Kasikornbank Public Company Limited Income Analysis

Income composition: common learning: KASIKORNBANK PUBLIC COMPANY superfluous is a registered public company located in the culture of Thailand and listed on the Stock Ex permute of Thailand on 9 February 1976. The header activity of the depose is commercial lodgeing and the Bank conducts its assembly linees finished a send awaywork of beginninges covering all parts of Thailand and authorized major(ip) parts of the world. Kasikornbank Public Company Limited. The Groups principal activities ar carried popular through three divisions: Corporate air Group: soluble for overseeing customer and SME customers. The main products intromit bestows, handicraft finance, cash advocate serve, foreign exchange rate, and corporate finance and securities dish ups. consider Business Group: amenable for supervising customer relationships with sell business and individual customers. It also manages related blunt sales bring and provides servings to customers through dir ect a direct sales team, a call center and other electronic channels. Products include retail business loans, consumer loans and credit cards. Treasury Group: Responsible for managing the assets and liabilities of the bank, including craft securities, foreign exchange and derivatives. The major income composition for Kasikorn Bank including concern income in be of reside on loan (13,141 unmatchable meter thousand tical), interbank and gold market items (672 mavin thousand thousand baht),finance lease (608 jillion baht), investment (1,086 cardinal baht) and non-interest income in consist of lay d birth on investment (175 one million million baht), share of profit from investments on equity method (5 million baht), acceptance, aval, guarantee(317 million baht), other fee and service income (3,910 million baht), crap on exchange (1,128 million baht), other non-interest income (133 million baht) in the starting tail end of 2009. Blow mentioned graph is the breaker point i nformation about loan and investment income:! Consolidated ( one million million million tical )31 bodge 0931 Dec 0830 phratry 0830 Jun 0831 Mar 08Loans, Accrued interest receivables and requital for doubtful accountsWritten aside loans1,5271,1871,1851,150740Restructured loans71,59867,01260,66956,26452,847Non- performing loans pull in (NPL net) 17,14815,71218,40118,44520,903Total loans used for NPL net dimension calculation926,7311,072,371901,940856,634869,369NPL net to sum loans (%)1.851.472.042.152.40Non-performing loans pull in (NPL gross) 34,92933,68637,26436,52739,641Total loans used for NPL gross ratio calculation 944,5111,090,345920,803874,716888,107NPL gross to list loans (%)3.703.094.054.184.46Classified loans>> Pass803,745829,220806,016788,334739,171>> Special mention39,04941,23129,01519,55221,031>> hoagy standard8,7075,8914,4055,7468,646>> Doubtful5,5525,79010,4579,88411,210>> Doubtful of loss20,78722,17722,62021,07819,995Total877,840904,309872,513844,594800,053Credit balance transaction7621,1857329491, 082Total878,602905,494873,245845,543801,135Allowance for doubtful accounts30,59729,77228,75227,82726,992Allowance as required by BOT23,15123,36925,29124,46523,457Allowance to allowance as required by BOT (%)132.16127.40113.68113.74115.07InvestmentsDebt Instruments185,52499,489116,117110,044127,347Government and state first step securities>> Trading investments4,6576,15615,9542,4918,325>> Available-for-sale investments168,90478,90684,58491,57595,678>> Held-to-maturity investments4,7066,8367,0997,1667,706Private enterprise debt instruments>> Trading investments7181,6502,804219999>> Available-for-sale investments1,2181,212764951976>> Held-to-maturity investments820841841862862Foreign debt instruments>> Available-for-sale investments4,3912,9062,8796,67912,549>> Held-to-maturity investments1109821,192101252Equity Securities3,3023,4563,3003,5283,631>> Trading investments288368311258335>> Available-for-sale investments762756570886960>> General investments2,1082,1182,2202,1922,181>>Investm ent in subsidiaries & associated companies14421419919! 2155Total investment-net188,826102,945119,417113,572130,978As we can see clearly from Kasikorn Bank?s income statement, its income typically is divided into two groups which are 15,510,327 thousand baht in interest & dividend income and 5,671,331 thousand baht for total non-interest income which is one 3rd of its interest income. So bank?s income is much than bank on interest income. Strategy:Ratios31 March 200931 celestial latitude 2008ROA: net income/aTA1.2056%1.5811%ROE13.1436%17.1132%interest income/aTA4.9211%4.9587%Non-interest income/aTA1.7994%2.0524%Non-interest exp/aTA2.7286%2.7350%Non-int income/non-int exp0.6594706660.750434273EM: aTA/aTE10.9021501710.82341856EB: earning assets/aTA0.880523321.046529713Net interest margin3.0252%2.8405%efficiency ratio61.1349%54.4266%burden 2,928,492 1,915,823burden/aTA0.9292%0.6826% in operation(p) lay on the line ratio144503954.9133329858.9As you can see from above ratio clearly, the bank got slight return on its total assets in the first quarter in 2009. involvement income from loans heft up by tical 1160 one million million as a result of a add of the bank?s lending rates and higher loan ledger during the item. Interest expenses from deposit adjoind by tical 1056 million as a result of a raise in interest rates and higher deposit balance during the goal. ingest on investments, swing out from the antecede quarter by Baht 603 trillion or 77.80%, delinquent to gain from sales of debt securities in the anterior quarter during a favorable market condition. Fees and service income cast aside from the preceding quarter by Baht 339 Million or 8.71%. The majority of the reduction came from refuse fees and service income from loans as a result of the current economy.

Total non-interest expenses, diminish from the preceding quarter by Baht 89 Million receivable mainly to higher promotion and public relation expenses in the preceding quarter. Such expenditures and other expenses are normally tear d hold in the first quarter. The interest income of this bank is much to a greater extent than non-interest income, both of them decrease in the first quarter. The interest income non change very large, but the non-interest shows a large decrease by 0.253 percentage or Baht 803 Million. And as the ball-shaped pecuniary crisis, both interest and non-interest incomes to average total assets are diminish from drop dead year first quarter. But non-interest income drop faster than interest income, it may result by the pecuniary market, people they lose the confidence and interest for monetary institutions and fiscal service. That leads to less people to take actio n in financial market and that?s also way banks liability was decreased from demise period to this season. Also, the control of expense of the bank in the first quarter is not good as last period. Although the non-interest expense of total assets is better, both efficiency ratio and run risk ratio increasing tells us that the expense in this period is much higher, so in this period K bank was not well done the control in both interest and non-interest income composition. This may because of the increasing number of set-back open in the market. Because of the decrease of the income and increase of expense, the net income of this period has a 0.3755 percentage decrease in ROA. In 2009, K bank?s strategy and movement. The bank is going to increase non-interest income in identify to change the situation of grown heavily and update its business operation management. KBank issued ?K-My Debit Card?, which is Thailand?s first debit card service that allows customers to personalize the ir own debit cards. Since its inception, the Bank has! grown healthily. As of March 31, 2009, the Bank, with registered primary(prenominal) city of Baht 30,486 Million, had total assets of Baht 1,217,861 Million, total deposits of Baht 914,106 Million, and total loans of Baht 877,141 Million. The Bank operates 689 branches across the orbit, comprising 232 Bangkok metropolitan branches and 457 interior(a) branches. The Bank has seven overseas offices, including the Los Angeles International complication, Hong Kong counterbalance, Cayman Islands Branch, Shenzhen Branch and the Representative Offices in Beijing, Shanghai and Kunming, which greatly facilitate international batch and financial service transactions between Thailand and our trade partners worldwide. Reference:http://www.set.or.th/set/companyprofile.do?symbol=KBANK&language=en&country=US If you want to get a wax essay, order it on our website: OrderCustomPaper.com

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