Page 56 - BAM ONE REPORT 2564 (ENGLISH VERSION)

54 Part 1
Business Operation and Performance

Baht Million 18,000,000 3.25
%
16,000,000 3.2
14,000,000 3.15
12,000,000
3.1
10,000,000
3.05
8,000,000
3
6,000,000
4,000,000 2.95
2,000,000 2.9
0 2.85
2019 2020 As of Sep 2021
Gross NPL (Baht million) 465,033 523,261 546,305
Total loans (Baht million) 15,605,742 16,813,847 17,075,835
Gross NPL/total loans (%) 2.98 3.11 3.20

Source: Bank of Thailand

The continually increasing trend of NPLs of financial institutions will provide a good opportunity for asset
management companies since financial institutions will likely sell out those NPLs in order to maintain their performance
at an appropriate level in line with the economic situation.

From the above-mentioned trend, the overall picture of asset management company business, based on the
Bank of Thailand’s information, can be shown in the below table:

Description As of Sep 2020 As of Sep 2021 Change rate

Total assets (million Baht) 234,542 254,422 8.48%

Total liabilities (million Baht) 165,482 173,187 4.66%

Total equity (million Baht) 69,060 81,235 17.63%
Net profit (loss) (million Baht) 7,726 4,590 -40.59%

Source: Bank of Thailand and Calculation

According to the above information, total assets of asset management companies grew by 8.48% in tandem with
the economy that has not yet fully recovered and accordingly led NPLs in the financial sector to rise to 3.20% as at
September 2021. Therefore, financial institutions have put up their NPLs for auction in a bid to reduce the required
reserve amount and, hence, suitably adjust their performance amid the fluctuation in the economy which has not yet
clearly shown a sign of recovery. Against this backcloth, NPLs will continue to be offered for sale in the market and