CIMB THAI posts THB 537.4 million net profit for 9M2018

          Summary
          - Net profit of THB 537.4 million
          - Profit before tax of THB 736.6 million (+5.9% YoY)
          - Operating income of THB 1CIMB Thai Bank PCL,CIMB Thai Bank PCL85.2 million (+2.5% YoY)

          9M2CIMB Thai Bank PCL18 Financial Results 
          Mr. Kittiphun Anutarasoti, President and Chief Executive Officer of CIMB Thai Bank PCL, stated that according to the unreviewed consolidated financial results for the nine months ended 3CIMB Thai Bank PCL September 2CIMB Thai Bank PCL18, CIMB Thai group recorded a consolidated net profit of THB 537.4 million, a year-on-year ("YoY") decrease of THB 17.CIMB Thai Bank PCL million or 3.1%, whilst profit before tax ("PBT") rose by THB 41.CIMB Thai Bank PCL million or 5.9% YoY to THB 736.6 million. This is mainly attributed to a 2.5% growth in operating income and a 1CIMB Thai Bank PCL.3% decline in provisions, partially offset by a 1CIMB Thai Bank PCL.8% increase in operating expenses and lower net fee and service income and other income of 2.4% and 7.4% respectively.
          On a YoY basis, consolidated operating income for CIMB Thai group increased by THB 246.6 million or 2.5% from 9M2CIMB Thai Bank PCL17 to THB 1CIMB Thai Bank PCL,CIMB Thai Bank PCL85.2 million from higher net interest income of THB 338.4 million or 4.4% YoY mainly from loan expansion. Net fee and service income decreased by THB 35.1 million or 2.4%, due to higher fees and service expenses. Other income decreased by THB 56.7 million or 7.4% due to lower gains on trading and foreign exchange transactions and lower gains on investments.
          Operating expenses increased by THB 586.2 million or 1CIMB Thai Bank PCL.8%, mainly from higher personnel cost in line with the Bank's Fast Forward expansion strategy and loss on sale of properties for sale. This resulted in a higher cost to income ratio of 59.7% in 9M2CIMB Thai Bank PCL18 compared to 55.2% in 9M2CIMB Thai Bank PCL17.
          Net Interest Margin (NIM) over earning assets stood at 3.77% in 9M2CIMB Thai Bank PCL18, compared to 3.88% in 9M2CIMB Thai Bank PCL17 as a result of lower yield on earning asset.
          As at 3CIMB Thai Bank PCL September 2CIMB Thai Bank PCL18, total gross loans (inclusive of loans guaranteed by other banks and loans to financial institutions) stood at THB 219.9 billion, marking an increase of 3.3% from 31 December 2CIMB Thai Bank PCL17. Deposits (inclusive of Bill of Exchanges, Debentures and selected Structured Deposit Products) stood at THB 231.6 billion, an increase of 5.3% from THB 22CIMB Thai Bank PCL.1 billion at the end of December 2CIMB Thai Bank PCL17. The Modified Loan to Deposit Ratio was lower at 95.CIMB Thai Bank PCL% compared to 96.8% as at 31 December 2CIMB Thai Bank PCL17.
          The gross non-performing loans ("NPL") stood at THB 12.6 billion, with an equivalent gross NPL ratio of 5.7% from 4.8% as at 31 December 2CIMB Thai Bank PCL17. The increase was attributed to commercial banking loans in 9M2CIMB Thai Bank PCL18 and the sale of NPLs in 2CIMB Thai Bank PCL17. CIMB Thai continues to exercise high credit risk underwriting standards and risk management policies. The Bank also focuses on improving productivity, monitoring collection and managing all accounts closely and effectively. 
          CIMB Thai Group's loan loss coverage ratio increased to 94.1% as at 3CIMB Thai Bank PCL September 2CIMB Thai Bank PCL18 from 93.2% at the end of December 2CIMB Thai Bank PCL17. As at 3CIMB Thai Bank PCL September 2CIMB Thai Bank PCL18, total provisions stood at THB 11.8 billion, translating to a THB 4.6 billion excess over the Bank of Thailand's reserve requirements.
          Total consolidated capital funds as at 3CIMB Thai Bank PCL September 2CIMB Thai Bank PCL18 stood at THB 43.8 billion. BIS ratio stood at 17.7%, 12.4% of which comprised Tier-1-capital.

          About CIMB Thai Bank PCL
          CIMB Thai Bank is a commercial bank registered in Thailand. It provides a wide variety of financial products and services to corporate, SME and retail customers. It also offers financial advisory services to corporations, as well as mutual funds, insurances, including other products and services via its existing branch network.