Bank of Ayudhya Public Company Limited (SET: BAY) has announced its 1Q23 consolidated financial statement through the Stock Exchange of Thailand as follows;
| Year | 1Q23 | 1Q22 |
| Net Profit (Loss) Million Baht |
8,676 | 7,418 |
| Earning Per Share (Baht) |
1.18 | 1.01 |
| % Change | 16.96 | |
In 1Q23, BAY reported a net profit of Baht 8,676 million, representing an increase of Baht 1,258 million, or 17.0% from the first quarter of 2022. The robust development was mainly driven by positive growth in net interest income and non-interest income as well as lower expected credit loss.
On a year-on-year basis, operating income increased by 6.5%, or Baht 1,824 million from 1Q22, mainly driven by higher net interest income and non-interest income.
Net interest income increased by Baht 1,318 million, or 6.6%, mainly attributed to the robust increase in yields on earning assets of 51 bps, supported by growth in loans and interbank and money market outstanding together with interest rate hikes; while being offset by an increase in interest expenses underscoring the growth in the deposit balance, higher time deposit rates, and the normalization of the FIDF contribution rate.
Meanwhile, pre-provision operating profit increased by 3.4%, or Baht 557 million, from 1Q22, mainly attributed to the aforementioned 6.5% increase in operating income, while being offset by higher operating expenses corresponding to the acceleration in economic activity, and the low base effect due to the Omicron outbreak in 2022.
As of March 31, 2023, total loans outstanding stood at Baht 1,954,554 million, representing an increase of Baht 5,145 million, or 0.3% from the end of December 2022. Deposits increased by Baht 53,964 million, or 3.0%.
The non-performing loan (NPL) ratio improved to 2.26%, compared with 2.32% at the end of December 2022. On account of the economic growth momentum and risk management rigor, credit cost in 1Q23 improved to 116 bps, maintaining a healthy loan loss coverage ratio at 167.1%, compared with 167.4% at the end of December 2022.
The bank highlighted that its overall financial stability remains highly resilient with high levels of capital, loan loss provisions and liquidity to support the economic expansion going forward.
