First Financial Holding (2892) Q3 2024 earnings summary

Executive summary

• Net income for the first nine months of 2024 reached NT$20.81 billion, up 9.4% year-on-year, with EPS at NT$1.48.

• Subsidiaries, especially banking, contributed the majority of net income, while life insurance earnings declined 11.3%.

• Fee and service income grew strongly, outpacing swap gains and supporting earnings growth.

• Loan growth was led by mortgages (+15.7% YoY) and large corporate banking, while SME and FX lending remained steady.

• Consolidated financial statements for the period were reviewed and found compliant with regulations.

Financial highlights

• Total assets grew 6.5% year-on-year to NT$4,647.2 billion as of September 30, 2024.

• Consolidated revenue for the first three quarters was NT$55 billion, up 7% year-on-year.

• Book value per share increased to NT$18.90.

• Group CAR remained strong at 128.5%, with liquidity coverage ratio at 128.5% and leverage ratio at 112%.

• Income tax expense decreased by 5% due to timing of tax benefits.

Outlook and guidance

• 2024 full-year swap gains projected at NT$14.2–14.5 billion; 2025 expected to decline 10–15% to NT$12.5–12.8 billion.

• NIM expected at 1.04% for 2024 and 1.03% for 2025, with focus on higher-yielding FX and SME loans.

• Loan book growth targeted at 6.5% for 2024 and 5.5–6% for 2025, with SME and FX lending as main drivers.

• Wealth management fee income to grow 16–17% in 2025; total fee income targeted at 8–9% growth.

• The company continues to monitor regulatory changes and market conditions, with no significant changes in risk or capital management policies.