20
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis) 1 Analyst Meeting 2Q2017 July 2017
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
1
Analyst Meeting 2Q2017
July 2017
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
2
KTB Performance
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
3
Domestic Branches ATMs
1,196 1,214 1,213 1,169
2014 2015 2016 2Q17
8,958 9,152 8,849 8,777
2014 2015 2016 2Q17
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
4
Loans and Deposits
2,152,553 2,137,446 1,975,158 1,965,316
1,900,647 1,969,662 1,837,120 1,852,885
88.3% 92.2% 93.0% 94.3%
0.00%
25.00%
50.00%
75.00%
100.00%
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
2014 2015 2016 2Q17
Deposits Loans Loan to Deposit
THB million
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
5 Definition: SME - loan to private companies that have employee no. less than/equal to 200 people and fixed asset (excluding land) less than/equal to Bt 200 m
December 2016 June 2017
Gov. & SOEs
6%
Corporate 37%
Retail 38%
SMEs 19%
Mar-16 Loan BD Gov. & SOEs
4%
Corporate 37%
Retail 39%
SMEs 20%
Dec-15 Loan BD
Loans breakdown by borrower
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
6
2.70%
2.69%
2.94%
2.90%
3.03%
2.94%
2.97%
2014 2015 2016 1H16 1H17 2Q16 2Q17
67,632 70,565
75,473
37,975 37,502
19,372 18,633
2014 2015 2016 1H16 1H17 2Q16 2Q17
THB million
Net Interest Income Net Interest Margin*
* NIM = Net Interest Income/ Average Earning Asset
-3.8%
-1.2%
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
7
17,253 19,934 21,261
10,277 11,029 5,258 5,475
8,515
11,038 12,685
5,861 4,280
2,745 2,322
25,768
30,972 33,946
16,138 15,309
8,003 7,797
2014 2015 2016 1H16 1H17 2Q16 2Q17
Fee Income Other Operating Income Non Interest Income
THB million
Non Interest Income, Fee Income and Other Operating Income
-2.6%
-15.4%
-5.1%
-27.0%
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
8
45.29%
44.18%
40.86% 39.87%
40.87%
39.32%
38.91%
2014 2015 2016 1H16 1H17 2Q16 2Q17
41,464
43,894
43,693
21,031 21,018
10,475 10,043
2014 2015 2016 1H16 1H17 2Q16 2Q17
THB million
Total Other Operating Expenses Cost to Income Ratio
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
9
15.09%
11.57% 12.06% 12.73%
8.14%
13.77%
5.03%
2014 2015 2016 1H16 1H17 2Q16 2Q17
1.24% 0.97% 1.10%
1.11%
0.81% 1.21%
0.50%
2014 2015 2016 1H16 1H17 2Q16 2Q17
31,855
26,474
29,968 15,321
10,613**
8,335 3,290**
2014 2015 2016 1H16 1H17 2Q16 2Q17
50,094 55,465
63,243
31,719 30,409
16,162 15,765
2014 2015 2016 1H16 1H17 2Q16 2Q17
Pre Provision Profit* Net Income
*Pre-Provision Profit = income before income tax + impairment loss of loan and debt securities ** Net Income dropped due to a one-time impact from setting aside extra provision to cover 100% of its loans to a large client group in agricultural and mining industries.
Return on Asset Return on Equity
THB million THB million
Note: Data are unaudited as of June 30, 2017 (Bank only basis)
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
10
NPLs Ratio Coverage Ratio
NPLs ratio (gross) calculated from total loans included interbank loans, according to BOT’s definition.
2.30%
3.09%
3.89%
4.24%
1.30%
1.74% 1.81% 1.88%
2.64%
2014 2015 2016 2Q17
NPLs Ratio (Gross) NPLs Ratio (Net)
Excluded SSI
147.46%
137.89% 123.77% 123.26%
132.12%
110.54% 121.30%
113.88%
2014 2015 2016 2Q17
Actual provision/Required Provision Coverage Ratio
Actual/
Required Reserve
Coverage Ratio
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
11 From December 31, 2016 onwards, CET1 Ratio was equal to Tier1 Ratio.
10.47% 11.06% 12.96% 13.07%
5.75% 6.38% 7.00%
10.91% 11.43%
7.25% 7.88%
8.50%
14.85% 15.22%
16.85% 16.69%
9.75% 10.38%
11.00%
2014 2015 2016 2Q17 2017 2018 2019
CAR Ratio Tier1 Ratio CET1 Ratio
Capital Adequacy Ratio, Tier 1 Ratio and Common Equity Tier 1 Ratio
Basel III
BOT’s minimum requirement
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
12
Economic Data
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
13
Gross Domestic Product: GDP (%)
-8.9
3.3
-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
25.0
1Q
11
2Q
11
3Q
11
4Q
11
Y20
11
1Q
12
2Q
12
3Q
12
4Q
12
Y20
12
1Q
13
2Q
13
3Q
13
4Q
13
Y20
13
1Q
14
2Q
14
3Q
14
4Q
14
Y20
14
1Q
15
2Q
15
3Q
15
4Q
15
Y20
15
1Q
16
2Q
16
3Q
16
4Q
16
Y20
16
1Q
17
1. Tsunami in Japan 2. Severe Flood in Thailand
GDP 2013 => 2.8% GDP 2014 => 0.7% GDP 2015 => 2.8% GDP 2016 => 3.2% GDP 2017f => 3.4%
Source : f-forecasted by KTB
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
14
Unemployment Rate (%) *Inflation Rate (%)
1.30
0.00
0.20
0.40
0.60
0.80
1.00
1.20
1.40
1.60
1.80
2.00
-0.04
0.46
-1.50
-1.00
-0.50
0.00
0.50
1.00
1.50
2.00
Mar
15
May
15
Jul1
5
Sep
15
No
v15
Jan
16
Mar
16
May
16
Jan
16
Mar
16
May
16
Jul1
6
Sep
16
No
v16
Jan
17
Mar
17
May
17
Headline Inflation Core Inflation
Note: *headline inflation edged up from the last year as prices of domestic
petroleum and fresh food increased. Source : BOT.
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
15
Policy Rate (%) Interest Rate (%)
6.20%
MLR
1.75
1.50
Policy rate
1.38%
Fix Deposit Rate
Source : BOT
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
16
Loan demand in the system *Loan to Deposit ratio (%)
9,637
12,058
0.53%
-2.00%
-1.00%
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
4Q
/20
12
1Q
/20
13
2Q
/20
13
3Q
/20
13
4Q
/20
13
1Q
/20
14
2Q
/20
14
3Q
/20
14
4Q
/20
14
1Q
/20
15
2Q
/20
15
3Q
/20
15
4Q
/20
15
1Q
/20
16
2Q
/20
16
3Q
/20
16
4Q
/20
16
1Q
/20
17
Ap
r17
May
17
Loan amount Loan growth THB million
10,000
12,543
-0.03%
-2.0%
-1.0%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
4Q
/20
12
1Q
/20
13
2Q
/20
13
3Q
/20
13
4Q
/20
13
1Q
/20
14
2Q
/20
14
3Q
/20
14
4Q
/20
14
1Q
/20
15
2Q
/20
15
3Q
/20
15
4Q
/20
15
1Q
/20
16
2Q
/20
16
3Q
/20
16
4Q
/20
16
1Q
/20
17
Ap
r17
May
17
Deposits B/E Deposits & B/E growth
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
4Q
/20
12
1Q
/20
13
2Q
/20
13
3Q
/20
13
4Q
/20
13
1Q
/20
14
2Q
/20
14
3Q
/20
14
4Q
/20
14
1Q
/20
15
2Q
/20
15
3Q
/20
15
4Q
/20
15
1Q
/20
16
2Q
/20
16
3Q
/20
16
4Q
/20
16
1Q
/20
17
Ap
r17
May
17
95.6%
Deposit supply in the system
THB million
Note: Commercial bank loan and deposit (excluded Interbank)
*Loan to deposit ratio included bill of exchange
Source : BOT
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
17
Loans Market Share in the Thai Banking System,
Large commercial banks command 78% of total banking system
78%
14%
8%
78%
14%
8%
Large bank Medium bank Small bank
2016
1Q17
Source : BOT
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
18
Deposits Market Share in the Thai Banking System,
Large commercial Banks command 79% of total banking system.
79%
14%
7%
79%
14%
7%
Large bank Medium bank Small bank
2016
1Q17
Source : BOT
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
19
Information contained in our presentation is intended solely for your reference.
Such information is subject to change without notice, its accuracy is not guaranteed
and it may not contain all material information concerning the company.
In addition, the information contains projections and forward-looking statements that
reflect the company’s current views with respect to future events and financial
performance.
These views are based on assumptions subject to various risks. No assurance can be
given that future events will occur, that projections will be achieved, or that the
company’s assumptions are correct.
Actual results may differ materially from those projected.
Confidential Note: Data are unaudited as of June 30, 2017 (Bank only basis)
20
Thank You
