Bank of Ayudhya reports Baht 2.18 bn in net profit for 3Q/09
A 114% growth from same period last year
Bangkok, 20 October 2009: Bank of Ayudhya Public Company Limited announced a significant improvement in its operating performance for the third quarter of the year. The bank and its subsidiaries recorded an operating profit before provisioning for doubtful accounts and taxes of Baht 5.31 billion, a 58% and 15% increase as compared to 3Q/08 and 2Q/09, respectively. After setting aside Baht 2.54 billion in provisions and Baht 0.60 billion for taxes, the Bank posted a consolidated net profit of Baht 2.18 billion, a 114% increase from 3Q/08 and a 24% increase from 2Q/09.
The major contributor to the favorable 3Q/09 performance when compared to the same quarter last year was a 135% increase in non-interest income in which fees and service income grew 15%. Although loan portfolio remained flat as a result of a weak economy, net interest and dividend income increased 2% while non-interest expenses grew only 7%. The Bank’s cost-to-income ratio thus improved markedly from 61% down to 52%.
For the nine-month period ended September 30, 2009, the Bank recorded a consolidated net profit of Baht 4.96 billion, a 22% increase when compared to the same period last year. Key drivers to the improved performance are: a 55% increase in non-interest income, a 2% increase in net interest and dividend income while non-interest expenses increased by 7%.
Mr. Tan Kong Khoon President & CEO of Bank of Ayudhya, said, “We are pleased with our 3Q/2009 performance. In the midst of an economic slowdown, we are able to report a favorable growth both year-on-year and quarter-on-quarter basis. Our efforts to capitalize on inorganic growth opportunities in the midst of the weak economy have contributed to our ability to remain on track against our 2009 plan.”
“The integration of GE Money Thailand’s consumer finance businesses is expected to be initiated in 4Q/2009 and will further strengthen BAY’s leading position in consumer banking. We now have a stronger platform for sustainable growth in the years ahead.” Mr. Tan added.
As of September 30, 2009, on a consolidated basis, the bank recorded Baht 751 billion in total assets, Baht 558 billion in loans and Baht 513 billion in deposits. The bank has a strong capital base with a BIS ratio of 15.6% and Tier 1 capital of 12.7%.
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 751 billion. BAY provides a full range of banking services to both its commercial and individual customers through 573 branches nationwide. On 3 January 2007, BAY and GE Capital Global Banking, a premiere global consumer financial services firm successfully became strategic partners. GE Capital and the Ratanarak Group are now major shareholders with 33% and 25% stake in BAY respectively. For more information, please visit Bank of Ayudhya website,
www.krungsri.com.
