The banking industry reported softer net profit growth of 7% in 2024, reflecting the country's economic conditions.
The positive performance was supported by a reduction in loan-loss reserves and controlled non-performing loans (NPLs).
The 11 SET-listed banks reported a consolidated net profit of 253 billion baht in 2024, a 7.22% year-on-year increase. Over the past few years, the industry had consistently achieved double-digit net profit growth annually.
In 2024, the sector allocated 235 billion baht for expected credit losses (ECL), marking a 2% year-on-year decline.
Among the four largest banks, Krungthai Bank (KTB) posted the highest net profit growth, increasing by 19.8% to 48.6 billion baht.
The bank also recorded positive loan growth of 4.7%, primarily driven by the government sector and mortgages, compared with the marginal loan growth posted by its peers.
Amid an uneven economic recovery in 2024, KTB prudently managed its asset quality, reducing its NPL ratio to 2.99% from 3.03% the previous year, bank president Payong Srivanich said in a statement to the Stock Exchange of Thailand.
Kasikornbank (KBank) recorded the industry's largest net profit, amounting to 48.6 billion baht, growth of 14.6% that was partially attributed to an 8.85% reduction in loan-loss reserves. The bank kept its NPL ratio steady at 3.18% in 2024, slightly lower than the previous year's 3.19%.
Kattiya Indaravijaya, chief executive of KBank, said it continued to set aside provisions prudently each quarter to address uncertainties, including the slow pace of economic recovery.
Meanwhile, Bangkok Bank reported a net profit of 45.2 billion baht, up 8.6% year-on-year. However, the bank increased its ECL allocation by 3.48% to 34.8 billion baht while keeping its NPL ratio stable at 2.7%.
"The increased provisions reflect the bank's ongoing prudent approach amid Thailand's uneven economic recovery, heightened global economic policy uncertainties and persistent geopolitical tensions," according to the bank's statement.
SCB X reported a net profit of 43.9 billion baht, a modest increase of 0.97%. Provisions decreased by 2.3% year-on-year in 2024, with its NPL ratio declining to 3.37% from 3.44%.
In 2025, SCB X aims to achieve sustained growth through its existing businesses, particularly in consumer finance, by optimising cost management and enhancing debt collection processes, said Arthid Nanthawithaya, chief executive of SCB X.
Krungsri (Bank of Ayudhya) reported a net profit of 29.7 billion baht for 2024, a 9.81% year-on-year decrease, primarily attributed to increased ECL provisions.
TMBThanachart Bank posted a net profit of 21.0 billion baht, up 12.9%, supported in part by a 10.6% reduction in ECL allocations. The bank's NPL ratio also improved, declining to 2.59% from 2.62%.
