Tisco Financial Group Public Co. Ltd. · SET:TISCO

Tisco Financial Group Public — Q2 2010 Earnings Presentation

22 slides from Tisco Financial Group Public's earnings presentation, Jul 13, 2010

  1. Slide 1: TISCO Financial Group Analyst Presentation 2Q10

    TISCO Financial Group Public Co., Ltd. Analyst Presentation 2Q10 13 July 2010 Disclaimer: This presentation material may contain forward-looking statements. These forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ fr

  2. Slide 2: Agenda

    Agenda I. Financial Results 2Q/2010 II. Operational Updates 2

  3. Slide 3: 2Q10 Strong and Solid Results

    2Q10 Strong and Solid Results Unit: Million Baht 2Q09 1Q10 2Q10 %QoQ %YoY 1H09 1H10 %YoY Interest income 2,108 2,255 2,301 2.0 9.2 4,183 4,556 8.9 Interest expense (624) (508) (511) 0.6 (18.1) (1,454) (1,019) (29.9) Net interest income 1,484 1,747 1,790 2.4 20.6 2,729 3,537 29.6 Non-interest income

  4. Slide 4: Impressive Loan Growth & Maintained High Level of Loan Spread

    Impressive Loan Growth & Maintained High Level of Loan Spread Loan Spread 7.3 7.1 7.1 7.0 7.0 7.0 7.0 6.9 6.9 5.3 5.3 % Loan spread 5.0 4.8 5.2 5.3 5.3 3.7 4.1 % Yield on loans 3.0 3.5 2.2 2.1 1.8 1.7 % Cost of funds 1.7 1.6 1.6 2008 2009 1H10 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 Quarterly Loan Growth Net

  5. Slide 5: Strong Growth on Non-Interest Income

    Strong Growth on Non-Interest Income Non-Interest Income from Core Businesses Unit: Million Baht 36.2% YoY 1,748 26.2% QoQ 15% 1,249 16% IB fee 18% 975 25% 772 Brokerage fee 716 14% 17% 22% 13% AM fee 59% 21% 28% 55% 61% 57% Banking fee 48% 1H09 1H10 2Q09 1Q10 2Q10 Unit: Million Baht 2Q09 1Q10 2Q10

  6. Slide 6: Efficient Cost Management

    Efficient Cost Management Operating Expenses Cost to Income Ratio Unit: Million Baht 15.5%YoY 5.4%QoQ 27% 2,527 Other expenses 1,962 16% Directors' remuneration 49.4% 47.3% 51.0% 48.5% 46.3% 14% 1,296 Fees & service exp 1,230 1,123 Taxes & duties 17% 14% 13% Premises & equip exp 57% 16% 49% 49% 58%

  7. Slide 7: Assets & Liabilities

    Assets & Liabilities Assets Liabilities Unit: Million Baht 6.2%YTD Unit: Million Baht 6.3% YTD 5.5%QoQ 6.1% QoQ 126,511 134,224 147,476 126,286 138,804 139,806 Other assets Other Liabilities Interbank & MM LT Borrowings 88% 86% 85% 84% 87% 82% Investments Interbank & MM Loans Deposits & ST Borrowing

  8. Slide 8: Strong Loan Growth Across All Segments

    Strong Loan Growth Across All Segments Loan Growth Unit: Million Baht 13.0%YTD 128,001 8.6 %QoQ 113,233 117,831 15% 15% 15% Other Loans Corporate & SME 80% 81% 79% Loans Retail Loans 2009 1Q10 2Q10 Retail Loans SME Loans Corporate Loans Unit: Million Baht 12.1%YTD Unit: Million Baht 13.9%YTD Unit: M

  9. Slide 9: Retail Loan Portfolio

    Retail Loan Portfolio Hire Purchase Loan TISCO Auto Cash Unit: Million Baht Unit: Million Baht 11.3%YTD 47.10%YTD 5.6%QoQ 22.9%QoQ 96,432 91,311 3,860 86,632 3,141 2,624 2009 1Q10 2Q10 2009 1Q10 2Q10 New Hire Purchase Loans New Auto Cash Loans Value (Million Baht) Volume (Units) Unit: Million Baht 5

  10. Slide 10: Exceptional Car Sales Performance

    Exceptional Car Sales Performance Industry New Car Sales Units New Car Sales (Unit) Growth (YoY) 80,000 2007 2008 2009 2010 63% 55% 53% 53% 60,000 24% 2% 40,000 -4% -26% -29% -37% 20,000 Jan Feb Mar April May Jun Jul Aug Sep Oct Nov Dec Jan09 Mar09 May09 Jul09 Sep09 Nov09 Jan10 Mar10 May10 TISCO Pen

  11. Slide 11: Hire Purchase Portfolio Breakdown

    Hire Purchase Portfolio Breakdown Breakdown by Car Manufacturers Breakdown by Business Area Others, 13% Toyota, Mazda & 31% Chevrolet, Bangkok, 14% 45% Provincial, 55% Isuzu, 24% Honda, 17% Breakdown by New and Used Markets Breakdown by Car Type Used cars, Others, 3% 18% Pick-up Passenger trucks, ca

  12. Slide 12: Improving Quality of Assets

    Improving Quality of Assets NPL Ratio Average Loss per Unit Unit: Million Baht Unit: Baht Total NPL % NPL 9,712 8,908 10,516 2.8% 2.9% 2.6% 2.5% 2.2% 2.0% 3,037 3,196 1H09 1H10 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 2,903 2,807 2,633 2,641 -15,577 -28,398 -37,454 -44,658 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 -51,862

  13. Slide 13: Conservative Provisioning Policy

    Conservative Provisioning Policy Specific vs Actual Provision Unit: Million Baht Specific Provision Actual Provision Cushion against volatility & systematic market risk 3,154 2,835 2,425 General General reserve 1,855 reserve = 1,496 1,697 1,658 1,588 = 728 1,604 2008 2009 1Q10 2Q10 Provision Expense

  14. Slide 14: Increasing CASA Share

    Increasing CASA Share Deposits & ST Borrowings Unit: Million Baht 3.2% YTD 4.5% QoQ 110,507 109,130 114,011 40.5% 41.4% 48.6% ST Borrowings 23.3% 20.4% Fixed Deposits 28.5% 36.2% 38.2% CASA 22.9% 2009 1Q10 2Q10 Unit: Million Baht 2009 1Q10 2Q10 %QoQ %YTD Current 7,431 7,602 8,595 13.1 15.7 Savings 1

  15. Slide 15: Growing Asset Under Managements

    Growing Asset Under Managements TISCO Assets Under Management Unit: Billion Baht 9.1%YTD 3.5%QoQ 129.9 134.4 123.3 Rank #6 32% 31% 31% 12% 11% 12% Mutual Fund Private Fund 57% 57% 56% Provident Fund 2009 1Q10 2Q10 Provident Fund Private Fund Mutual Fund Unit: Billion Baht Unit: Billion Baht Unit: Bi

  16. Slide 16: Limited Impact from New Commission Scheme

    Limited Impact from New Commission Scheme TISCO Trading Volume and Market Share TISCO Volume (Million Baht) Market share (%) 123,421 3.0% 3.1% 89,661 2.8% 2.9% 2.8% 2.7% 2.9% 2.9% 63,638 63,370 66,244 60,023 63,398 25,849 1H09 1H10 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 Remark: Market share excluded brokers’

  17. Slide 17: Strong in Capital Adequacy

    Strong in Capital Adequacy Capital Adequacy Ratio 17.0% 16.7% 16.6% 14.8% 13.5% 11.9% 11.8% 14.5% 11.6% 16,129 11.2% 14,909 Capital Base (Million Baht) 13,782 BIS Ratio (%) 10,386 10,896 Tier I (%) 2007 2008 2009* 1Q10 2Q10 Remark:* Upgraded from Basel II – SA to Basel II – IRB Approach in December

  18. Slide 18: Manageable Level of Interest Rate Risk

    Manageable Level of Interest Rate Risk Duration of Assets and Liabilities Unit: Years Assets Liabilities Duration Gap 1.62 1.61 1.58 1.41 1.35 0.89 1.01 1.00 0.94 0.77 0.81 0.62 0.67 0.52 0.34 2007 2008 2009 1Q10 2Q10 18

  19. Slide 19: Agenda

    Agenda I. Financial Results 2Q/2010 II. Operational Updates 19

  20. Slide 20: Operational Updates

    Operational Updates - New “Friend Get Friends” campaign - TISCO Auto Cash - Rank 1st in “Thailand Best Equity Fund Group Over 3 Yrs” of Lipper Fund Awards 2010 - TISCO Korea Fixed Income Fund #12 - #13 - TISCO China Trigger 15% Fund - “Best Domestic Equity House” by ASIAMONEY Polls 2010 - Partnered

  21. Slide 21: Employee and Branch Network

    Employee and Branch Network 2009 1Q10 2Q10 No. of Employee 2,904 2,905 2,930 No. of Branch 43 46 46 - Bangkok * 21 23 23 - Upcountry 22 23 23 Remark: * Including Head Office branch 21

  22. Slide 22: Investor Relations

    Investor Relations TISCO Financial Group Public Company Limited 48/2 TISCO Tower, North Sathorn Road Silom, Bangrak, Bangkok 10500 Thailand Tel: +66-2-633-6000 Fax: +66-2-633-6855 Email: ir@tisco.co.th Website: www.tisco.co.th 22

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