TMBThanachart Bank (TTB) Q4 2025 earnings summary

Executive summary

• Delivered resilient performance in 2025 despite global and domestic headwinds, including economic slowdown, high household debt, and natural disasters.

• Net profit reached THB 20,639 million, down 2% YoY, with effective asset-liability management and cost discipline.

• Maintained portfolio quality with Stage 2 loans down 8% YTD, stable NPL at THB 39 billion, and strong coverage ratio at 152%.

• Launched a 3-year share buyback program and maintained one of the highest dividend payout ratios in the industry.

• Strategic focus for 2026 on quality growth, operational efficiency, and shareholder value creation.

Financial highlights

• Net profit for 2025 was THB 20.6 billion, a 2% decrease YoY.

• Net interest margin (NIM) softened to 3.04% (-22 bps YoY) due to rate cuts, while cost of deposits improved to 1.47% (-15 bps YoY).

• Non-NII grew 16% YoY, driven by fee income diversification, especially in wealth, bancassurance, and credit cards.

• Loan growth was -2.9% YTD, deposit growth -4.4% YTD, reflecting cautious balance sheet management.

• Credit cost remained elevated at 136 bps, with prudent provisioning and extra ECL set aside.

Outlook and guidance

• 2026 targets: loan growth approx. 0–2%, deposit growth in line, NIM 3.0–3.10%, single-digit non-NII growth, C/I ratio in mid-40s, Stage 3 loans ≤3.2%, and credit cost 130–135 bps.

• Continued focus on quality growth, digital scaling, and proactive risk management.

• Remaining THB 15.9 billion of buyback programs for 2026–2027 to enhance shareholder returns.