Bank of Ayudhya reports first quarter net profit of Baht 2.08 bn A 101% growth from Q1 2009 and a 31% growth from Q4 2009
Bangkok, 21 April 2010: Bank of Ayudhya Public Company Limited announced that the Bank and its subsidiaries recorded a significantly improved performance for the first quarter of the year. On a consolidated basis, the Bank posted an operating profit before provisioning for doubtful accounts and taxes of Baht 6.15 billion, representing 87% and 24% increases compared to the first quarter of 2009 and fourth quarter of 2009 results, respectively. After setting aside provisions for doubtful accounts of Baht 3.18 billion and taxes of Baht 0.89, the bank recorded a net profit of Baht 2.08 billion, a 101% improvement compared to the same period last year and a 31% improvement when compared to the fourth quarter of 2009.
Major contributors to the favorable first quarter performance were a 55% increase in net interest and dividend income and a 89% increase in non-interest income while non-interest expenses growth was held to 51% compared to the same period in 2009. Compared to the prior quarter, the improvement was driven by a 12% increase in net interest and dividend income and a 22% growth in non-interest income with non-interest expenses growing by 9%.
Mr. Mark Arnold, President & CEO of Bank of Ayudhya, said, “We are very pleased with our strong start to 2010, a year in which we are celebrating the Bank’s 65th anniversary. First quarter performance showed a significant improvement over last year and is better than plan. Operating profit before provision and taxes increased 87% year-over-year while net profit doubled. This strong performance also enabled us to further strengthen our balance sheet with provision coverage moving up to 79% while net NPLs declined to 4.9%. This positions us well to accelerate our resolution of the Bank’s legacy NPLs.
While the integration and streamlining of our group companies has progressed well against our 12 month plan, a significant improvement in profitability in the first quarter of the year is very encouraging. It shows that our efforts in leveraging identified synergies have started to gain momentum across our subsidiaries. We are confident that the strong foundation, built in past years, will enable us to achieve our business objectives set for 2010. We will continue to work hard on the integration to ensure we maintain our strong growth trajectory in the years to come.” Mr. Arnold added.
About Bank of Ayudhya Public Company Limited
Bank of Ayudhya Public Company Limited [symbol in SET: BAY], established on January 27, 1945, is the fifth largest commercial bank in Thailand with total assets of Baht 822 billion. BAY provides a full range of banking services to both its commercial and individual customers through 575 branches nationwide. On January 3, 2007, BAY and GE Money, a premiere global consumer financial services firm, successfully became strategic partners. GE Money and the Ratanarak Group are now major shareholders with 33% and 25% stakes in BAY, respectively. For more information, please visit Bank of Ayudhya’s website at
www.krungsri.com.
