CIMB THAI BANK PUBLIC COMPANY LIMITED
CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS 31 DECEMBER 2024
Independent Auditor's Report
To the shareholders of CIMB Thai Bank Public Company Limited
My opinion
In my opinion, the consolidated financial statements and the separate financial statements present fairly, in all material respects, the consolidated financial position of CIMB Thai Bank Public Company Limited (the Bank) and its subsidiaries (the Group) and the separate financial position of the Bank as at 31 December 2024, and its consolidated and separate financial performance and its consolidated and separate cash flows for the year then ended in accordance with Thai Financial Reporting Standards (TFRS) and the Bank of Thailand notifications in relation to the preparation and presentation of financial reporting as described in the notes to the consolidated and separate financial statements no. 2.
What I have audited
The consolidated and the separate financial statements comprise:
- the consolidated and separate statements of financial position as at 31 December 2024;
- the consolidated and separate statements of comprehensive income for the year then ended;
- the consolidated and separate statements of changes in equity for the year then ended;
- the consolidated and separate statements of cash flows for the year then ended; and
- the notes to the consolidated and separate financial statements, which include material accounting policies and other explanatory information.
Basis for opinion
I conducted my audit in accordance with Thai Standards on Auditing (TSAs). My responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the consolidated and separate financial statements section of my report. I am independent of the Group and the Bank in accordance with the Code of Ethics for Professional Accountants including Independence Standards issued by the Federation of Accounting Professions (TFAC Code) that are relevant to my audit of the consolidated and separate financial statements, and I have fulfilled my other ethical responsibilities in accordance with the TFAC Code. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.
Key audit matters
Key audit matters are those matters that, in my professional judgement, were of most significance in my audit of the consolidated and separate financial statements of the current year. I determine one key audit matter: Allowances for expected credit losses on loans to customers, loan commitments and financial guarantee contracts. This matter was addressed in the context of my audit of the consolidated and separate financial statements as a whole, and in forming my opinion thereon, and I do not provide a separate opinion on the matter.
Key audit matter | How my audit addressed the key audit matter |
Allowances for expected credit losses on loans to customers, loan commitments and financial guarantee contracts
Refer to Notes to the consolidated and separate financial statements no. 2 for accounting policies, no. 11 for disclosures relating to loans to customers, and no. 23 for disclosures relating to provisions.
Loans to customers are a significant item constituting 48.94% of total assets. As at 31 December 2024 the total loans portfolio of the Group comprises of loans of commercial banking business which constitutes 86.70%, and hire-purchase receivables generated from the operations of the subsidiaries 13.30%. Management made an estimate on the allowances for expected credit losses on certain loans, portfolio of loans to customers, loan commitments and financial guarantee contracts by applying both quantitative data and qualitative factors which are complex.
I focused on auditing this area because the allowances for expected credit loss ("ECL") under TFRS 9 "Financial Instruments" require the use of complex models and significant assumptions about future economic conditions and ability to pay.
In addition, the significant judgements in applying the accounting requirements for measuring ECL include the following:
- Building the appropriate collective assessment models used to calculate ECL. The models are inherently complex, and judgement is applied in determining the appropriate model construct;
- Identifying loans to customers that have experienced a significant increase in credit risk;
- Assumptions used in the ECL models such as expected future cash flows, forward-looking macroeconomic factors, probability weighted scenarios and management overlay ; and
- Data and assumptions used for ECL for the significant exposure on individual assessment approach such as expected future cash flows and the appraisal value of collaterals.
I evaluated the design and implementation of controls, and tested the operating effectiveness of key controls over input data and the calculation of allowances for expected credit losses in the system as follows:
- I tested management's controls over data accuracy, assessed the application of appropriate methodologies and appropriateness of systems, processes and internal controls in assessing the reliability of results for setting up allowances for expected credit losses.
- I tested the key controls (both automated and manual). I involved my information technology specialists to test access controls to the system, including the script, and controls over the computation of allowances for expected credit losses, including the accuracy of customers' account balances used in the computation. I also tested controls over accuracy of data input into the system that used to determine the allowances for expected credit losses, collateral amounts and data transfer.
- I tested governance controls for the ECL model development and refinements, including model approval, monitoring and validation.
- I tested management's controls over the review and approval of setting up allowances for expected credit losses by reading minutes of key committee meetings such as the audit committee, risk committee, management committees and Board of Directors of the Group.
Key audit matter | How my audit addressed the key audit matter |
I didn't find any exceptions from my testing, with the result that
I relied on controls of the Group in my audit. In addition, I also performed the following further procedures.
- I involved my financial risk modelling experts and information technology specialists in areas such as testing the appropriateness of the ECL models for collective assessment and the scripts used to compute the ECL figures. Moreover, I assessed and tested the methodologies, as well as the significant modelling assumptions and data reliability inherent within the ECL models applied. I also considered appropriateness of forward-looking forecasts assumptions compared with available information in the market.
- I examined a sample of loans to customers and gathered relevant information to form my judgement on whether there was a significant increase in credit risk or any objective evidence of impairment on these customers, and then considered the appropriateness of the stage classification. I independently performed a credit analysis where I selected loans based on risk exposures. I tested the internal credit rating of those loans with the Bank's internal credit rating policy.
- I tested management's review and approval process for management overlay. I assessed the appropriateness of management overlay by using my banking industry experience and knowledge, in the light of current economic conditions.
- Where allowances for expected credit losses were individually calculated, I assessed their adequacy of allowances for expected credit losses by challenging the basis of cash flow projections prepared by management and assessed the appropriateness of projections by examining them against the relevant supporting evidence. I had a detailed discussion with management on the future cash flows expected from customers. I also used professional judgement and external evidence, if any, to assess those projections, and re-performed the calculations of the discounted cash flows.
- For collateral valuations performed by the professional valuers, I checked their qualifications. Then, I sampled those valuations to check that management used the latest valuations in the computation of allowances for expected credit losses. I assessed the appropriateness of the valuation methodologies by considering that the valuers used the methodology allowed by the regulators. I also checked the accuracy of the collateral value in the ECL models.
Based on the work I performed, I didn't find any material differences from allowances for expected credit losses which had been assessed by management.
Other information
The directors are responsible for the other information. The other information comprises the information included in the annual report but does not include the consolidated and separate financial statements and my auditor's report thereon. The annual report is expected to be made available to me after the date of this auditor's report.
My opinion on the consolidated and separate financial statements does not cover the other information and I will not express any form of assurance conclusion thereon.
In connection with my audit of the consolidated and separate financial statements, my responsibility is to read the other information identified above when it becomes available and, in doing so, consider whether the other information is materially inconsistent with the consolidated and separate financial statements or my knowledge obtained in the audit, or otherwise appears to be materially misstated.
When I read the annual report, if I conclude that there is a material misstatement therein, I am required to communicate the matter to the audit committee.
Responsibilities of the directors for the consolidated and separate financial statements
The directors are responsible for the preparation and fair presentation of the consolidated and separate financial statements in accordance with TFRS and the Bank of Thailand notifications in relation to the preparation and presentation of financial reporting as described in the notes to the consolidated and separate financial statements no. 2, and for such internal control as the directors determine is necessary to enable the preparation of consolidated and separate financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the consolidated and separate financial statements, the directors are responsible for assessing the Group's and the Bank's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group and the Bank or to cease operations, or has no realistic alternative but to do so.
The audit committee assists the directors in discharging their responsibilities for overseeing the Group's and the Bank's financial reporting process.
Auditor's responsibilities for the audit of the consolidated and separate financial statements
My objectives are to obtain reasonable assurance about whether the consolidated and separate financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes my opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with TSAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated and separate financial statements.
As part of an audit in accordance with TSAs, I exercise professional judgement and maintain professional scepticism throughout the audit. I also:
- Identify and assess the risks of material misstatement of the consolidated and separate financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group's and the Bank's internal control.
- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.
- Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's and the Bank's ability to continue as a going concern. If I conclude that a material uncertainty exists, I am required to draw attention in my auditor's report to the related disclosures in the consolidated and separate financial statements or, if such disclosures are inadequate, to modify my opinion. My conclusions are based on the audit evidence obtained up to the date of my auditor's report. However, future events or conditions may cause the Group and the Bank to cease to continue as a going concern.
- Evaluate the overall presentation, structure and content of the consolidated and separate financial statements, including the disclosures, and whether the interim consolidated and separate financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
- Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. I am responsible for the direction, supervision and performance of the group audit. I remain solely responsible for my audit opinion.
I communicate with the audit committee regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.
I also provide the audit committee with a statement that I have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on my independence, and where applicable, related safeguards.
From the matters communicated with the audit committee, I determine those matters that were of most significance in the audit of the consolidated and separate financial statements of the current period and are therefore the key audit matters. I describe these matters in my auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, I determine that a matter should not be communicated in my report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.
PricewaterhouseCoopers ABAS Ltd.
Sakuna Yamsakul
Certified Public Accountant (Thailand) No. 4906
Bangkok
26 February 2025
CIMB Thai Bank Public Company Limited
Statement of Financial Position
As at 31 December 2024
Consolidated | Separate | ||||||||
31 December | 31 December | 31 December | 31 December | ||||||
2024 | 2023 | 2024 | 2023 | ||||||
Notes | Baht | Baht | Baht | Baht | |||||
Assets | |||||||||
Cash | 950,862,156 | 905,364,960 | 950,532,156 | 904,999,960 | |||||
Interbank and money market items, net | 6 | 7,149,861,548 | 7,594,159,441 | 6,912,250,691 | 7,272,401,446 | ||||
Financial assets measured at fair value | |||||||||
through profit or loss | 7 | 62,283,037,361 | 62,089,791,643 | 62,283,037,361 | 62,089,791,643 | ||||
Derivative assets | 8 | 56,229,043,285 | 60,285,765,977 | 56,229,043,285 | 60,285,765,977 | ||||
Investments, net | 9 | 106,403,971,840 | 112,778,907,674 | 105,584,437,721 | 112,776,907,674 | ||||
Investments in subsidiaries, net | 10 | - | - | 2,895,420,707 | 2,895,420,707 | ||||
Loans and accrued interest receivables, net | 11, 12 | 248,850,387,832 | 241,101,161,846 | 245,812,067,478 | 236,437,428,410 | ||||
Properties for sale, net | 13 | 1,133,386,238 | 1,386,349,656 | 957,127,064 | 994,476,996 | ||||
Premises and equipment, net | 14 | 3,360,910,339 | 3,469,907,514 | 3,231,316,013 | 3,320,199,563 | ||||
Right of use assets, net | 15 | 188,663,103 | 190,403,853 | 170,698,203 | 155,584,729 | ||||
Intangible assets, net | 16 | 977,063,054 | 958,851,181 | 947,404,477 | 936,095,365 | ||||
Deferred tax assets | 17 | 1,113,947,692 | 1,915,717,788 | - | 1,147,099,168 | ||||
Credit support assets on derivatives | 12,668,356,035 | 12,466,327,345 | 12,668,356,035 | 12,466,327,345 | |||||
Accounts receivable from sell of financial assets | |||||||||
measured at fair value through profit or loss | |||||||||
and investments | 4,881,956,304 | 2,069,146,301 | 4,881,956,304 | 2,069,146,301 | |||||
Other assets, net | 18 | 2,264,607,556 | 1,764,489,943 | 2,054,148,524 | 1,649,086,179 | ||||
Total assets | 508,456,054,343 | 508,976,345,122 | 505,577,796,019 | 505,400,731,463 | |||||
Director_______________________________________ Director ________________________________________
The accompanying notes to the consolidated and bank financial statements are an integral part of these financial statements.
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CIMB Thai Bank Public Company Limited
Statement of Financial Position (Cont'd)
As at 31 December 2024
Consolidated | Separate | ||||||||
31 December | 31 December | 31 December | 31 December | ||||||
2024 | 2023 | 2024 | 2023 | ||||||
Notes | Baht | Baht | Baht | Baht | |||||
Liabilities and equity | |||||||||
Liabilities | |||||||||
Deposits | 19 | 278,928,749,859 | 257,226,835,811 | 279,306,414,925 | 257,709,581,189 | ||||
Interbank and money market items | 20 | 67,945,137,564 | 77,266,565,035 | 67,945,137,564 | 77,266,565,035 | ||||
Liability payable on demand | 235,448,005 | 521,722,822 | 235,448,005 | 521,722,822 | |||||
Financial liabilities measured at fair value | |||||||||
through profit or loss | 21 | 10,819,768,399 | 20,107,333,545 | 10,819,768,399 | 20,107,333,545 | ||||
Derivative liabilities | 8 | 57,792,748,394 | 62,263,132,002 | 57,792,748,394 | 62,263,132,002 | ||||
Debt issued and borrowings | 22 | 18,351,093,167 | 21,634,302,887 | 18,351,093,167 | 21,634,302,887 | ||||
Lease liabilities | 193,045,435 | 194,550,490 | 174,794,357 | 159,268,107 | |||||
Provisions | 23 | 1,556,699,046 | 2,269,617,452 | 1,446,475,898 | 2,149,477,479 | ||||
Deferred tax liabilities | 92,399,070 | - | 21,753,054 | - | |||||
Credit support liabilities on derivatives | 12,134,372,512 | 13,875,790,527 | 12,134,372,512 | 13,875,790,527 | |||||
Accounts payable from purchase of financial | |||||||||
assets measured at fair value through profit or loss | |||||||||
and investments | 4,588,748,165 | 1,728,024,256 | 4,588,748,165 | 1,728,024,256 | |||||
Other liabilities | 24 | 5,070,803,186 | 4,909,922,223 | 4,295,168,736 | 4,389,919,330 | ||||
Total liabilities | 457,709,012,802 | 461,997,797,050 | 457,111,923,176 | 461,805,117,179 | |||||
Equity | |||||||||
Share capital | 26 | ||||||||
Registered | |||||||||
34,822,261,748 ordinary shares | |||||||||
of Baht 0.50 each | 17,411,130,874 | 17,411,130,874 | 17,411,130,874 | 17,411,130,874 | |||||
Issued and paid-up share capital | |||||||||
34,822,261,748 ordinary shares | |||||||||
of Baht 0.50 each | 17,411,130,874 | 17,411,130,874 | 17,411,130,874 | 17,411,130,874 | |||||
Premium on share capital | 10,145,965,854 | 10,145,965,854 | 10,145,965,854 | 10,145,965,854 | |||||
Other reserves | 1,735,642,396 | 807,328,024 | 1,755,077,949 | 829,696,421 | |||||
Accretion of equity interests in subsidiary | (42,753,751) | (42,753,751) | - | - | |||||
Retained earnings | |||||||||
Appropriated - statutory reserve | 28 | 927,601,000 | 791,601,000 | 927,601,000 | 791,601,000 | ||||
Unappropriated | 20,569,455,168 | 17,865,276,071 | 18,226,097,166 | 14,417,220,135 | |||||
Total equity | 50,747,041,541 | 46,978,548,072 | 48,465,872,843 | 43,595,614,284 | |||||
Total liabilities and equity | 508,456,054,343 | 508,976,345,122 | 505,577,796,019 | 505,400,731,463 | |||||
The accompanying notes to the consolidated and bank financial statements are an integral part of these financial statements.
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CIMB Thai Bank Public Company Limited
Statement of Comprehensive Income
For the year ended 31 December 2024
Consolidated | Separate | ||||||||
2024 | 2023 | 2024 | 2023 | ||||||
Notes | Baht | Baht | Baht | Baht | |||||
Interest income | 32 | 18,678,332,931 | 16,775,781,043 | 16,262,141,769 | 14,359,863,125 | ||||
Interest expenses | 33 | (9,205,335,215) | (7,007,544,537) | (9,204,835,135) | (7,006,760,313) | ||||
Net interest income | 9,472,997,716 | 9,768,236,506 | 7,057,306,634 | 7,353,102,812 | |||||
Fees and service income | 2,115,964,476 | 1,828,257,407 | 1,625,527,556 | 1,236,136,956 | |||||
Fees and service expenses | (685,435,855) | (635,129,572) | (421,767,697) | (371,902,332) | |||||
Net fees and service income | 34 | 1,430,528,621 | 1,193,127,835 | 1,203,759,859 | 864,234,624 | ||||
Gains on financial instruments | |||||||||
measured at fair value through | |||||||||
profit or loss | 35 | 1,519,492,280 | 844,397,568 | 1,519,492,280 | 844,397,568 | ||||
Gains on investments | 36 | 735,839,334 | 464,948,759 | 735,839,334 | 464,948,759 | ||||
Gains on sale of non-performing loans | 88,688,837 | 332,944,168 | - | - | |||||
Other operating income | 37 | 1,855,011,902 | 1,167,928,828 | 1,495,632,985 | 894,681,915 | ||||
Total operating income | 15,102,558,690 | 13,771,583,664 | 12,012,031,092 | 10,421,365,678 | |||||
Other operating expenses | |||||||||
Employee expenses | 4,101,478,354 | 4,242,691,593 | 3,586,582,242 | 3,672,567,567 | |||||
Directors' remuneration | 14,734,554 | 15,794,142 | 14,734,554 | 15,794,142 | |||||
Premises and equipment expenses | 1,009,129,701 | 957,509,363 | 874,215,558 | 788,891,237 | |||||
Taxes and duties | 480,720,441 | 431,162,884 | 477,805,740 | 427,581,877 | |||||
Others | 3,251,865,040 | 2,986,099,768 | 1,316,522,879 | 1,284,319,102 | |||||
Total other operating expenses | 8,857,928,090 | 8,633,257,750 | 6,269,860,973 | 6,189,153,925 | |||||
Expected credit losses | 38 | 2,685,367,946 | 3,110,231,669 | 802,636,183 | 1,515,029,333 | ||||
Profit before income tax expenses | 3,559,262,654 | 2,028,094,245 | 4,939,533,936 | 2,717,182,420 | |||||
Income tax expenses | 39 | (707,142,264) | (422,823,335) | (982,715,612) | (560,599,760) | ||||
Net profit for the years | 2,852,120,390 | 1,605,270,910 | 3,956,818,324 | 2,156,582,660 | |||||
The accompanying notes to the consolidated and bank financial statements are an integral part of these financial statements.
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CIMB Thai Bank Public Company Limited
Statement of Comprehensive Income (Cont'd)
For the year ended 31 December 2024
Consolidated | Separate | ||||||||
2024 | 2023 | 2024 | 2023 | ||||||
Note | Baht | Baht | Baht | Baht | |||||
Other comprehensive income (expenses) | |||||||||
Items that will be reclassified | |||||||||
subsequently to profit or loss | |||||||||
Gains (losses) on investments in | |||||||||
debt instruments measured at fair value | |||||||||
through othercomprehensive income | 539,109,960 | (353,720,105) | 539,109,960 | (353,720,105) | |||||
(Losses) gains on fair value of hedging | |||||||||
instruments for cash flow hedges | (84,889,768) | 22,781,172 | (84,889,768) | 22,781,172 | |||||
Gains arising from translating | |||||||||
the financial statement of a foreign operation | - | 47,156 | - | 47,156 | |||||
Reclassification exchange differences on | |||||||||
translation of discontinued operation to profit or loss | - | 55,213,146 | - | 55,213,146 | |||||
Income tax relating to items that will be | |||||||||
reclassified subsequently to profit or loss | (68,554,399) | 66,852,791 | (68,554,399) | 66,852,791 | |||||
Total items that will be reclassified | |||||||||
subsequently to profit or loss | 385,665,793 | (208,825,840) | 385,665,793 | (208,825,840) | |||||
Items that will not be reclassified | |||||||||
subsequently to profit or loss | |||||||||
Losses on investment in equity instruments | |||||||||
designated at fair value through other | |||||||||
comprehensive income | (10,672,021) | (10,473,707) | (10,672,021) | (10,473,707) | |||||
Gains on financial liabilities designated at | |||||||||
fair value relating to own credit risk | 410,375,870 | 71,101,662 | 410,375,870 | 71,101,662 | |||||
Remeasurements of post-employment | |||||||||
benefit obligations | 136,592,191 | (50,272,288) | 132,926,136 | (43,059,430) | |||||
Income tax relating to items that will not be | |||||||||
reclassified subsequently to profit or loss | (113,908,110) | 122,283,451 | (113,174,899) | 120,840,879 | |||||
Total items that will not be reclassified | |||||||||
subsequently to profit or loss | 422,387,930 | 132,639,118 | 419,455,086 | 138,409,404 | |||||
Total other comprehensive income (expenses) | 808,053,723 | (76,186,722) | 805,120,879 | (70,416,436) | |||||
Total comprehensive income | |||||||||
for the years | 3,660,174,113 | 1,529,084,188 | 4,761,939,203 | 2,086,166,224 | |||||
The accompanying notes to the consolidated and bank financial statements are an integral part of these financial statements.
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