KTC: Performance 1Q18 Total Membership 3,065,500 accounts (as of - PowerPoint PPT Presentation

KTC: Performance 1Q18 Total Membership 3,065,500 accounts (as of March 31, 2018)

KTC Story Consumer Finance Industry & KTC Portfolio Performances Credit Card Marketing Program Personal Loan Marketing Program

KTC Story 3

Total Card Portfolio 10.4% Spending Personal loan 6.4% 4.8% (YoY) 8.4% (%YoY) Credit card (YoY) Net Profit 65.0% (YoY) 0.8% NPL COF Personal loan NIM 1.1% 15.1% 1.3% 3.0% Credit card

• Incorporated in 1996 as a credit card servicing subsidiary company of Krungthai Bank PLC • In July 2002, KTB sold the credit card portfolio to KTC which subsequently transformed KTC into a full consumer finance company and later listed on the SET in October 2002 % of Total Receivables % of Total Revenue Credit Card Credit Card Personal loan Personal loan Others (Circle Loan and miscellaneous) Others (Circle Loan and miscellaneous) (As of March 31, 2018) 5

Top 10 Shareholders (as of Mar 31, 2018) 1 KRUNG THAI BANK PUBLIC COMPANY LIMITED 49.45% 49.45% 9.38% 2 MR. MONGKOL PRAKITCHAIWATTANA 16.80% 3 MR. SATAPORN NGARMRUENGPONG 4.98% Thai KTB 4 MS. CHANTANA JIRATTITEPAT 4.71% Institutional 5 THAI NVDR 1.74% 6 KGI SECURITIES (THAILAND) PLC 1.13% Foreign Thai 7 MRS. MANEERAT NGARMRUENGPONG 0.88% Individual 8 MAYBANK KIM ENG (THAILAND) 0.87% 4.91% 36.26% 9 SOUTH EAST ASIA UK (TYPE C) NOMINEES LIMITED 0.75% 10 MR. KIATTINAN DENPAISAN 0.72% 2013 2014 2015 2016 2017 1Q18 58.83% Thai Institutional Holding 53.18% 62.87% 72.01% 67.23% 57.03% 36.26% Thai Individual Holding 43.45% 29.32% 21.87% 22.45% 35.47% 4.91% Foreign Holding 3.37% 7.81% 6.12% 10.33% 7.51% 4,903 Total Number of Shareholders 3,550 3,125 3,426 3,815 4,376 Source: TSD 6

Credit Card Personal Loan Consumer Finance Industry & Consumer Finance Industry & KTC Portfolio Performances KTC Portfolio Performances 7

Total Credit Card Spending Private Consumption Expenditure 7.54 7.26 Baht Trillion 7.01 6.94 6.75 6.54 5.99 5.64 5.21 5.13 20.8% 20.5% 19.9% 18.8% 17.7% 16.4% 15.1% 14.5% 14.0% 13.2% 1.57 1.49 1.39 1.31 1.20 1.07 0.91 0.81 0.69 0.72 Card Spending CAGR (%) 9.5% PCE CAGR (%) 4.2% Total Credit Card Spending of Industry Private Consumption Expenditure Total Credit Card Spending of Industry (%) Source: BoT & NESDB 8

Million Cards Market Share Market Share 2.21 2.17 53.3% 52.8% 52.5% 51.2% 2.13 2.10 48.8% 47.5% 47.2% 46.7% 1.89 10.4% 10.7% 10.7% 9.9% Y2015 Y2016 Y2017 1Q18 Commercial Banks Non-Banks KTC Y2015 Y2016 Y2017 1Q17 1Q18 Acquisition Channels - New Application %Growth (YoY) 14% 16% 11.1% 18% 18% 5.2% 34% 4.4% 3.5% Others 35% 38% 34% 6.1% 3% Direct Sale & Telesale 2% 3.5% 5% 4% 1.0% KTC Branch 50% 49% 42% 40% KTB -6.5% Y2015 Y2016 Y2017 1Q18 2015 2016 2017 1Q18 Industry KTC Others: Printing Media Insertion, Marketing Events, Internet, Corporate Alliance, Take One Partner, Network Management, and others Source: BoT & KTC 9

Market Share 66.3% 66.1% 65.9% 65.6% Baht Million 34.4% 33.7% 33.9% 34.1% 11.3% 11.1% 11.0% 176,777 10.5% 165,404 Y2015 Y2016 Y2017 1Q18 145,800 Commercial Banks Non-Banks KTC %Growth (YoY) 13.4% 12.3% 10.1% 44,475 6.9% 41,036 8.4% 6.9% 6.5% 5.2% Y2015 Y2016 Y2017 1Q17 1Q18 Y2015 Y2016 Y2017 1Q18 Industry KTC Source: BoT & KTC 10 10

Market Share Market Share Baht Million %Growth (YoY) %Growth (YoY) %Growth (YoY) 48,338 61.5% 60.6% 59.9% 59.6% 11.5% 1.1% 10.1% 46,195 9.4% 98.9% 45,317 40.1% 40.4% 39.4% 1.2% 38.5% 7.5% 1.1% 98.8% 43,257 8.0% 98.9% 1.3% 41,412 12.8% 12.6% 12.4% 12.3% 4.8% 4.8% 98.7% 4.6% 1.3% 98.7% Y2015 Y2016 Y2017 1Q18 Y2015 Y2016 Y2017 1Q18 Commercial Banks Non-Banks KTC Industry KTC Portfolio Quality 2.0% 1.9% 1.9% 1.6% 1.6% %NPL (90dpd) 2015 2016 2017 1Q18 Industry 3.09% 2.84% 1.92% 2.26% Y2015 Y2016 Y2017 1Q17 1Q18 Commercial Bank 3.95% 3.69% 2.39% 2.89% <= 90 Days > 90 Days Delinquency Non-Bank 1.72% 1.54% 1.21% 1.32% KTC 1.35% 1.22% 1.12% 1.14% Source: BoT & KTC 11

Number of Accounts Market Share 834,336 857,613 852,915 81.1% 80.7% 79.5% 77.3% 818,068 747,343 22.7% 20.5% 19.3% 18.9% 6.7% 6.7% 6.3% 6.7% Y2015 Y2016 Y2017 1Q18 Commercial Banks Non-Banks KTC Y2015 Y2016 Y2017 1Q17 1Q18 Acquisition Channels - New Application %Growth (YoY) 2% 3% 3% 4% 9.5% 7.8% 54% 57% 58% Others 5.4% 61% 4.7% Direct Sale & Telesale 2.5% 4% 2% 1% KTC Branch 4.3% 3% 0.2% 2.8% KTB 40% 38% 38% 32% Y2015 Y2016 Y2017 1Q18 Industry KTC 2015 2016 2017 1Q18 Others: Internet, Marketing, Events, and Others Source: BoT & KTC 12

Market Share %Growth (YoY) Baht Million 56.1% 56.3% 18.2% 53.0% 24,757 24,469 50.4% 0.9% 0.8% 12.7% 49.6% 11.6% 47.0% 99.1% 22,158 21,959 99.2% 43.9% 43.7% 10.4% 0.9% 1.0% 6.8% 6.4% 99.1% 99.0% 4.6% 18,583 7.0% 6.9% 6.6% 5.8% 1.8% 1.2% 98.8% Y2015 Y2016 Y2017 1Q18 Y2015 Y2016 Y2017 1Q18 Commercial Banks Non-Banks KTC Industry KTC Portfolio Quality 2.8% 2.5% 2.5% 2.3% 2.1% %NPL (90dpd) 2015 2016 2017 1Q18 Industry 5.17% 3.14% 2.50% 2.67% Y2015 Y2016 Y2017 1Q17 1Q18 Commercial Bank 5.01% 4.08% 3.02% 3.17% <= 90 Days > 90 Days Delinquency Non-Bank 5.33% 2.32% 2.10% 2.28% KTC 1.04% 0.94% 0.76% 0.82% Source: BoT & KTC 13

Key B/S Figures Fund Usage Baht billion Baht billion 53.4 73.6 51.1 70.0 49.4 68.3 81% 45.1 81% 91% 60.2 61.1 65% 58.0 56.2 53.4 51.4 51.1 49.4 45.1 3.7% 3.1% 3.1% 3.0% 4% 31% 5.89 5.62 18.8% 18.9% 9% 4.85 4.08 Y2015 Y2016 Y2017 1Q18 13.8 12.6 Short-term loans Long-Term Loans Debenture Cost of fund 10.3 8.7 Total Available Credit Line = 24,670 MB  KTB = 18,030 MB Others = 6,640 MB Y2015 Y2016 Y2017 1Q18 KTC rating : A+ by TRIS KTC rating : A+ by TRIS KTC rating : A+ by TRIS KTC rating : A+ by TRIS KTC rating : A+ by TRIS KTC rating : A+ by TRIS KTC rating : A+ by TRIS KTC rating : A+ by TRIS Assets Liabilities Interest Bearing Debt Equity D/E Source: KTC 14

Y2016 Y2017 1Q18 Operating Results Million Baht (%YoY) Million Baht (%YoY) Million Baht (%YoY) Total Revenue 17,580 13.0% 19,525 11.1% 5,108 10.3% Bad Debt Recovery 2,398 17.7% 2,855 19.0% 838 31.3% Administrative Expenses 6,902 12.4% 7,143 3.5% 1,811 7.9% Marketing Expenses 1,122 17.4% 866 (22.8%) 187 (6.2%) Fee Paid Expenses 2,063 21.3% 2,258 9.5% 589 12.8% Interest Expense 1,482 (8.6%) 1,629 9.9% 388 (3.1%) Pre-Provisioning Profit 9,196 17.9% 10,754 16.9% 2,910 13.9% Write-Off and Provision 6,070 17.1% 6,627 9.2% 1,404 (14.4%) Profit before Tax 3,126 19.5% 4,127 32.0% 1,506 64.5% Income Tax Expense (631) 16.2% (822) 30.3% (297) 62.2% Net Profit 2,495 20.4% 3,304 32.5% 1,209 65.0% Source: KTC 15

Y2015 Y2016 Y2017 1Q18 13.3% 14.2% 16.9% 23.7% Net Profit Margin 39.5% 39.3% 36.6% 35.4% Cost to Income Ratio Operating Cost to Income Ratio (1) 29.4% 28.5% 27.6% 27.2% 18.2% 18.2% 18.2% 18.1% Average Interest Received (including credit usage) 3.7% 3.1% 3.1% 3.0% Average Cost of Fund Net Interest Margin (including credit usage) 14.5% 15.1% 15.1% 15.1% D/E Ratio (times) 5.9 5.6 4.9 4.1 ROE 25.7% 26.2% 28.9% 36.7% ROA 3.6% 3.9% 4.7% 6.7% 7.9% Allowance/Total Receivables 8.2% 7.9% 7.8% 399.9% 472.8% 588.6% 591.3% Allowance/NPL 8.0 9.7 12.8 4.7 Earning per share 33.9 40.0 48.8 53.5 Book Value per Share (Baht) 40.4% 41.3% 41.4% N/A Dividend Payout Ratio (1) Excluding Net Interchange & Marketing Expenses (1) Excluding Net Interchange & Marketing Expenses Source: KTC 16

Current Regulation Previous Regulation (Effective 1 st September 2017) Credit Card THB 15,000 THB 15,000 Minimum income Interest rates and fees 20% 18% Income  1.5x New THB 15,000 - 29,999  5x Maximum Credit Line customers  3.0x THB 30,000 - 49,999 only  5.0x ≥ THB 50,000 Personal Loans Interest rates and fees 28% 28% Income New  5x  1.5x no more than Maximum Credit Line customers < THB 30,000 3 institutions only  5x ≥ THB 30,000 Provisioning Policy Collective Approach Credit Card & Personal Loan 0-90 days Based on the loss rate net of recovery + Economic Factors 90 days + 100% provision 17

OPPORTUNITY DAY CREDIT CARD May 17, 2018

MARKETING CAMPAIGNS CONCEPT: • Value for money • Varieties of categories • Nationwide • Address both general and premium customer segments • Building partners network • Penetrating new categories • Online spending • Online communications & social media channels • EASY, SIMPLE, CONVENIENCE, & SECURE • Offer good CUSTOMER EXPERIENCE

เพื่อชีวิตที่ง่ายกว่า Bangkok FinTech Fair 2018 KTC Scan to Pay​ ​Cross Border ช าระเงินผ่าน TapKTC โดยการสแกน QR Code Forever Rewards Redemption แลกคะแนนในรูปแบบใหม่ ตอบชีวิตดิจิทัล เคทีซีจับมือเมเจอร์ซีนีเพลกซ์ เปิดตัว KTC VISA Scan to Pay สแกนจ่าย ได้สิทธิพิเศษ