TFHC Posts Solid 1Q24 Results. Strong Core Business Momentum. Sustainability Performance Wins Highest International Honor.
(2024/5/3) Taishin Financial Holding Co., Ltd. (TFHC) today held its 1Q24 analyst meeting online. TFHC’s President Welch Lin, CFO Carol Lai, and Chief Investment Officer Eric Chien, alongside Taishin Bank’s President Oliver Shang, Wholesale Banking Group CEO Sharon Lin, and Taishin Life’s CEO Louis Heng jointly presented at the live webcast to address the operating results for 1Q24. Welch Lin highlighted that TFHC regained core business momentum during 1Q24 and maintained solid financial performances, resulting in a net income after tax of NT$5.011bn. The EPS was NT$0.36, the ROE was 10.53%, and the book value per common share was NT$13.93. The Company announced a final cash dividend of NT$0.6 and a stock dividend of NT$0.4 per common share, totaling NT$1.0 for 2023.
Welch Lin pointed out that, on the back of improved business activities and upticks in investment momentum, global economic fundamentals are strengthening. TFHC’s revenue from net fee income and net interest income rose by 30.8% and 10.6% YoY, respectively. Subsidiary Taishin Bank (TSIB)’s deposit increased by 10.1% YoY, while its total loan increased by 13.1% YoY, with unsecured personal loan posting a decent YoY growth of 16.26%. The credit card business saw a 19.1% YoY growth in card spending and a 20.5% YoY growth in gross fee income. With over 168,000 merchants served and over 4.63 million active cards, TSIB remains a leader of the industry. TSIB’s asset quality remained benign, with NPL at 0.10% and coverage at 1247.8%.
Subsidiary Taishin Securities (TSS) contributed 13% of the Group’s 1Q24 net income, with a net income after tax of NT$0.6bn (a 49.3% YoY growth mainly driven by brokerage fee income). Subsidiary Taishin Life (TS Life) continued to diversify its sales channels, with a 1Q24 first year premium of NT$5.1bn (up by 62.1% QoQ). At the same time, cost of liability was lowered to 3.80% in 1Q24 (vs. 3.88% in 1Q23).
Welch Lin announced that, after the conclusion of an opening ceremony attended by officials from both Japan and Taiwan, TSIB’s Fukuoka sub-branch had commenced operations on April 23. Following the 2016 establishment of a Tokyo branch, TSIB’s decision to select Fukuoka for its second point of entry in Japan represents an important stage in the Company’s expansion. As it ramps up its regional development drive, TSIB will strive to service important corporate relationships and meet real estate financing demands in the Kanto metropolitan area, Kansai, and Kyushu.
During the meeting, Welch Lin gladly shared that, in the recently published S&P Global Sustainability Yearbook 2024, Taishin was ranked in the top 1% of the banking industry and was the only member of Taiwan’s financial industry to receive such a recognition. Taipei Taishin Mars, the professional basketball team established and managed by TFHC affiliate Taishin Sports Entertainment, reached the play-offs after only one year of existence. In addition, it also made a historical event, hosting the first ever basketball games in the Taipei Dome, with a combined attendance record of over 30,000 attendees. Finally, the Taishin Youth Foundation held the Taishin Youth Volunteer Awards to celebrate the many volunteers harnessing individual strengths to push for positive changes to society. The winners this year were honorably received by Vice President Lai Ching-te in a ceremony recognizing their exemplary contributions. TFHC continues to deepen its corporate social responsibility on top of its core financial services in the spirit of “Eternal Dedication to an Everlasting Good.”