File photo of a CIMB Thailand branch. [NSTP]

KUALA LUMPUR: CIMB Thai Bank PCL, a 94.11 per cent-owned subsidiary of CIMB Group Holdings Bhd, recorded a 39.3 per cent year-on-year increase in consolidated net profit to 168.9 million baht (RM1=8.03 baht) for the first quarter ended March 31, 2018.

In a statement today, it said, the improvement was mainly attributed to an 8.1 per cent growth in operating income and a 4.5 per cent drop in provisions, offset by a 10.6 per cent increase in operating expenses.

“As at March 31, total gross loans stood at 213.7 billion baht, up 0.3 per cent from Dec 31, 2017,” it added.

Meanwhile, gross non-performing loans (NPLs) stood at 11.4 billion baht as at March 31,with an equivalent gross NPL ratio of 5.2 per cent compared with 4.8 per cent as at Dec 31, 2017.

The bank attributed the increase to the sale of NPLs in 2017.

“CIMB Thai continues to exercise high credit risk underwriting standards and risk management policies.

“It also focuses on improving productivity, monitoring collection and managing all accounts closely and effectively,” it said.