Earnings Report /
Thailand

Bank of Ayudhya PCL: Profit in line with our expectation

  • Earnings were in line with our estimate

  • BAY posted a 1Q22 profit of Bt7.4bn

  • 1Q22 lending increased 2.0% QoQ.

Poramet Tongbua
Poramet Tongbua

Equity Research Analyst

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Bualuang Securities
21 April 2022

2022 earnings look set to slide 12% YoY, due to the effect of the one-off gain from selling shares in Ngern Tid Lor Plc in 2Q21. But stripping out that one-off gain, our model points to the 2022 bottom-line rising 19% YoY, driven by loan growth, higher non-NII, and a lower credit cost. Moreover, there would be scope for upside to our earnings projection, if BAY were to set lighter LLPs and/or achieve stronger loan growth than we currently assume. Our BUY call stands.

Earnings were in line with our estimate

BAY posted a 1Q22 profit of Bt7.4bn, up by 14% YoY and 16% QoQ. The result was in line with our projection (and the Bloomberg consensus). 1Q22 earnings comprise 24.9% of our full-year projection of Bt29.8bn.