TMBThanachart Bank (TTB) Q2 2025 earnings summary

Executive summary

• Business sentiment in 2Q25 remained subdued amid rising uncertainties, with a focus on balance sheet health and sustainable shareholder value.

• Strategic priorities included selective loan growth, digital transformation, and capital management to address sluggish growth and revenue pressure.

• Interim consolidated and bank-only financial statements for the six months ended 30 June 2025 were audited and present fairly in accordance with Thai Financial Reporting Standards and Bank of Thailand regulations.

• The audit identified allowance for expected credit loss (ECL) on loans and valuation of financial instruments as key audit matters due to significant management judgment and estimation uncertainty.

Financial highlights

• Net profit for 1H25 was THB 10,100 mn, down 6% YoY; NIM at 3.13% within guidance; C/I ratio at 43.7%.

• Loan growth: -2.8% YTD; deposit growth: -3.0% YTD; non-NII up 7.9% YoY (excluding BA amortization: -3%).

• Total assets as of 30 June 2025 were THB 1,709,797 mn, with loans to customers and accrued interest receivables, net, at THB 1,155,211 mn.

• Allowance for expected credit loss on loans stood at THB 58,539 mn as of 30 June 2025.

• Basic earnings per share for the six months was THB 0.10, compared to THB 0.11 in the prior year.

Outlook and guidance

• FY2025 targets: loan growth 0–2%, deposit growth in line with loans, NIM 3.10–3.25%, C/I ratio in low 40s, credit cost 125–135 bps.

• Management overlays for ECL were maintained to address ongoing economic uncertainties and potential future deterioration in credit quality.

• The bank continues to monitor macroeconomic scenarios and adjust provisioning as needed.

• Conservative stance maintained with THB 1.3 bn management overlay in 2Q25 as buffer against economic risks.

• Committed to high dividend payout and share repurchase to protect shareholder value amid market volatility.