Krungthai Card Public Co. Ltd. · SET:KTC
Krungthai Card Public — FY2021 Earnings Presentation
21 slides from Krungthai Card Public's earnings presentation, 2022
Slide 1: KTC Performance Y2021
a KTC Performance Y¥2021
Slide 2: Agenda
AGENDA Section 1 KTC Business Overview Consumer Finance Industry & KTC Portfolio 2 Performances - Marketing Program in 2022 • Credit Card Business • Personal Loan Business 3 KTC Sustainability
Slide 3: KTC Story
KTC Story • Incorporated in 1996 as a credit card servicing subsidiary company of Krung Thai Bank PLC • In July 2002, KTB sold the credit card portfolio to KTC which subsequently transformed KTC into a full consumer finance company and later listed on the SET in October 2002 KTC Holding Structure To
Slide 4: Rules and Regulations
Rules and Regulations Credit card Personal loans Auto Title Loan Pico Finance Multipurpose Multipurpose Multipurpose Multipurpose Type of Loan Unsecure Unsecure Unsecure Secure or Unsecure Nationwide Nationwide Nationwide Provincial Minimum Income 15,000 - - - (THB) 2x (income < 30K) Maximum 2x (inc
Slide 5: Y2021 Summary
Y2021 Summary Total Portfolio Credit card -0.1% Personal loan -2.3% Card Spending (YoY) (YoY) 2.8% (YoY) (growth excluding KTBL = -0.8%YoY) -0.7% (YoY) Net Profit 5,879 MB (Consolidated) (10.2% YoY) NPL 6,251 MB (Separate) (17.2% YoY) 3.6% Cost of Fund Credit card Personal loan Leasing 1.2% 2.9% 54.
Slide 6: Income Statement
Income Statement Total Revenue 21,442 MB (-2.8% ) Total Interest Income (1) (2) (1) vs (2) (including Credit Usage Fee) Y2021 Y2020 Y2020 Y2021 Y2020 13,613 MB (- 3.9% ) Consolidated Consolidated Consolidated Growth (%) Separate Separate Growth (%) (Restate) (Original) Credit card receivable 6,501 6
Slide 7: Income Statement
Income Statement Total Expense 14,197 MB (-7.8% ) Total Operating Cost 7,326 MB (0.9% ) (1) (2) (2) (1) vs (1)(2) vs (2) Y2021 Y2020 Y2020 Y2021 Y2020 Consolidated Consolidated Consolidated Growth (%) Separate Separate Growth (%) (Restate) (Original) Personal expenses 2,422 2,411 2,278 6.4% 2,294 2,
Slide 8: Balance Sheet
Balance Sheet Balance Sheet and Sources of Fund BALANCE SHEET HIGHTLIGHTS INTEREST BEARING DEBT Baht Billion 62.00 57.5 57.4 5.0% 88.4 89.5 54.4 85.4 4.5% 52.00 65.7 65.6 62.4 76% 4.0% 57.5 57.4 54.4 42.00 80% 3.5% 27.1 32.00 83% 3.33 19.7 22.9 2.30 2.87 2.8% 3.0% 2.7% 22.00 2.5% 2.5% 2019 2020 2021
Slide 9: Key Financial Ratio
Key Financial Ratio Y2021 Y2021 Y2020 Y2019 (Separate) (Consolidated) (Consolidated) (Consolidated) Net Profit Margin (%) 29.5% 27.4% 24.2% 24.4% Cost to Income Ratio (%) 33.4% 34.2% 32.9% 34.1% Operating Cost to Income Ratio (%)(1) 26.6% 27.3% 25.4% 25.3% Average Interest Received (including credit
Slide 10: Agenda
AGENDA 1 KTC Business Overview Section Consumer Finance Industry & KTC Portfolio Performances – 2 Marketing Program in 2022 • Credit Card Business • Personal Loan Business 3 KTC Sustainability
Slide 11: Credit Card Industry
Credit Card Industry Total Credit Card Spending & Private Consumption Expenditure (PCE) 10.00 Unit: Baht Million 0.60 8.30 8.42 8.00 8.00 7.58 7.06 7.30 6.79 6.96 0.40 6.58 5.99 6.00 21.6% 22.8% 23.6% 19.3% 20.0% 21.1% 19.8% 19.6% 14.0% 14.5% 0.20 4.00 7.2% 2.7% 3.1% 3.4% 4.2% 4.2% 2.2% 1.0% 1.6% -6
Slide 12: Credit Cards
Credit Cards NUMBER OF CARDS TOTAL SPENDING Million Cards Baht Million 2.58 2.52 213,629 2.51 197,087 195,727 2019 2020 2021 2019 2020 2021 ACQUISITION CHANNELS OF NEW APPLICATIONS TOTAL SPENDING GROWTH (% YoY) 5% 4% 4% 10.6% 15% 15% 18% 9.0% 0.4% 46% 44% 43% -0.7% -7.7% 35% 37% 35% -12.8% 2019 2020
Slide 13: Credit Card Portfolio
Credit Card Portfolio Baht Million % GROWTH (YoY) 60,235 60,201 10.9% 791 738 56,914 1.2% 1.3% 529 9.2% 6.3% 5,797 5,499 0.9% 9.2% 9.7% 1.9% -0.1% -1.6% 2019 2020 2021 56,124 Industry KTC 53,402 53,716 99.1% 89.0% 89.6% PORTFOLIO QUALITY KTC 2019* 2020 2021 %NPL 0.9% 1.3% 1.2% Amount 529 791 738 %NP
Slide 14: Credit Card Marketing Program
Credit Card Marketing Program Target for 10% Credit Card Spending Growth ▪ Almost all categories shows good sign of recovery. - Merchants are positive of the continuous recovery despite covid situation not yet gone - Though Travel sector spending shows growth YOY but is still a lot behind 2019. Dome
Slide 15: Personal Loans
Personal Loans MARKET SHARE OF PERSONAL LOAN PORTFOLIO PERSONAL LOAN PORTFOLIO Baht Million 61.2% 29,061 29,915 29,235 56.1% 56.2% 382 807 843 1.3% 2.7% 2.9% 5,192 4,839 17.5% 16.8% 43.9% 43.8% 38.8% 28,679 23,618 23,213 98.7% 79.7% 80.3% 5.0% 5.2% 4.1% 2019 2020 2021 2019 2020 2021 ≤90 Days >90 Day
Slide 16: Personal loan: Key Strategies
Personal loan: Key Strategies Aims to grow 7% in 2022 with New Customer 106,000 ▪ Thai economy to see uptick in 2022 ▪ No extended lockdowns from the pandemic ▪ Consumption spending is expected to grow more than last year 3 Key strategies to achieve the target 1. Focus on Middle-High Income Employee
Slide 17: KTC P BERM: Key Strategies
KTC P BERM: Key Strategies The launch of a new product Expand acquisition channels Synergize with “KTC P Berm Cash Card” To Krungthai Bank KTBL Branches ➢ Leverage KTB’s 957 branches nationwide ➢ “KTC P BERM Cash Card” packed with ➢ Leverage KTBL’s 10 branches nationwide -Expand acquisition channel
Slide 18: KTC 2022 Target
KTC 2022 Target Personal Loan Net Profit Receivable Growth > 6,251 MB 7% P BERM & KTBL Total Portfolio Receivables > 100,000 MB 11,500 MB Credit Card Spending Portfolio Quality Growth %NPL ≤ 3.6% 10% 18
Slide 19: Agenda
AGENDA 1 KTC Business Overview Consumer Finance Industry & KTC Portfolio 2 Performances – Marketing Program in 2022 • Credit Card Business • Personal Loan Business Section 3 KTC Sustainability
Slide 20: ESG Overview
ESG Overview 1 Vision KTC is a membership company in payment and retail lending business with Sustainability as key element. 2 Purpose We exist to provide better financial products and services to enhance quality of life for all Thais. 3 Strategy Better Product and Better quality of life Better Clim
Slide 21: Thank You
THANK YOU Disclaimer: This presentation is intended only for use by Krungthai Card Public Company Limited (KTC). No copy or use of this presentation should occur without the permission of KTC. KTC retains all intellectual property interests associated with the presentation. KTC makes no claim, promi
Krungthai Card Public Company — FY2021 Earnings Presentation on 6ix