LH Bank), highlighted the bank's strongperformance, achieving a net profit of THB 2.01 billion an 18.7% increasefrom 2023. This growth was driven by loan expansion, higher non-interestincome, and stringent loan quality controls. Loans expanded by 6.6%,while the non-performing loan (NPL) ratio remained low at 2.34%,supported by prudent provisioning that resulted in an NPL coverage ratioof 214%.

A significant driver of credit expansion was LH Bank's strategicfocus on its Taiwanese corporate segment, which grew by an impressive43% in 2024, with strong support from CTBC Bank Taiwan's leading 2private bank and LHFG's majority shareholder. Additionally, home loanssaw a 12% increase.

2025 Strategy: Corporate and SME Lending, Digital Transformation,and Sustainability

For 2025, LH Bank aims to expand corporate lending in keyindustries, enhance trade finance and FX services to support foreigndirect investment (FDI), and leverage CTBC Bank's expertise to acquirehigh potential clients. The bank continues to upgrade its digital capabilitiesto develop innovative loan products and financial services.In the SME sector, LH Bank will focus on financing solutions tailoredto business needs while increasing brand awareness through advertisingand public relations campaigns. The bank is also expanding its footprint inThailand's Eastern Economic Corridor (EEC), a key industrial andinvestment hub, with the launch of the Amata City Chonburi BusinessBranch in early second quarter of 2025.

For retail customers, LH Bank will continue to strengthen its positionin housing loan market, introduce new deposit products including specialrate deposits for wealth clients and foreign currency deposits (FCDs) andexpand its customer base through strategic partnerships and marketinginitiatives. Sustainability remains a core priority, with plans to supportcustomers in reducing greenhouse gas emissions through green loansand transition loans, in collaboration with industry partners andenvironmental consulting firms.

Mr. Monrat Phadungsit, President of Land and Houses FundManagement Company Limited (LH Fund), expressedthat, in 2025, the company is obliged to raising its standards to become aleading fund management company by promoting flagship funds withoutstanding performance, emphasizing sustainable and flexibleinvestment to cater for all market conditions, and maintaining the qualityof the fund's performance at a high level continuously to build confidenceand address investors' financial goals.

LH Fund will select funds with excellent performance (Best-in-Class)both feeder fund and foreign investment fund along with new investmentstrategies in the new economy era to expand growth opportunities forinvestors and prepare IPOs of stock funds and fixed-income funds thatrespond to the world's changes from a globalized economic system to amulti-polar economic system (Multi-polar Model) including expandingproduct diversity with funds linked to the volatility index to meet investors'needs in all market situations. For private funds, the customer base will beexpanded by designing investment products and services that fulfillspecific needs. For the provident fund (PVD), the company has constantlydeveloped the life path system, which will automatically rebalancemembers' investment portfolios throughout the PVD membership. For

3Real Estate Investment Trusts (REITs), the company has a plan toincrease asset value through organic and inorganic growth and has a planto purchase new assets coupled with asset adjustments in the portfolio tosustainably generate value added for investors.Fund management performance at the end of 2024, the companyhad a net asset under management (AUM) including property funds andreal estate investment trusts (REITs) totaling Baht 63.992 billion, anincrease of approximately 15 percent from 2023. For private funds, thefund size is Baht 14.152 billion and the provident fund (PVD) had a fundsize of Baht 9.641 billion.

Mr. Kant Athatamsuntorn, President of Land and HousesSecurities Public Company Limited (LH Securities),announced that the overall securities business in 2024 is a challengingyear for the securities business, as reflected by the Thai stock market,which has been volatile and continuously slumping. The Stock Exchangeof Thailand Index closed at 1,400.21 points, down 1.1 percent, markingthe first two consecutive years of declines in over two decades. Dumpsales from foreign investors were the main pressure, which accounted for50 percent of the total trading value with net sales of Baht 147 billion. Theaverage daily trading value was Baht 46.55 billion, down 13 percent fromthe previous year.

In 2024, the company introduced investment advisory services toincrease its income from securities underwriting fees and investmentadvisory to compensate for the decline in brokerage income anddeveloped service channels by connecting to the LHB YOU application ofLand and Houses Bank to provide customers with convenient and fastservices.

For the performance in 2024, brokerage income was Baht 101.3million, a decrease of 23 percent compared to 2023, mainly from thecontraction in trading volume of the Thai stock market, which affectedbrokerage income for the entire industry.

For the strategy in 2025, the company focuses on generatingpassive incomes from businesses other than brokerage income such asinterest income from margin loan, dividend income, and income fromsecurities underwriting fees and investment advisory and developstechnology systems to acquire more customers and drive engagement ofexisting customers via convenient, fast and secure services, along withefficient cost management.