SCB X Public Company Limited (SET: SCB) has announced its 2Q24 consolidated financial statement through the Stock Exchange of Thailand as follows;
| Quarter | 2Q24 | 2Q23 |
| Net Profit (Loss) Million Baht |
10,014.33 | 11,868.13 |
| Earning Per Share (Baht) |
2.9700 | 3.5200 |
| % Change | -15.62 | |
| 6 Months | 2024 | 2023 |
| Net Profit (Loss) Million Baht |
21,295.36 | 22,863.50 |
| Earning Per Share (Baht) | 6.3200 | 6.7900 |
| % Change | -6.86 | |
SCB reported a net profit of 10.0 billion for the second quarter of 2024, a 15.6% yoy decrease.
For the quarter, net interest income increased by 5.8% yoy to Baht 32.6 billion, resulting from an expansion in the net interest margin (NIM) and a slight overall loan growth of 0.6% yoy through strict new loan underwriting practices and a focus on quality customers amid a challenging business environment. Fee and other income declined by 8.3% yoy to Baht 10.3 billion, due to a decrease in bancassurance fees, transactional fees and lending-related fees.
Operating expenses increased by 9.1% yoy to Baht 18.6 billion. Cost-to-income ratio excluding the one-off expenses from Robinhood app closure (Baht 800 million) was at 41.2%.
SCB added that the cessation of Robinhood application will not affect SCBX Group’s strategic plans or its commitment to becoming a leading financial technology group.
Expected credit losses (ECL) decreased year-on-year to Baht 11.6 billion, equivalent to 190 basis points of total loans, driven by a decrease in ECL at CardX following data migration incidents in 2Q23 while ECL at bank was flattish yoy, driven by an additional provision for a specific corporate customer.
SCB experienced a 0.6% year-on-year increase in loan growth, primarily driven by housing loans and corporate loans from SCB Bank, as well as consumer loans, particularly from AutoX. The non-performing loan (NPL) ratio decreased slightly quarter-on-quarter to 3.34%. SCB continued to manage NPLs effectively through sales and write-offs although the NPLs sale amount was limited by subdued prices in the market. Meanwhile, the coverage ratio remained high at 161.7%.
Overall asset quality is well under control. The NPL ratio was 3.3% at the end of June 2024, slightly higher than the 3.2% recorded at the end of June 2023. The capital adequacy ratio remained strong at 18.8%.
Arthid Nanthawithaya, Chief Executive Officer of SCBX, commented: “The growth of the Thai economy in the first half of the year has fallen short of expectations, with no clear sign of economic recovery. In this challenging environment, SCBX places great importance on conducting our business cautiously, focusing on financial stability, maintaining appropriate level of reserves, emphasizing fee income growth, particularly fee income from wealth management business, and managing costs effectively. Despite the challenges, the company remains committed to building a strong foundation. In June 2024, SCBX offered new investment opportunities with solid returns to individual, institutional, and high-net-worth investors. The offering received an overwhelming response to our 7 tranches of debenture issuance, totaling Baht 42 billion”
