KUALA LUMPUR: CIMB Thai Bank PCL, a 94.83% indirect subsidiary of CIMB Group
, has posted an improved net profit of THB838.1mil (RM110.7mil) in the three months ended March 31, 2025, on the back of an increase in operating income and better cost control.
In a statement, CIMB Thai president and CEO Paul Wong Chee King said the group's bottomline expanded 33.9% year-on-year from THB212mil in the year-ago quarter.
“Going into 2025, we remain cautious in our outlook amid external and geopolitical uncertainties.
Nonetheless, we are confident in the market’s resilience, supported by a healthy recovery of domestic consumption," he said.
CIMB Thai reported quarterly operating income rose 2.2% year-on-year (y-o-y) to THB3.58bil due to a 15.1% increase in other operating income.
"This was due to an increase in gains on financial instruments measured at fair value through profit or loss and gains on sale of investments, partially offset by lower gains on sale of non-performing loans," it said.
Net fee and service income increased THB62mil or 20.7% from lower fee and service expenses. Net interest income was lower by THB 118.6mil or 5.1% due to lower interest income on loans and investments.
Meanwhile, the group reported a 22.1% decrease in operating expenses - largely owing to stringent cost management - bringing the cost-to-income ratio lower to 47.6% in 1Q25 from 62.5% in 1Q24.
Net interest margin over earning assets stood at 2% during the quarter, compared to 2.2% in the year-ago quarter, unerpinned by lower interest income on loans and investments.
As at March 31, 2025, total gross loans (inclusive of loans guaranteed by other banks and loans to
financial institutions) stood at THB246.3bil, a decrease of 2% from Dec 31, 2024.
Deposits (inclusive of bills of exchange, debentures and selected structured deposit products) stood at THB310.5bil, a decrease of 4.2% from THB324bil as at end-December 2024.
