TISCO Financial Group Public Company Limited (TISCO) has reported its 3Q20 consolidated financial statement through the Stock Exchange of Thailand as follows;
TISCO stated that its net profit for the third quarter of 2020 totaled 1,611.53 million baht, improved by 21.2% from the previous quarter. However, compared to the third quarter of 2019, net profit decreased by 14.2%, which was the result from the economic slowdown amid the spread of COVID-19.
Net interest income rose YoY, mainly due to a decrease in interest expense aligning with an effective cost management during declining interest rate environment. Non-interest income from core businesses declined owing to a slowdown in economic activities, particularly banking fee income from bancassurance business and loan-related fee income following lower new business volume, as well as weakened brokerage fee income.
Expected credit loss (ECL) totaled 604.95 million baht, increased compared with bad debt, doubtful accounts and impairment losses of 125.13 million baht in the third quarter of 2019, and accounted for 1.07% of average loans. The Company maintained high ECL expenses to reflect an increase in credit risks amid ongoing economic uncertainties. Nevertheless, compared to the first half of 2020, ECL declined following the partial setup of ECL impairment against an assumption on economic outlook in advance, according to TFRS 9, with addition of the remaining high-level of excess reserve.
As of September 30, 2020, TISCO’s total assets were 275,949.12 million baht, increased by 0.3% (QoQ). Loan portfolio declined from 228,165.17 million baht to 224,899.65 million baht (1.4% QoQ). Interbank and money market increased from 33,238.21 million baht to 36,852.22 million baht (10.9% QoQ).
Financial assets measured at fair value through profit or loss amounted 1,945.02 million baht, increased by 2.8% (QoQ) and investments amounted 12,036.38 million baht, increased by 13.1% (QoQ).