Tisco Financial Group Public Company Limited (SET: TISCO) has announced its 2Q24 consolidated financial statement through the Stock Exchange of Thailand as follows;
| Quarter | 2Q24 | 2Q23 |
| Net Profit (Loss) Million Baht |
1,748.99 | 1,853.89 |
| Earning Per Share (Baht) |
2.1800 | 2.3200 |
| % Change | -5.66 | |
| 6 Months | 2024 | 2023 |
| Net Profit (Loss) Million Baht |
3,482.01 | 3,646.47 |
| Earning Per Share (Baht) | 4.3500 | 4.5500 |
| % Change | -4.51 | |
TISCO reported a net profit of 1,748.99 million baht, decreased by 104.90 million baht or 5.7% from the second quarter of 2023 mainly due to the setup of expected credit loss (ECL).
Total operating income increased by 5.5% (YoY) mostly derived from investment banking fees and a recognition of gain on financial instruments measured at fair value through profit or loss (FVTPL), resulting in a growth in non-interest income by 17.1% (YoY). Net interest income increased by 0.9% (YoY) following portfolio expansion, although cost of funds remained on a rising trend. Meanwhile, banking fee and asset management basic fee recovered from the same period of last year, whereas brokerage business was weak amid subdued market trading volume.
Expected credit loss (ECL) was reported at 408.63 million baht, increased from the second quarter of last year and the previous quarter, and accounted for 0.7% of average loans. The setup of ECL expenses was to reflect higher consumer credit risks arising from the growth into high-yield businesses as well as fragile economic factors and household debt issues. Non-performing loans (NPLs) increased from the last quarter to 2.44%, and loan loss coverage ratio declined to 162.7%.
Comparing to the first quarter of 2024, net profit increased by 15.97 million baht or 0.9% (QoQ), driven by investment banking fee and a gain on financial instruments measured at fair value through profit or loss (FVTPL), leading to an increase in non-interest income by 18.6% (QoQ). Moreover, banking fee and asset management fee improved from the previous quarter, while brokerage business remained subdued. Net interest income declined by 0.2% (QoQ) following increasing cost of funds corresponding with the policy rate increase since last year. ECL expense rose from the previous quarter to cushion against higher risks.
In the second quarter of 2024, the company reported NPLs amounting 5,696.58 million baht, increased by 6.7% (QoQ), and accounted for an NPL ratio of 2.44% of total loans, increased from 2.27% at the end of the first quarter of 2024. The rising NPLs were partly caused by the growth strategy into high-yield businesses, together with the fragile economic conditions and customer credit profile.
