KUALA LUMPUR: CIMB Group Holdings Bhd’s 94.83% indirectly held subsidiary, CIMB Thai Bank PCL, saw its operating income rise 1.1% year-on-year (y-o-y) to 14,927.1 million baht (RM2bil) for the financial year ended Dec 31,2020 (FY20), thanks to growth in other income.
For the year in review, however, CIMB Thai’s net profit fell 36% y-o-y to 1,290.6 million baht, due mainly to higher provisions, which rose 60% y-o-y, it said in a statement.
This reflected the elevated provision for economic uncertainty and potential credit migration from customers affected by the Covid-19 pandemic.
It said the amount took into account the forward-looking expected credit loss models and management overlay within a deteriorating economic environment.
Did you find this article insightful?