TMBThanachart Bank (TTB) Q4 2024 earnings summary

Executive summary

• FY2024 net profit reached THB 21,031 million, up 13% year-over-year; ROE was 9.0%.

• Quality growth and profitability improved despite weak loan demand, with strategic focus on revenue quality, cost efficiency, asset quality, and capital management.

• Medium-term ROE milestone set at 10%, supported by robust fundamentals.

• Shareholder returns increased through higher dividends, alongside inorganic growth initiatives.

Financial highlights

• NIM was 3.26%, above the 3.10%-3.25% target range; NII declined 1% year-over-year.

• Non-NII declined 3% year-over-year excluding BA amortization; non-loan-related fee income grew 1%.

• Cost-to-income ratio was 42.6%; operating costs declined 5% year-over-year.

• Loans declined 6.6% year-to-date and deposits declined 4.2%; net profit rose 13% year-over-year.

Outlook and guidance

• 2025 loan growth targeted at 0%-2%, with deposit growth to align with loans.

• NIM guidance of 3.1%-3.25%; non-NII targeted for single-digit growth.

• Cost-to-income ratio expected to remain in the low 40s; credit cost guidance at 125-135 bps.

• Stage 3 loans expected below 2.9%; selective retail growth, digital, and ecosystem expansion remain priorities.