Mr. Pridi Daochai, Managing Director of Kasikornbank, announced the bank's performance for the year 2017, revealing that the bank and its subsidiaries recorded a net profit of 34,338 million baht, a decrease of 14.53% from the previous year.

          Performance for 2017 Compared to 2016 showed that the bank and its subsidiaries had operating profit before provisions for bad debts and income tax amounting to 90,484 million baht, an increase of 935 million baht or 1.05% from the previous year. This was primarily due to an increase in net interest income of 4,483 million baht or 5.00%, with a net interest margin (NIM) of 3.44%. Non-interest income decreased by 1,030 million baht or 1.62%, mainly due to a decline in net income from insurance, while net fee and service income increased by 2,363 million baht or 6.07%. Additionally, other operating expenses rose by 2,518 million baht or 3.94%, resulting in a cost-to-income ratio of 42.31%. During 2017, the bank increased its provisions for doubtful debts to maintain a stable financial position, leading to a coverage ratio of 148.45% as of December 31, 2017, up from 130.92% at the end of 2016, which contributed to a net profit of 34,338 million baht, a decrease of 5,836 million baht or 14.53% from the previous year.

          Performance for Q4 2017 Compared to Q3 2017 showed that the bank and its subsidiaries had a net profit of 5,707 million baht, down 3,766 million baht or 39.75% from the previous quarter. Net interest income increased by 310 million baht or 1.31%, resulting in a net interest margin (NIM) of 3.49%. Non-interest income decreased by 1,659 million baht or 10.10%, primarily due to income from capital market products. Other operating expenses rose by 2,621 million baht or 16.04%, driven by expenses related to buildings, facilities, and marketing, which are typical for the season. The cost-to-income ratio stood at 48.87%, and the bank was able to manage expenses within the annual target, including an increase in provisions for doubtful debts during this quarter.

          As of December 31, 2017, the bank and its subsidiaries had total assets of 2,900,841 million baht, an increase of 57,563 million baht or 2.02% from the end of 2016, primarily due to loan growth. The ratio of non-performing loans (NPL) to total loans (%NPL gross) as of December 31, 2017, was 3.30%, compared to 3.32% at the end of 2016. The total capital ratio of Kasikornbank's financial group under Basel III guidelines as of December 31, 2017, was 17.96%, with a Tier 1 capital ratio of 15.66%.KASIKORNBANK announces 2017 net profit of Baht 34,338 Million

Source: www.kasikornbank.com