Company Update | KK - SETTrade

Company Update | KK
Income Statement (Bt mn) Balance Sheet (Bt mn)
Year to Dec 2011 2012 2013E 2014E Year to Dec 2011 2012 2013E 2014E
Total interest income 11,296 14,452 16,864 19,774 Investment 26,753 37,624 42,502 48,027
Total interest expense 4,821 7,339 8,368 9,870 H/P loans 96,946 122,093 140,407 157,256
Net interest income 6,476 7,113 8,496 9,904 Total loans 135,303 168,388 199,664 228,364
Non-interest income 3,054 4,405 5,465 6,156 LLR 5,120 6,172 6,853 7,608
Gross income 9,530 11,518 13,962 16,060 Total earning assets 178,137 214,929 250,135 285,396
Non-interest expense 4,831 5,929 7,193 8,008 Permises and equipment 938.5 1,369.8 1,561.6 1,764.6
Pre-provisioning profit 4,699 5,588 6,769 8,052 Total assets 189,996 233,013 265,634 300,167
Provision expense 1,278 1,555 1,472 1,712 Deposits 69,040 153,027 181,513 207,604
Pre-tax profit 3,421 4,033 5,297 6,340 Debt issed and Borrowings 91,233 34,592 36,118 40,809
Tax 1,122 605 953 1,141 Other liabilities 5,459 12,196 13,578 14,250
Extraordinary items 0 0 0 0 Total liabilities 165,731 199,815 231,209 262,663
Net profit 2,273 3,391 4,313 5,168 Paid-up capital 6,343 8,328 8,328 8,328
EPS - fully diluted (Bt) 3.59 4.84 5.23 6.26 Retained earnings 3,715 9,088 9,088 9,088
Core earnings 4,588 5,674 6,859 8,152 Reserves & others 12,675 14,359 15,524 18,535
Core EPS (Bt) 7.25 8.10 8.31 9.88 Shareholders' equity 23,885 32,902 34,100 37,146
Ratio Analysis Growth Rates
Year to Dec 2011 2012 2013E 2014E Year to Dec 2011 2012 2013E 2014E
Yield on earnings assets 6.9% 6.9% 6.8% 7.0% Interest income 28.8% 27.9% 16.7% 17.3%
Cost of funds 3.5% 4.2% 4.0% 4.1% Interest expense 63.9% 52.2% 14.0% 18.0%
Loan spread 3.4% 2.8% 2.8% 2.8% Net interest income 11.2% 9.8% 19.5% 16.6%
NIM 3.8% 3.2% 3.2% 3.3% Non-interest income 6.7% 22.7% 21.3% 11.3%
LTDR 196.0% 110.0% 110.0% 110.0% Gross income 5.0% 20.9% 21.2% 15.0%
Cost to income 50.7% 51.5% 51.5% 49.9% Non-interest expense 6.7% 22.7% 21.3% 11.3%
ROA 1.4% 1.6% 1.7% 1.8% Pre-provisioning profit 3.3% 18.9% 21.1% 19.0%
ROE 10.2% 11.9% 12.9% 14.5% Provision expense 171.9% 21.7% (5.3%) 16.3%
Equity to assets 12.6% 14.1% 12.8% 12.4% Pretax profit (16.1%) 17.9% 31.3% 19.7%
Accured interest/loans 0.6% 0.6% 0.5% 0.5% Net profit (20.0%) 49.2% 27.2% 19.8%
NPLs/loans 3.4% 3.3% 2.9% 2.6% Core earnings (0.7%) 23.7% 20.9% 18.9%
LLR /loans 3.8% 3.7% 3.4% 3.3% Core EPS (10.4%) 11.7% 2.7% 18.9%
LLR /NPLs 108.1% 109.7% 116.0% 122.6% Total loan growth 26.5% 24.5% 18.6% 14.4%
(LLR+Equity)/NPLs 620.6% 699.5% 698.5% 727.0% Asset growth 33.9% 22.6% 14.0% 13.0%
Foreclosed prop./ assets 3.4% 2.1% 1.9% 1.8% Deposit growth (9.1%) 121.7% 18.6% 14.4%
Tier 1 Capital 14.7% 14.0% 13.6% 13.3% Liabilities growth 37.0% 20.6% 15.7% 13.6%
Capital Adequacy Ratio 15.4% 14.7% 14.2% 13.9% Equity growth 15.6% 37.7% 3.6% 8.9%
ROE vs P/BV P/BV Band
18%
16%
14%
12%
10%
8%
6%
4%
2%
0%
2005 2006 2007 2008 2009 2010 2011 2012 2013E
ROE (LHS) P/BV (RHS)
1.4
1.2
1.0
0.8
0.6
0.4
0.2
0.0
55
50
45
40
35
30
25
20
15
10
5
Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13E Dec-14 E
Krungsri Securities Public Company Limited 550 Bank of Ayudhya Building, Ploenchit Office, 5th floor, Ploenchit Road, Pathumwan, Bangkok 10330, Thailand
Tel +66 2659 7000 Fax +66 2646 1103
Price (Bt)
Source: SET, KSS Research Source: KSS Research
P/BV(x)
1.30
1.18
1.06
0.94
0.82
0.70