Bangkok: SCB X Public Company Limited has reported a net profit of 12,786 million baht for the second quarter of 2025, marking a 27.7% increase compared to the same period last year. This surge in profit is attributed to increased investment returns, reduced provisions, and effective cost management, culminating in a first-half net profit of 25,288 million baht, up by 18.7%.
According to Thai News Agency, the second quarter of 2025 saw SCB X's net interest income drop to THB30,404 million, a 6.7% year-on-year decline, primarily due to a reduced net interest margin and a 1.8% decrease in total loans resulting from prudent lending practices. Fee and other income also fell by 3.1% year-on-year to THB10,008 million. However, investment and trading income rose to THB3,239 million, largely driven by gains from the bank's and SCB 10X's investment portfolios.
Operating expenses for the quarter were reduced by 5.6% year-on-year to 17,530 million baht, reflecting the company's successful cost control strategies and bringing the cost-to-income ratio down to 40.2%. The company also recorded a 13.0% decrease in provisions compared to the previous year, thanks to improved asset quality, particularly in Card X Co., Ltd., and set special provisions to mitigate potential economic uncertainties. The coverage ratio remained robust at 159%.
Despite external economic volatility, SCB X maintained control over loan quality, achieving a non-performing loan (NPL) ratio of 3.31% by the end of the second quarter, down from 3.34% the previous year. The company's statutory capital stood strong at 18.8%.
Mr. Arthid Nanthawithaya, CEO of SCB X, emphasized the company's commitment to supporting debtor groups amid economic uncertainties and persistent household debt issues. The 'You Fight, We Help' Phase 1 initiative has already addressed over 50 billion baht in total debt, and plans are underway to extend further aid in Phase 2 to assist more vulnerable debtors.
The company's robust performance in Q2 2025 was driven by diverse income sources, effective cost management, and prudent asset quality oversight, keeping non-performing loans at manageable levels. Additionally, SCB X has received approval to establish a Virtual Bank, a branchless commercial banking service, which is in the preparation stage and expected to enhance access to financial services digitally, fostering long-term growth.