Date: 24 October 2024
Broker: UOB Kay Hian

Overview

TMBThanachart Bank (TTB) reported a net profit of Bt5.2 billion for the third quarter of 2024, representing an 11% increase year-on-year but a slight decline of 2% compared to the previous quarter. The results were in line with both UOB Kay Hian’s and consensus forecasts.

Financial Performance

• Net Profit: Bt5.2 billion
• Year-on-Year Change: +11%
• Quarter-on-Quarter Change: -2%
• PPOP: Declined by 3% year-on-year and 2% quarter-on-quarter.

Credit Cost Management

TTB has achieved a lower credit cost quarter-on-quarter, indicating effective risk management strategies. The bank plans to shorten term deposits in anticipation of the rate cut, which is expected to positively impact its Net Interest Margin (NIM) in the future.

Strategic Outlook

TTB has upgraded its rating to BUY following the third quarter results, signaling confidence in its performance and growth prospects amidst the changing economic landscape.

Conclusion

TTB demonstrates solid performance backed by strategic initiatives aimed at enhancing profitability and managing credit risks effectively, positioning the bank well for ongoing market challenges.