Bangkok Bank Reports 9-Month Net Profit of 29.981 Billion Baht, Emphasizes Quality Lending Strategy

BBL reported a net profit of 9.489 billion baht in Q3 2026, with a nine-month net profit totaling 29.981 billion baht. Despite the downward pressure on interest rates potentially impacting interest income, the bank continues to prioritize quality lending.

Bangkok Bank (BBL) Thailand's economy in Q3 remained stable compared to the previous quarter, supported by exports, especially electronics. However, private consumption remained fragile due to rising living costs, while the tourism sector's recovery was below expectations. Additionally, flooding impacted economic activities.

For Q3 2026, the bank reported a net profit of 9.489 billion baht, stable quarter-on-quarter (QoQ) but down 31.2% year-on-year (YoY). Net interest income was 29.041 billion baht, up 4.6% QoQ but down 5.6% YoY. Non-interest income was 11.634 billion baht, decreasing 7.5% QoQ and 31.2% YoY, mainly due to reduced gains from financial instruments measured at fair value through profit or loss (FVTPL) and market-related investments.

The nine-month net profit of 29.981 billion baht declined compared to the same period last year, primarily due to reduced net interest income following the bank's interest rate cuts aimed at supporting economic recovery and easing customers' financial burdens. The net interest margin (NIM) stood at 2.47%.

Nevertheless, the bank continues to focus on quality lending, which supports revenue and partially offsets the impact of lower interest rates. The decline in non-interest income mainly stemmed from lower investment gains, while net fee and service income rose due to growth in bancassurance, mutual fund services, and improved securities trading fees. The bank also managed expenses efficiently alongside operational improvements, resulting in a 4.6% decrease in operating expenses and an operating expense-to-income ratio of 48.2%. Expected credit losses declined 13.9% YoY, reflecting the bank’s ongoing prudent provisioning.

Summary of performance for the first nine months of 2026 compared to the same period in 2025:

• Net profit was 29.981 billion baht, down 21.6% YoY.
• Net interest income was 84.785 billion baht, down 10.2% YoY.
• Non-interest income was 37.025 billion baht, down 14.6% YoY.
• Operating expenses were 58.717 billion baht, down 4.6% YoY.
• The expense-to-total income ratio was 48.2%.
• Non-performing loans (NPLs) as of 30 Sep 2026 stood at 102.85 billion baht, down 2.3% from the previous quarter. The NPL ratio was 3.2%.
• Total loans as of 30 Sep 2026 amounted to 2.692861 trillion baht, up 3.2% from the end of 2025.
• The capital adequacy ratio (BIS Ratio) was 21.5%.

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