REPORT ON REVIEW OF INTERIM FINANCIAL INFORMATIONBY THE INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
TO THE BOARD OF DIRECTORSAEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED

We have reviewed the consolidated statement of financial position of AEON Thana Sinsap(Thailand) Public Company Limited and its subsidiaries (the “Group”) and the separate statementof financial position of AEON Thana Sinsap (Thailand) Public Company Limited(the “Company”) as at August 31, 2023, and the related consolidated and separate statements ofprofit or loss, profit or loss and other comprehensive income for the three-month and six-month
periods ended August 31, 2023, the related consolidated and separate statement of changes inshareholders’ equity and cash flows for the six-month ended August 31, 2023, and the condensed
notes to the financial statements. The Company’s management is responsible for the preparationand presentation of this interim financial information in accordance with Thai AccountingStandard No. 34 “Interim Financial Reporting”. Our responsibility is to express a conclusion on
this interim financial information based on our review.
Scope of Review
We conducted our review in accordance with Thai Standard on Review Engagements 2410
“Review of Interim Financial Information Performed by the Independent Auditor of the
Entity”. A review of interim financial information consists of making inquiries, primarilyof persons responsible for financial and accounting matters, and applying analytical andother review procedures. A review is substantially less in scope than an audit conducted inaccordance with Thai Standards on Auditing and consequently does not enable us to obtainassurance that we would become aware of all significant matters that might be identified in
an audit. Accordingly, we do not express an audit opinion.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe thatthe aforementioned interim financial information is not prepared, in all material respects,
in accordance with Thai Accounting Standard No. 34 “Interim Financial Reporting”.

BANGKOK

October 6, 2023

Nisakorn Songmanee
Certified Public Accountant (Thailand)
Registration No. 5035

DELOITTE TOUCHE TOHMATSU JAIYOS AUDIT CO., LTD.

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF FINANCIAL POSITION
AS AT AUGUST 31, 2023
UNIT : THOUSAND BAHT

Notes

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS“Unaudited”“Unaudited”

As at

As at

As at

As at

August 31,

February 28,

August 31,

February 28,

2023

2023

2023

2023

4.1

3,793,520

3,816,356

2,450,313

2,159,810

580,295,773

80,667,069

77,290,640

77,833,587

636,060

518,404

492,102414,708--

27,82027,990--ASSETS
CURRENT ASSETS

Cash and cash equivalents
Trade and other current receivables
Trade receivables
Other receivables
Current portion of long-term loan to a subsidiary

6

Current portion of loans from purchase of accounts receivable

7

Seller loan in Special Purpose Vehicle for securitization
Current portion of derivative assets

2,147

490

11

-

-

276,045287,62118

890,645

1,047,431

890,645

1,047,431

Other current assets
Total Current Assets

79,245

102,645

43,722

42,95585,697,390

86,152,395

81,471,287

81,814,102

3,587,069

3,144,652

1,635,439

1,496,409

74,08574,041

74,08574,041

110,842

144,216

-

-

-

-

83,45983,970NON-CURRENT ASSETS

Trade and other non-current receivables
Trade receivables

5

Other receivables
Fixed deposits at banks under obligations
Long-term loan to a subsidiary

6

Loans from purchase of accounts receivable

752,171

12,133

Investments in subsidiaries

8

-

-

-

-

1,235,909

1,235,409

Investments in equity securities designated at fair value
through profit or loss

9

5,062

5,062

5,062

5,062

10

144,000

144,000

144,000

144,000

12.1

-

-

84,074

84,074

Investment in equity security designated at fair value
through other comprehensive income
Subordinated lendings
Leasehold improvements and equipment

527,491

523,145

419,048447,217

Right-of-use assets

753,480

892,559

644,009776,685

Intangible assets other than goodwill

862,203

923,406

723,475

783,252

Derivative assets

18

430,263684,654430,263684,654

Deferred tax assets

13

2,543,252

2,340,922

2,468,457

2,268,848

Other non-current assets
Total Non-current Assets
TOTAL ASSETS

See condensed notes to the financial statements

158,889

165,501

141,736

146,184

9,248,807

9,054,291

8,089,016

8,229,805

94,946,197

95,206,686

89,560,303

90,043,907

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT AUGUST 31, 2023
UNIT : THOUSAND BAHT

Notes

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS“Unaudited”“Unaudited”

As at

As at

As at

As at

August 31,

February 28,

August 31,

February 28,

2023

2023

2023

2023

6,525,791

4,485,424

4,750,000

3,440,000

LIABILITIES AND SHAREHOLDERS’ EQUITYCURRENT LIABILITIESBank overdrafts and short-term borrowings
from financial institutions

14

Trade and other current payables
Trade payables

63,423

220,728

50,833

200,448

Other payables

1,555,161

1,629,459

1,477,246

1,532,329

Current portion of long-term liabilities
Long-term borrowings

15

12,706,135

12,836,551

12,706,135

11,273,543

Derivative liabilities

18765,259

562,743765,259

562,743

Lease liabilities

418,693444,127

365,896

389,924

Current income tax payable

580,860

643,416

531,566

608,272

Other current liabilities
Total Current Liabilities

373,199

341,614393,377

345,103

22,988,521

21,164,062

21,040,312

18,352,362

36,254,206

39,152,934

34,066,374

37,867,795-

NON-CURRENT LIABILITIESLong-term borrowings

15

Long-term borrowings under securitization project16

1,184,157

1,260,991

Long-term debentures

17

9,266,194

9,580,142

7,793,112

8,107,060

Derivative liabilities

18

1,195,114

876,160

1,195,114

876,160

366,334

473,541

310,502412,280

Lease liabilities-

Subordinated borrowings

12.2

84,074

84,074--

Provisions for employee benefit

19

478,451444,377435,929405,630

83,804

83,316

72,19871,18647,728,177

50,694,544

45,057,386

49,001,102

70,716,698

71,858,606

66,097,698

67,353,464

Other non-current liabilities
Total Non-current Liabilities
TOTAL LIABILITIESAEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT AUGUST 31, 2023
UNIT : THOUSAND BAHT

Notes

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS“Unaudited”“Unaudited”

As at

As at

As at

As at

August 31,

February 28,

August 31,

February 28,

2023

2023

2023

2023

250,000

250,000

250,000

250,000

fully paid

250,000

250,000

250,000

250,000

SHARE PREMIUM ON ORDINARY SHARES

478,000

478,000

478,000

478,000

20

13,696

9,265

12,503

9,265

8

(16)

LIABILITIES AND SHAREHOLDERS’ EQUITY (CONTINUED)SHAREHOLDERS’ EQUITY

21

SHARE CAPITAL

Authorized share capital
250,000,000 ordinary shares of Baht 1 eachIssued and paid-up share capital
250,000,000 ordinary shares of Baht 1 each,

OTHER SURPLUSES (DEFICITS)

Surplus on share-based payment transaction
Deficit arising from change in ownership interestin a subsidiary

-

-

-

25,00025,00025,000RETAINED EARNINGS

AppropriatedLegal reserve
Reserve for business expansion
Unappropriated25,0004,850,000

4,850,000

4,850,000

4,850,000

18,103,912

17,382,220

17,867,587

17,167,729(63,952)(83,454)--

OTHER COMPONENTS OF SHAREHOLDERS’ EQUITY

Exchange differences on translating
financial statements of foreign operations
Cumulative loss on cash flow hedges
TOTAL EQUITY ATTRIBUTABLE TO OWNERS OF THE PARENTNON-CONTROLLING INTERESTSTOTAL SHAREHOLDERS’ EQUITYTOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

See condensed notes to the financial statements(20,485)(89,551)(20,485)(89,551)

23,636,155

22,821,480

23,462,605

22,690,443

593,344526,600--

24,229,499

23,348,080

23,462,605

22,690,443

94,946,197

95,206,686

89,560,303

90,043,907

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF PROFIT OR LOSSFOR THE THREE-MONTH PERIOD ENDED AUGUST 31, 2023
“UNAUDITED”
UNIT : THOUSAND BAHT

Notes

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

For the three-month

For the three-month

periods ended

periods ended

August 31,

August 31,

August 31,

August 31,

2023

2022

2023

2022

1,967,930

1,878,398

1,927,439

1,842,096

2,554,225

2,629,143

2,484,297

2,610,144

247,668

253,134

64,117

61,620450,786

410,459436,313410,459

167,108-

167,108-

REVENUES

Credit card income
Loan income

22

Hire-purchase income
Other income
Bad debt recovery
Gain on sale of written-off receivables

28.6 - 28.8

Collection service income

58,33354,488--Insurance broker business income

160,346

162,044

160,346

162,044

Others69,97587,751

40,38277,607

Total Other income
Total Revenues

906,548714,742804,149

650,110

5,676,371

5,475,417

5,280,002

5,163,970

2,014,676

1,956,228

1,833,790

1,802,606

55,182

28,59945,811

15,655-(1,426)-(1,426)EXPENSES

Operating and administrative expenses
Directors and managements’ remuneration

23

Loss on impairment of assets (reversal)
Loss on sale and write-off of leasehold improvements
and equipment and intangible assets other than goodwill
Total Expenses
Finance costs

1,434

2,369

1,422

845

2,071,292

1,985,770

1,881,023

1,817,680

574,148468,521

540,170

487,222

Expected credit losses

1,948,740

1,851,200

1,901,078

1,804,239

PROFIT BEFORE INCOME TAX

1,082,191

1,169,926

957,7311,054,829

218,472

238,643

190,154

212,049

863,719

931,283

767,577

842,780

Owners of the parent

841,878

903,562

767,577

842,780

Non-controlling interests

21,841

27,721--

863,719

931,283

767,577

842,780

BAHT

3.37

3.61

3.07

3.37

SHARES

250,000,000

250,000,000

250,000,000

250,000,000

INCOME TAX EXPENSES

24

PROFIT FOR THE PERIODPROFIT ATTRIBUTABLE TO :BASIC EARNINGS PER SHAREWEIGHTED AVERAGE NUMBER OF ORDINARY SHARES

See condensed notes to the financial statements

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
FOR THE THREE-MONTH PERIOD ENDED AUGUST 31, 2023
“UNAUDITED”
UNIT : THOUSAND BAHTCONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

For the three-month

For the three-month

periods ended

periods ended

August 31,

August 31,

August 31,

August 31,

2023

2022

2023

2022

863,719

931,283

767,577

842,780- Owners of the parent

26,30024,818--- Non-controlling interests

30,064

31,786--

Gain (loss) on cash flow hedges

156,749(25,596)

156,749(25,596)

Profit for the period
Other comprehensive income (loss), net of tax
Components of other comprehensive income thatwill be reclassified to profit or loss
Exchange differences on translating financial statementsof foreign operations

Other comprehensive income (loss) for the period, net of tax
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD

213,11331,008

156,749(25,596)

1,076,832

962,291924,326

817,184

1,024,927

902,784924,326

817,184

51,90559,507--

1,076,832

962,291924,326

817,184

TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO :Owners of the parent
Non-controlling interests

See condensed notes to the financial statements

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF PROFIT OR LOSSFOR THE SIX-MONTH PERIOD ENDED AUGUST 31, 2023
“UNAUDITED”
UNIT : THOUSAND BAHT

Notes

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

For the six-month

For the six-month

periods ended

periods ended

August 31,

August 31,

August 31,

August 31,

2023

2022

2023

2022

3,919,037

3,688,139

3,837,550

3,614,961

5,088,540

5,257,558

4,996,614

5,212,791

487,800

519,865

124,942

126,723

REVENUES

Credit card income
Loan income

22

Hire-purchase income
Other income
Bad debt recovery

891,935

795,888862,353

795,888

167,108

104,979

167,108

104,979

Collection service income

113,053

110,730--

Insurance broker business income

330,004

341,396

330,004

341,396

Dividend income--

140,600

158,600

Gain on sale of written-off receivables

28.3, 28.6 - 28.8

OthersTotal Other income
Total Revenues

138,085

141,511

68,996

105,874

1,640,185

1,494,504

1,569,061

1,506,737

11,135,562

10,960,066

10,528,167

10,461,212

4,005,143

3,946,332

3,662,101

3,627,156

93,48871,83373,80444,472

4,341

-

4,341

-

EXPENSES

Operating and administrative expenses
Directors and managements’ remuneration

23

Loss on impairment of assets
Loss on sale and write-off of leasehold improvements
and equipment and intangible assets other than goodwill
Total Expenses

1,790

2,428

1,931

951

4,104,762

4,020,593

3,742,177

3,672,579

Finance costs

1,101,120

905,225

1,081,517

945,713

Expected credit losses

4,042,640

3,414,677

3,944,881

3,334,392

PROFIT BEFORE INCOME TAX

1,887,040

2,619,571

1,759,592

2,508,528

INCOME TAX EXPENSES

24

PROFIT FOR THE PERIOD

379,305

529,532

322,238

471,547

1,507,735

2,090,039

1,437,354

2,036,981

1,459,188

2,018,405

1,437,354

2,036,981

PROFIT ATTRIBUTABLE TO :Owners of the parent
Non-controlling interests

BASIC EARNINGS PER SHAREWEIGHTED AVERAGE NUMBER OF ORDINARY SHARES

See condensed notes to the financial statements

48,547

71,634--

1,507,735

2,090,039

1,437,354

2,036,981

BAHT

5.84

8.07

5.75

8.15

SHARES

250,000,000

250,000,000

250,000,000

250,000,000

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
FOR THE SIX-MONTH PERIOD ENDED AUGUST 31, 2023
“UNAUDITED”
UNIT : THOUSAND BAHTCONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

For the six-month

For the six-month

periods ended

periods ended

August 31,

August 31,

August 31,

August 31,

2023

2022

2023

2022

1,507,735

2,090,039

1,437,354

2,036,981- Owners of the parent

19,502

25,674--- Non-controlling interests

22,362

33,469--69,066

263,561

69,066

263,561

Profit for the period
Other comprehensive income, net of tax
Components of other comprehensive income thatwill be reclassified to profit or loss
Exchange differences on translating financial statementsof foreign operations

Gain on cash flow hedges
Other comprehensive income for the period, net of tax

110,930

322,704

69,066

263,561

TOTAL COMPREHENSIVE INCOME FOR THE PERIOD

1,618,665

2,412,743

1,506,420

2,300,542

1,547,756

2,307,640

1,506,420

2,300,542

70,909105,103--1,618,665

2,412,743

1,506,420

2,300,542

TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO :Owners of the parent
Non-controlling interests

See condensed notes to the financial statements

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY
FOR THE SIX-MONTH PERIOD ENDED AUGUST 31, 2023
“UNAUDITED”
UNIT : THOUSAND BAHTCONSOLIDATED FINANCIAL STATEMENTS

Notes

Owners of the parent
Issued andShare premium

Retained earnings

Surplus on

Deficitpaid-upon ordinary

share-based payment

arising from changeshare capitalsharestransactionin ownership interest

AppropriatedLegal reservein a subsidiary

Unappropriated

Total

Other components of

Total

controllingshareholders’shareholders’ equity

owners ofinterests

equityExchange differences

Cumulative loss

businesson translatingon cash flow hedges

expansion

financial statements

Reserve forNon-the parentof foreign operations

250,000

Beginning balance as at March 1, 2022

478,000--

25,0004,850,000

14,808,860(95,808)(427,341)

19,888,711

375,252

20,263,963

-

-

-

-

-

-

(662,496)--(662,496)(2,384)(664,880)

-

-

-

-

-

-

2,018,405--

2,018,405

71,6342,090,039

Changes during the period
Dividend paid

21.1

Profit for the period

-

-

-

-

-

-

25,674

263,561

289,235

33,469322,704

Ending balance as at August 31, 2022

Other comprehensive income

250,000-

478,000--

25,0004,850,000

16,164,769(70,134)(163,780)

21,533,855

477,971

22,011,826

Beginning balance as at March 1, 2023

250,000

478,000

9,265-

25,0004,850,000

17,382,220(83,454)(89,551)

22,821,480

526,600

23,348,080

-

4,431

-

-

Changes during the period
Surplus on share-based paymenttransaction

20

-

-

-

-

-

4,431

-

4,431

Decrease in change in ownershipinterest in a subsidiary
Dividend paid
Profit for the period
Other comprehensive income
Ending balance as at August 31, 2023

8

-

-

-

-

-

-

-

-

(16)

(234)

(250)

21.2

-

-

-

-

-

-

(737,496)--(737,496)(3,931)(741,427)

-

-

-

-

-

-

1,459,188--

1,459,188

48,547

1,507,735--

250,000

See condensed notes to the financial statements

478,000(16)

13,696(16)--

25,0004,850,000-

19,502

69,066

88,56822,362110,930

18,103,912(63,952)(20,485)

23,636,155

593,344

24,229,499

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY (CONTINUED)
FOR THE SIX-MONTH PERIOD ENDED AUGUST 31, 2023
“UNAUDITED”
UNIT : THOUSAND BAHT

Notes

SEPARATE FINANCIAL STATEMENTS

Issued andShare premium

paid-upon ordinary

share-based payment

share capitalsharestransaction

Retained earnings

Surplus on

AppropriatedLegal reserve

Other components of

Unappropriated shareholders’ equity

Reserve for

Cumulative loss

businesson cash flow hedges

Total
shareholders’equityexpansion
Beginning balance as at March 1, 2022

250,000

478,000-

25,000----4,850,000

14,703,739(427,341)-(662,496)-

19,879,398

Changes during the period
Dividend paid

21.1

(662,496)

Profit for the period

-

-

-

-

-

2,036,981

Other comprehensive income

-

-

-

-

-

-

2,036,981

Ending balance as at August 31, 2022

250,000

478,000-

25,0004,850,000

Beginning balance as at March 1, 2023

250,000

478,000

9,265

25,0004,850,000

3,238

-

-

-

-

3,238

-

-

(737,496)-(737,496)-

263,561

263,561

16,078,224(163,780)

21,517,444

17,167,729(89,551)

22,690,443

Changes during the period
Surplus on share-based payment transaction

20

-

-

Dividend paid

21.2

-

-

-

Profit for the period

-

-

-

-

-

1,437,354

Other comprehensive income

-

-

-

-

-

-

250,000

478,000

Ending balance as at August 31, 2023

See condensed notes to the financial statements

12,50325,0004,850,000

17,867,587

1,437,354
69,066

69,066(20,485)

23,462,605

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF CASH FLOWSFOR THE SIX-MONTH PERIOD ENDED AUGUST 31, 2023
“UNAUDITED”
UNIT : THOUSAND BAHT

Notes

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

For the six-month

For the six-month

periods ended

periods ended

August 31,

August 31,

August 31,

August 31,

2023

2022

2023

2022

1,507,735

2,090,039

1,437,354

2,036,981

CASH FLOWS FROM OPERATING ACTIVITIESProfit for the period
Adjustments for:
Income tax expenses

379,305

529,532

322,238

471,547

Expected credit losses

4,042,640

3,414,677

3,944,881

3,334,392

Loss on impairment of assets

4,341

-

4,341

-

Depreciation of leasehold improvements and equipment
and right-of-use assets
Amortization of intangible assets other than goodwill

381,679

408,490

330,621350,641

130,486

116,658

107,812

95,639Loss on sale and write-off of leasehold improvement andequipment and intangible assets other than goodwill
Employee benefit expense

19

Employee joint investment program expense

20

Gain on sale of written-off receivables

1,790

2,428

1,931

951

35,09056,562

31,18845,832

10,902(167,108)

Unrealized (gain) loss on exchange rate-

Interest income(6,904,193)(190)

Dividend income(104,979)

682(15,022)(6,363,454)(6,241,275)

(190)

(112)

-

(140,600)(158,600)

1,101,120

905,225

1,081,517

945,713373,130

514,327

600,150

761,708-

Finance costs

8,937(167,108)-(7,054,660)

Gain on cancellation of lease agreements(104,979)(112)

Changes in operating assets and liabilities
Operating assets (increase) decrease
Trade and other current receivables(4,036,243)(6,347,259)(3,611,619)(6,649,753)

Loans from purchase of accounts receivable(41,695)(11,720)--

Other current assets

23,625(24,133)(768)(1,052)Other non-current assets

6,819

2,789

4,448

3,059

(267,353)(44,955)(237,339)(24,901)

30,434(24,831)

48,274(40,572)

Operating liabilities increase (decrease)
Trade and other current payables
Other current liabilities
Other non-current liabilities
Net cash flows used in operations
Interest received

342(1,792)

1,143(1,799)(3,910,941)(5,937,574)(3,195,711)(5,953,310)

7,061,140

6,804,208

6,369,424

6,128,186

Dividend received-

140,600

158,600

Finance costs paid

(1,061,824)(897,177)(1,044,592)(941,805)

Income tax paid-

(660,395)(405,156)(615,819)(364,437)

Employee benefits paid

19

(1,016)(22,960)(889)(13,915)

Cash paid for employee joint investment program

20(6,471)-

Net cash flows provided by (used in) operating activities

1,420,493(458,659)(5,699)1,647,314(986,681)

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESSTATEMENT OF CASH FLOWS (CONTINUED)
FOR THE SIX-MONTH PERIOD ENDED AUGUST 31, 2023
“UNAUDITED”
UNIT : THOUSAND BAHT

Notes

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

For the six-month

For the six-month

periods ended

periods ended

August 31,

August 31,

August 31,

August 31,

2023

2022

2023

2022

-

-

(68,947)(84,301)

CASH FLOWS FROM INVESTING ACTIVITIESCash received from fixed deposits at banks under obligations

36,1713,000

4.2(121,181)(92,319)

985

978

820

654

4.2

(97,316)(240,851)(79,838)(220,037)(500)(24,500)

Cash paid for purchase of leasehold improvements
and equipment
Cash received from sale of leasehold improvements and equipment
Cash paid for purchase of intangible assets other than goodwill
Cash paid for investment in subsidiary-

Cash paid for purchase of shares from non-controlling interest(250)

Net cash flows used in investing activities

-

-

-

(181,591)(329,192)(148,465)(328,184)

4.4

53,877,923

45,940,020

51,150,000

44,612,203

CASH FLOWS FROM FINANCING ACTIVITIESCash received from bank overdrafts and short-termborrowings from financial institutions
Cash repayments for bank overdrafts and
4.4(51,874,333)(49,790,879)(49,840,000)(48,263,443)

Cash received from long-term borrowings

short-term borrowings from financial institutions

4.4

3,008,403

10,948,421

2,153,500

9,329,662

Cash repayments for long-term borrowings

4.4(5,347,182)(5,558,505)(3,781,000)(3,771,125)

4.4

-

-

273,501

286,485-

Cash received from long-term borrowings under
securitization project
Cash repayments for long-term borrowings under
securitization project

4.4

Cash paid for lease liabilities

4.4

Cash received from sales of written-off receivables
Dividend paid
Net cash flows provided by (used in) financing activities(273,501)(286,485)(275,668)-(273,747)(242,488)(239,720)

89,138104,979

89,138104,979(740,712)(665,588)(737,496)(662,496)(1,262,431)

704,701(1,208,346)

1,110,060(23,529)(83,150)

290,503(204,805)

Net increase (decrease) in cash and cash equivalents
before effect of exchange rate
Effect of exchange rate changes on cash and cash equivalents

693

23,783-

Net increase (decrease) in cash and cash equivalents(22,836)(59,367)

290,503(204,805)

Cash and cash equivalents at beginning of the period

3,816,356

4,235,603

2,159,810

2,639,136

3,793,520

4,176,236

2,450,313

2,434,331

Cash and cash equivalents at ending of the period

See condensed notes to the financial statements

4.1-

AEON THANA SINSAP (THAILAND) PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESCONDENSED NOTES TO THE FINANCIAL STATEMENTS
FOR THE THREE-MONTH AND SIX-MONTH PERIODS ENDED AUGUST 31, 2023
“UNAUDITED”

1.

GENERAL INFORMATION AND OPERATIONS OF THE COMPANY AND ITS SUBSIDIARIES(THE “GROUP”)

The Company was registered as a limited company under the Civil and Commercial Codeon September 18, 1992 and registered to be Public Limited Company with the Ministryof Commerce on August 7, 2001. The Company was listed on The Stock Exchange ofThailand on December 11, 2001. The Company’s head office is located at 388, 27th Floor,
Exchange Tower, Sukhumvit Road, Klongtoey, Bangkok. The Company’s main objective
is to do the retail finance services which consist of credit card, hire-purchase, personalloans and others. Subsequently, on October 6, 2020, the Company has registered anotherobjective which is to conduct life and non-life insurance broker business.
AEON Financial Service Co., Ltd., incorporated in Japan, and ACS Capital Corporation
Limited, incorporated in Thailand, are major shareholders with 35.12% and 19.20%
shareholdings, respectively. AEON Co., Ltd., incorporated in Japan, is the ultimate parent
company.
The Company has subsidiaries which are under its control in finance and operations asmentioned in Note 2.5 and Note 8.
Coronavirus Disease 2019 Pandemic
A novel coronavirus (“COVID-19”) pandemic started in early 2020 in Thailand andcountries the Group operate. It clearly affects overall Thailand and global economy,
including employees, customers, business partners and business operations of the Groupand the Company.
In order to mitigate the impacts, the Company provides supports to customers as the relief
measurement for loan to affected customer from the impact of COVID-19, following to
the Bank of Thailand’s the relief measurement to help debtors from the Thai economic
situation, by reducing minimum payment rates for credit card and personal loan.
Accounting Treatment Guidance on “Guidelines for supporting debtors affected by COVID-19”
The objective of this accounting treatment guidance is to grant the temporary relief
measures for entities helping their debtors affected from COVID-19 with the supporting
period during January 1, 2022 to December 31, 2023 or until there are any changes fromthe Bank of Thailand, which requires the compliance for such changes. The entities who
support their debtors and elect to apply the temporary relief measures according to thisaccounting treatment guidance should disclose information as specified in this accounting
treatment guidance.

-2For the three-month and six-month periods ended August 31, 2023, the Group and theCompany have adhered to such Accounting Treatment Guidance regarding staging ofreceivables. For receivables that are credit impaired but still have the potential for
repayment, the Group and the Company will classify the receivables as low credit risk
(Stage 1) if the debtor has been repaying for 3 consecutive months or 3 payment periods,
whichever is longer.
In the case where debt restructuring results in the original effective interest rate notreflecting the projected cash flows from such debts, the Group and the Company will
adhere to such Accounting Treatment Guidance by using the new effective interest rate tocalculate the present value of the restructured debts under the guidelines in the relief
measurement to help debtors following the Bank of Thailand’s circular letter.
OthersAEON Microfinance (Myanmar) Co., Ltd. (the “subsidiary”) has temporarily suspended
new loans to customers due to the impact of the political turmoil in Myanmar since
February 1, 2021. However, the subsidiary has resumed providing new loans to existingcustomers starting from January 22, 2022, and to new customers starting from January 12,2023. The subsidiary has continuously reduced operation costs and continued pursuingdebt collection.
Nevertheless, the Group’s and Company’s management will continue to monitor theongoing development and regularly assess the financial impact in respect of valuation ofassets, provisions and contingent liabilities.
2.

BASIS FOR PREPARATION AND PRESENTATION OF THE INTERIM CONSOLIDATEDAND SEPARATE FINANCIAL STATEMENTS

2.1

These interim consolidated and separate financial statements are prepared in Thai
Baht and in compliance with Thai Accounting Standard No. 34 “Interim Financial
Reporting” and accounting practices generally accepted in Thailand. The Company
presents the condensed notes to interim financial statements and the additional
information is disclosed in accordance with the regulations of the Office of
the Securities and Exchange Commission (the “SEC”).
All financial information presented has been rounded to the nearest thousand Baht
unless otherwise stated.

2.2

The interim consolidated and separate financial statements for the three-month andsix-month periods ended August 31, 2023 and 2022 are prepared by the
management of the Company and are unaudited. However, in the opinion of theCompany, all adjustments necessary for a fair presentation have been reflected
therein.
The consolidated and separate statements of financial position as at February 28,
2023, presented herein for comparison, have been derived from the consolidated
and separate financial statements of the Company for the year then ended which
had been previously audited.

-32.3The unaudited results of operations presented in the three-month and six-month
periods ended August 31, 2023 are not necessarily an indication nor anticipation of
the operating results for the full year.

2.4

Certain financial information which is normally included in the annual financial
statements prepared in accordance with TFRSs, but which is not required for interim
reporting purposes, has been omitted. Therefore, the interim financial statements
for the three-month and six-month periods ended August 31, 2023 should be read in
conjunction with the audited financial statements for the year ended February 28,
2023.

2.5

Material intercompany transactions between the Company and its subsidiaries
have been eliminated from this interim consolidated financial statements.
The interim consolidated financial statements for the three-month and six-month
periods ended August 31, 2023 have included the subsidiaries’ interim financial
statements which were reviewed.
For the three-month and six-month periods ended August 31, 2023 and 2022,
the subsidiaries included in the consolidated financial statements are as follows:Business typeCountry ofRegistration dateregistration

Percentage of direct andindirect holdings (%)
for the three-month andsix-month periods ended
August 31,

ACS Servicing (Thailand)

2023

2022

Collection servicer

ThailandMarch 13, 2007

100.00100.00Non-life insurance broker

ThailandJuly 1, 2013100.00100.00Retail finance business

Cambodia

October 5, 2011

50.00

50.00

Retail finance business

MyanmarNovember 2, 2012

100.00100.00Retail finance business

Laos

January 11, 2013100.00100.00ATS Rabbit Special Purpose

Special purpose juristic

ThailandMarch 20, 2015

48.75

48.75

Vehicle Company Limited(3)person in securitization projects
ThailandAugust 2, 2022

100.0099.00

Company Limited
ACSI (Thailand) Co., Ltd.

and life insurance broker
AEON Specialized Bank
(Cambodia) Plc.(4)AEON Microfinance (Myanmar)
Company Limited
AEON Leasing Service (Lao)Company Limited(1)AEON Asset Management

Non-performing assets(Thailand) Co., Ltd.(2)management(1)

The Company indirectly holds shares of AEON Leasing Service (Lao) Company Limited through ACS Servicing (Thailand) Company
Limited with 3.71% shareholdings.

(2)

The Company indirectly holds shares of AEON Asset Management (Thailand) Co., Ltd. through ACS Servicing (Thailand) Company
Limited with 0.01% shareholdings.

(3)

The Company has the power to control over ATS Rabbit Special Purpose Vehicle Company Limited because the Company has power
to appoint the board of directors and rights to provide certain service which is significantly impacted by the performance of underlying
assets and has rights to get variable return from such company under securitization project.

(4)

The Company has the power to control over AEON Specialized Bank (Cambodia) Plc. in accordance with the requirement of TFRS
No. 10 “Consolidated Financial Statements”.

The significant accounting policies used for the financial statements of the subsidiaries
are adjusted to be the same as those of the Company.

-42.6

The financial statements of the subsidiaries used in the preparation of consolidated
financial statements are as of a date or for a period that is different from that of theconsolidated financial statements. However, the Company consolidated thefinancial information of the subsidiaries using the most recent financial statementsof the subsidiaries adjusted for the effects of significant transactions or events that
occur between the date of those financial statements and the date of theconsolidated financial statements. The dates of the end of the reporting period of
the financial statements of the aforementioned subsidiaries are as follows:

Subsidiaries
ACS Servicing (Thailand) Company Limited
ACSI (Thailand) Co., Ltd.
AEON Specialized Bank (Cambodia) Plc.
AEON Microfinance (Myanmar) Company Limited
AEON Leasing Service (Lao) Company Limited
AEON Asset Management (Thailand) Co., Ltd.

2.7

The date of the end of the reporting period
in preparation of
the consolidated financial statements
for the three-month and six-month periods ended
August 31,
2023
2022
June 30, 2023
June 30, 2023
June 30, 2023
June 30, 2023
June 30, 2023
June 30, 2023

June 30, 2022
June 30, 2022
June 30, 2022
June 30, 2022
June 30, 2022-

Thai Financial Reporting Standards affecting the presentation and disclosure in
the current period financial statements
During the period, the Group and the Company have adopted the revised financial
reporting standards issued by the Federation of Accounting Professions which are
effective for fiscal years beginning on or after January 1, 2023. These financial reporting
standards were aimed at alignment with the corresponding Thai Financial ReportingStandards, with most of the changes directed towards revision of wording andterminology and clarification of accounting requirements. The adoption of thesefinancial reporting standards does not have significant impact on the Group’s and theCompany’s interim financial statements.

2.8

Thai Financial Reporting Standards announced in the Royal Gazette but not yet
effective
On August 19, 2022, Thai Financial Reporting Standard No.17 “Insurance
Contracts” has been announced in the Royal Gazette and will be effective for thefinancial statements for the period beginning on or after January 1, 2025 onwards.
On August 8, 2023, the Federation of Accounting Professions has issued theNotification regarding the amendments to Thai Accounting Standards (TASs) andThai Financial Reporting Standards (TFRSs) which have been announced in the Royal
Gazette and will be effective for the financial statements for the period beginning on
or after January 1, 2024 onwards. The revised TASs and TFRSs which are related to
the Group and the Company are as follows:-5Thai Accounting Standard No. 8 “Accounting Policy, Changes in Accounting
Estimates and Errors”
The amendments involve revision to accounting estimates definition and supplementary
amendments to distinguish the “Changes in Accounting Estimates” from “Changes in
Accounting Policies”.
Thai Accounting Standard No. 1 “Presentation of Financial Statements”, Thai
Accounting Standard No. 26 “Accounting and Reporting by Retirement Benefit
Plans”, Thai Accounting Standard No. 34 “Interim Financial Reporting”, and Thai
Accounting Standard No. 7 “Financial Instruments: Disclosures”
The enhancements substitute the requirements for entity from “Disclosure of Significant
Accounting Policies Used by the Entity” to “Disclosure of Material Accounting Policy
Information Used by the Entity”.
Thai Accounting Standard No. 12 “Income Taxes”
The amendments narrow the scope of the recognition exception by setting additional
conditions on the recognizing the deferred tax upon initial recognition that give rise toequal the taxable temporary differences and deductible temporary differences.
The Group’s and the Company’s management will adopt such TFRSs in the
preparation of the Group’s and the Company’s financial statements when they
become effective. The Group’s and the Company’s management is in the process
to assess the impact of these TFRSs on the financial statements of the Group andthe Company in the period of initial application.
3.

SIGNIFICANT ACCOUNTING POLICIESThe interim financial statements have been prepared based on the basis, accounting
policies and method of computation consistent with those used in the financial statements
for the year ended February 28, 2023.
4.

SUPPLEMENTARY DISCLOSURES OF CASH FLOW INFORMATION

4.1

Cash and cash equivalents as at August 31, 2023 and February 28, 2023 are as
follows:
CONSOLIDATEDFINANCIAL STATEMENTS“Unaudited”

Cash
Deposits at banks - call deposits
Total cash and cash equivalents

SEPARATE
FINANCIAL STATEMENTS“Unaudited”

As at

As at

As at

As at

August 31,

February 28,

August 31,

February 28,

2023

2023

2023

2023

Baht ’000

Baht ’000

Baht ’000

Baht ’000

432,865
3,360,655
3,793,520

452,796
3,363,560
3,816,356

390,147
2,060,166
2,450,313

422,844
1,736,966
2,159,810

-64.2

Cash paid for purchase of leasehold improvements and equipment, and intangible
assets other than goodwill for the six-month periods ended August 31, 2023 and2022 are as follows:
CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

2023
Baht ’000

2022
Baht ’000

2023
Baht ’000

8,655
124,361

34,47082,4098,458
72,32434,21874,643133,016

116,879

80,782

108,861(121,181)(92,319)(68,947)(84,301)

Liabilities recorded - carried forward

11,83524,56011,83524,560Intangible assets other than goodwill
Liabilities recorded - brought forward
Purchase of intangible assets other than goodwill

46,661
70,948146,101
139,047

46,41052,286

145,885
118,167

Leasehold improvements and equipment
Liabilities recorded - brought forward
Purchase of leasehold improvements and equipment
Less Cash paid for purchase ofleasehold improvements and equipment

4.3

2022
Baht ’000

117,609285,148

98,696

264,052

Less Cash paid for purchase ofintangible assets other than goodwill(97,316)(240,851)(79,838)(220,037)

Liabilities recorded - carried forward

20,29344,297

18,85844,015The Company had non-cash items relating to sale of the rights on loans receivableto ATS Rabbit Special Purpose Vehicle Company Limited, a subsidiary, which
the Company had sold loans receivable to. During the six-month periods ended
August 31, 2023 and 2022, such sale was settled by decreasing the Seller loan
Account of Baht 11.58 million and increasing the Seller loan Account of Baht 22.78
million, respectively, instead of cash receipt.

4.4 Changes in liabilities arising from financing activities for the six-month periods ended
August 31, 2023 and 2022 are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

Beginningbalance
as atMarch 1,
2023
Baht ’000

Financing cash flows
Cash
Cash
received
paid

Baht ’000

Baht ’000

Non-cash changes
Differences
Otherson translating
foreigncurrencies
Baht ’000
Baht ’000

Bank overdrafts and short-termborrowings from financial
institutions
Long-term borrowings

4,485,424

53,877,923(51,874,333)

36,77751,989,485

3,008,403(5,347,182)(694,569)

Long-term debentures

9,580,142--

917,668-(275,668)

Lease liabilities*The amount comprises addition of lease agreements and extensions of existing lease agreements.

-“Unaudited”
Endingbalanceas atAugust 31,
2023
Baht ’000

6,525,791
4,204

48,960,341(317,305)

3,357

9,266,194

1,447

141,580*785,027

-7-

CONSOLIDATED FINANCIAL STATEMENTS

Bank overdrafts and short-termborrowings from financial
institutions
Long-term borrowings
Long-term debentures
Lease liabilities

Beginningbalance
as atMarch 1,
2022
Baht ’000

Financing cash flows
Cash
Cash
received
paid

Baht ’000

Baht ’000

9,171,904
47,986,662
8,259,554
624,978

45,940,020
10,948,421-(49,790,879)(5,558,505)(273,747)

Non-cash changes
Differences
Otherson translating
foreigncurrencies
Baht ’000
Baht ’000(36,714)2,055,346(139,923)
2,969(31,623)
3,158
521,073*“Unaudited”
Endingbalanceas atAugust 31,
2022
Baht ’000

5,284,331
55,400,301
8,122,789
875,273*The amount comprises addition of lease agreements and extensions of existing lease agreements.
SEPARATE FINANCIAL STATEMENTS

Bank overdrafts and short-termborrowings from financial
institutions
Long-term borrowings
Long-term borrowings under
securitization projectLong-term debentures
Lease liabilities

Financing cash flows
Cash
Cash
received
paid

Non-cash changes
Differences
Otherson translating
foreigncurrencies
Baht ’000
Baht ’000“Unaudited”
Endingbalanceas atAugust 31,
2023
Baht ’000

Beginningbalance
as atMarch 1,
2023
Baht ’000

Baht ’000

Baht ’000

3,440,000
49,141,338

51,150,000
2,153,500(49,840,000)(3,781,000)(745,533)

4,204

4,750,000
46,772,509

1,260,991
8,107,060
802,204

273,501-(273,501)(242,488)(317,305)-(76,834)
3,357
116,682*

1,184,157
7,793,112
676,398*The amount comprises addition of lease agreements and extensions of existing lease agreements.
SEPARATE FINANCIAL STATEMENTS

Bank overdrafts and short-termborrowings from financial
institutions
Long-term borrowings
Long-term borrowings under
securitization projectLong-term debentures
Lease liabilities

Financing cash flows
Cash
Cash
received
paid

Non-cash changes
Differences
Otherson translating
foreigncurrencies
Baht ’000
Baht ’000“Unaudited”
Endingbalanceas atAugust 31,
2022
Baht ’000

Beginningbalance
as atMarch 1,
2022
Baht ’000

Baht ’000

Baht ’000

7,941,240
44,896,115

44,612,203
9,329,662(48,263,443)(3,771,125)

1,891,922(31,623)

4,290,000
52,314,951

1,401,709
6,786,472
552,425

286,485-(286,485)(239,720)(139,923)-(53,413)3,158
452,285*

1,348,296
6,649,707
764,990*The amount comprises addition of lease agreements and extensions of existing lease agreements.

-85.

TRADE RECEIVABLES

5.1 Trade receivables as at August 31, 2023 and February 28, 2023 consist of the following:
CONSOLIDATEDFINANCIAL STATEMENTS

Trade receivables
Trade receivables under securitization project- ATS Rabbit Special Purpose Vehicle
Company Limited
Total
Less Allowance for expected credit losses
Total trade receivables

SEPARATE
FINANCIAL STATEMENTS“Unaudited”
As at
August 31,
2023
Baht ’000

As at
February 28,
2023
Baht ’000“Unaudited”
As at
August 31,
2023
Baht ’000

As at
February 28,
2023
Baht ’000

92,784,778

92,675,988

87,304,300

87,599,547

1,184,157
93,968,935(10,086,093)
83,882,842

1,260,991
93,936,979(10,125,258)
83,811,721

1,184,157
88,488,457(9,562,378)
78,926,079

1,260,991
88,860,538(9,530,542)
79,329,996

As the securitization transaction under the Receivables Sale and Purchase Agreement fortransferred rights on loans receivable with ATS Rabbit Special Purpose Vehicle Company
Limited does not qualify for derecognition of financial assets according to TFRS 9, theCompany continues to recognize the full carrying amount of these receivables and uses them as
collateral for long-term borrowings under the securitization project (see Note 5.5).
As at August 31, 2023 and February 28, 2023, trade receivables are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

Hire-purchase receivable
Hire-purchase and accrued
interest receivable
Less Unearned financing income
Less Allowance for expectedcredit losses
Hire-purchase and accrued
interest receivable - net
Loans receivable
Loans and accrued interest
receivable
Less Allowance for expectedcredit losses
Loans and accrued interest
receivable - net
Credit card receivable
Credit card and accrued
interest receivable
Less Allowance for expectedcredit loss
Credit card and accrued
interest receivable - net
Receivable from rendering
the collection service
Receivable from rendering
the collection service
Less Allowance for expectedcredit losses
Receivable from rendering
the collection service - net
Receivable from insurance
broker businessTotal trade receivables“Unaudited”
As at August 31, 2023
Due within
Due after
Total
1 year
1 yearBaht ’000
Baht ’000
Baht ’000

As at February 28, 2023
Due within
Due after
Total
1 year
1 yearBaht ’000
Baht ’000
Baht ’000

2,609,104(272,648)
2,336,456

4,105,764(433,297)
3,672,467

6,714,868(705,945)
6,008,923

2,483,958(251,126)
2,232,832

3,625,375(347,096)
3,278,279

6,109,333(598,222)
5,511,111(189,211)(363,566)(552,777)(185,051)(314,840)(499,891)

2,147,245

3,308,901

5,456,146

2,047,781

2,963,439

5,011,220

43,687,273

311,528

43,998,801

44,669,914

208,350

44,878,264(5,858,459)(33,360)(5,891,819)(5,973,197)(27,137)(6,000,334)

37,828,814

278,168

38,106,982

38,696,717

181,21338,877,930

43,878,622-

43,878,622

43,474,347-

43,474,347(3,641,226)-(3,641,226)(3,624,750)-(3,624,750)

40,237,396-

40,237,396

39,849,597-

39,849,597

16,973-

16,973

4,634

-

4,634

(271)

-

(271)

(283)

-

(283)

16,702-

16,702

4,351

-

4,351

65,616
83,882,842

68,62380,667,069

65,61680,295,773

3,587,069

3,144,652

68,62383,811,721

-9-

SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Due within
Due after
Total
1 year
1 yearBaht ’000
Baht ’000
Baht ’000
Hire-purchase receivable
Hire-purchase and accrued
interest receivable
Less Unearned financing income

As at February 28, 2023
Due within
Due after
Total
1 year
1 yearBaht ’000
Baht ’000
Baht ’000

955,102(272,647)

2,322,761(433,297)

3,277,863(705,944)

904,756(251,126)

2,033,501(347,096)

2,938,257(598,222)

682,455

1,889,464

2,571,919

653,630

1,686,405

2,340,035

Less Allowance for expectedcredit losses(91,751)(254,025)(345,776)(73,640)(189,996)(263,636)

Hire-purchase and accrued
interest receivable - net

590,704

1,635,439

2,226,143

579,990

1,496,409

2,076,399

42,888,666-

42,888,666

43,882,307-

43,882,307(5,618,410)-(5,618,410)(5,697,631)-(5,697,631)

37,270,256-

37,270,256

38,184,676-

38,184,676

42,962,256-

42,962,256

42,569,573-

42,569,573(3,598,192)-(3,598,192)(3,569,275)-(3,569,275)

39,364,064-

39,364,064

39,000,298-

39,000,298

Loans receivable
Loans and accrued interest
receivable
Less Allowance for expectedcredit losses
Loans and accrued interest
receivable - net
Credit card receivable
Credit card and accrued
interest receivable
Less Allowance for expectedcredit losses
Credit card and accrued
interest receivable - net
Receivable from insurance
broker businessTotal trade receivables

65,616
77,290,640

1,635,439

65,616

68,62378,926,079

77,833,587

1,496,409

68,62379,329,996

- 10 5.2 Quality of assets
Staging analysis for trade receivables as at August 31, 2023 and February 28, 2023
are as follows:
CONSOLIDATED FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023

As at February 28, 2023

Trade

Allowance for

Total trade

Trade

Allowance for

Total tradereceivables

expected

receivables

receivables

expected

receivables

credit losses

credit losses

Baht ’000

Baht ’000

Baht ’000

Baht ’000

Baht ’000

Baht ’000

84,321,769(4,041,161)

80,280,608

85,031,652(4,397,716)

80,633,936

3,836,774(1,683,692)

2,153,082

3,564,992(1,658,080)

1,906,912

Low credit risk receivables(Stage 1)
Significant increase in credit
risk receivables (Stage 2)
Default receivables in credit risk
(Stage 3)
Total

5,810,392(4,361,240)

1,449,152

5,340,335(4,069,462)

1,270,873

93,968,935(10,086,093)

83,882,842

93,936,979(10,125,258)

83,811,721

SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023

As at February 28, 2023

Trade

Allowance for

Total trade

Trade

Allowance for

Total tradereceivables

expected

receivables

receivables

expected

receivables

credit losses

credit losses

Baht ’000

Baht ’000

Baht ’000

Baht ’000

Baht ’000

Baht ’000

79,455,082(3,925,130)

75,529,952

80,649,277(4,291,875)

76,357,402

3,655,558(1,632,954)

2,022,604

3,379,367(1,590,702)

1,788,665

5,377,817(4,004,294)

1,373,523

4,831,894(3,647,965)

1,183,929

88,488,457(9,562,378)

78,926,079

88,860,538(9,530,542)

79,329,996

Low credit risk receivables(Stage 1)
Significant increase in credit
risk receivables (Stage 2)
Default receivables in credit risk
(Stage 3)
Total

Trade receivables as at August 31, 2023 and February 28, 2023 classified by aging
are as follows:
CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS“Unaudited”“Unaudited”

As at

As at

As at

As at

August 31,

February 28,

August 31,

February 28,

2023

2023

2023

2023

Baht ’000

Baht ’000

Baht ’000

Baht ’000

Less than 3 months

88,423,045

88,798,527

83,375,141

3 months up

5,545,890

5,138,452

5,113,316

84,230,528
4,630,010

Total

93,968,935

93,936,979

88,488,457

88,860,538

Less Allowance for expected credit losses(10,086,093)(10,125,258)(9,562,378)(9,530,542)

Total trade receivables

83,882,842

83,811,721

78,926,079

79,329,996

- 11 5.3

Troubled debt restructuring
For the three-month periods ended August 31, 2023 and 2022, the Company
recognized interest income on restructured debts totaling Baht 16.82 million and
Baht 17.46 million, respectively.
For the six-month periods ended August 31, 2023 and 2022, the Company
recognized interest income on restructured debts totaling Baht 33.58 million and
Baht 38.00 million, respectively.
The Company had outstanding balances of credit card receivable, hire-purchasereceivable and loans receivable as at August 31, 2023 and February 28, 2023, as
follows:
CONSOLIDATED FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Number ofAmountdebtors
Baht ’000
Restructured trade receivables
Non-restructured trade receivables
Total

As at February 28, 2023
Number ofAmountdebtors
Baht ’000

13,8093,591,782

624,728
93,261,618

14,696
3,631,664

557,681
93,306,041

3,605,591

93,886,346

3,646,360

93,863,722

SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Number ofAmountdebtors
Baht ’000
Restructured trade receivables
Non-restructured trade receivables
Total

As at February 28, 2023
Number ofAmountdebtors
Baht ’000

13,733
2,497,510

623,842
87,798,999

14,6292,549,101

556,753
88,235,162

2,511,243

88,422,841

2,563,730

88,791,915

As at August 31, 2023 and February 28, 2023, the Company had no commitment toprovide additional loans to its restructured debtors after debt restructuring.
5.4

Allowance for expected credit losses
Allowance for expected credit losses as at August 31, 2023 and February 28, 2023
are as follows:
CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS“Unaudited”
As at
August 31,
2023
Baht ’000

As at
February 28,
2023
Baht ’000“Unaudited”
As at
August 31,
2023
Baht ’000

As at
February 28,
2023
Baht ’000

Beginning balance
Expected credit losses
Written-off bad debts

10,125,258
4,311,377(4,350,542)

10,951,455
7,756,734(8,582,931)

9,530,542
4,278,876(4,247,040)

9,972,970
7,730,532(8,172,960)

Ending balance

10,086,093

10,125,258

9,562,378

9,530,542

- 12 5.5

Transfers of financial assets
The Company entered into the Receivables Sale and Purchase Agreement with
Special Purposes Vehicle Company, which was incorporated under the Civil andCommercial Code of Thailand to be special purpose vehicle (SPV) under the Royal
Enactment on Special Purpose Juristic Persons for Securitization B.E. 2540 (1997).
Under the securitization plan which was approved by the SEC, the Company sold anamount of revolving receivables and the SPV also appointed the Company to act as
the servicer responsible for collecting payments from its obligor under
the Receivables Sale and Purchase Agreement and Servicing Agreement.
Details of aforementioned sales of receivables are summarized as follows:
ATS Rabbit*
Approved date of the securitization project by the SEC

October 2, 2015

Initial selling date

October 29, 2015

Type of transferred receivables

Loans receivable

Revolving period

October 2015 - October 2025 (approximately)

Initial sale of receivables
Net book value of initial receivables

Baht

456,076,200

Proceeds from transfer of the rights in receivables

Baht

433,272,390

Subordinated lendings

Baht

Minimum seller loans - pari passu with debentures

Baht

50,081,313
None

Number of contracts
Average principal amount outstanding

49,225
Baht

Interest rate

9,265
25% p.a.

* ATS Rabbit Special Purpose Vehicle Company Limited (Subsidiary)

The Company does not recognize other assets obtained in the transfer of financial
assets including retained interests in the financial statements because it is notpractical to estimate their reliable fair values.
On October 22, 2015, the Company entered into the Receivables Sale andPurchase Agreement with ATS Rabbit Special Purpose Vehicle Company Limited
which was registered as a special purpose vehicle company under the Civil andCommercial Code of Thailand for the purpose of implementing or facilitating
the securitization in accordance with the securitization project approved by the Officeof the SEC on October 2, 2015 for transferred rights, title, interest and benefits in
respect of the Initial Receivables, the Future Receivables and the Additional
Receivables on the term of the Agreement.

- 13 During the life of the securitization project, the Company may repurchase therights on the Purchased Receivables with ATS Rabbit in the following circumstances:
1. When the Company has breached its representations and warrantees with respect
to the Purchased Receivables which are ineligible. The Company is obliged torepurchase such ineligible receivables on the next Monthly Purchase Date.
2. The Company, as the collection agent, may exercise the Clean-up Call Option
for repurchase of remaining Purchased Receivables whenever the continued
servicing of the Purchase Receivables is deemed to be burdensome.
3. The Company may exercise the Tax Redemption Option for repurchase ofremaining Purchased Receivables, where there is incurred taxes other thancorporate income tax and special business tax.
For the three-month and six-month periods ended August 31, 2023 and 2022,
transactions relating to the transfers of financial assets under the securitization project
are summarized as follows:
For the three-month
periods ended August 31,
2023
2022
MillionMillion
Baht
Baht
Transfers of future and additional receivables (at book value)- Loans receivable (ATS Rabbit)

Cash collection on behalf of a Special Purpose Vehicle- Loans receivable (ATS Rabbit)

Servicing income on cash collection from a Special Purpose Vehicle- Loans receivable (ATS Rabbit)

6.

For the six-month
periods ended August 31,
2023
2022
MillionMillion
Baht
Baht

130

149

262

309

130

149

262

309

218

240

437

468

218

240

437

468

16

19

33

38

16

19

33

38

LONG-TERM LOAN TO A SUBSIDIARY

As at August 31, 2023 and February 28, 2023, the Company has long-term loan to a
subsidiary (see Note 25.2.1) in the separate financial statements as follows:

Due within
the yearInterest rate
p.a. (%)

Foreign currency
MillionLoans in USD currency
2022 - 2026
8.50
Less Long-term loan to a subsidiary due within 1 year
Total long-term loan to a subsidiary

Such long-term loan to a subsidiary is unsecured.

3.20

SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31,
As at February 28,
2023
2023
Baht equivalent
Baht equivalent
Baht ’000
Baht ’000
111,279(27,820)
83,459111,960(27,990)
83,970- 14 7.

LOANS FROM PURCHASE OF ACCOUNTS R ECEIVABLE

As at August 31, 2023 and February 28, 2023, loans from purchase of accounts receivable
are as follows:
CONSOLIDATED FINANCIAL STATEMENTS“Unaudited”
As at August 31,
2023
Baht ’000

As at February 28,
2023
Baht ’000

52,261
2,057
54,318

11,293
1,330
12,623(2,147)(490)

52,171

12,133Hire-purchase receivables
Add Accrued interest receivables
Less Current portion of loans receivable frompurchase of accounts receivable
Loans receivable from purchase ofaccounts receivable - net of current portion

On May 24, 2022, ACS Servicing (Thailand) Company Limited (the “Subsidiary”) bought
written-off receivables under hire-purchase agreements by a bidding process from an unrelated
local company (the “Seller”) with the selling price of Baht 11.41 million. On the same date,the Subsidiary entered into the Asset Sale and Purchase Agreement with the seller and alreadypaid the payment in full to the seller. The agreement set out the conditions and terms in respectof the sales, assignment and conveyance of the subsidiary’s rights, title, claim, obligation,
liability and interest in the written-off receivables under hire-purchase agreements.
On January 6, 2023 and March 31, 2023, ACS Servicing (Thailand) Company Limited(the “Subsidiary”) bought written-off receivables under hire-purchase agreements by abidding process from unrelated local companies (the “Sellers”) with the selling price of Baht
27.12 million and Baht 11.79 million, respectively. On the same date, the Subsidiary enteredinto the Asset Sale and Purchase Agreement with the sellers and already paid the payment infull to the sellers. The agreement set out the conditions and terms in respect of the sales,
assignment and conveyance of the subsidiary’s rights, title, claim, obligation, liability andinterest in the written-off receivables under hire-purchase agreements.
8.

INVESTMENTS IN SUBSIDIARIESAs at August 31, 2023 and February 28, 2023, investments in subsidiaries (see Note 25.1)
which are accounted for using the cost method in the separate financial statements are
as follows:
SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Ownership
Cost%
Baht ’000
ACS Servicing (Thailand) Company Limited
ACSI (Thailand) Co., Ltd.
AEON Specialized Bank (Cambodia) Plc.
AEON Microfinance (Myanmar) Company Limited
AEON Leasing Service (Lao) Company Limited
ATS Rabbit Special Purpose Vehicle Company Limited
AEON Asset Management (Thailand) Company Limited
Total

100.00100.0050.00
100.00
96.29
48.75
99.99

175,349.1
149,224.3
323,580.0
455,403.3
107,333.1
19.5
24,999.9
1,235,909.2

As at February 28, 2023
Ownership
Cost%
Baht ’000
100.00100.0050.00
100.00
96.29
48.75
98.00

175,349.1
149,224.3
323,580.0
455,403.3
107,333.1
19.5
24,499.7
1,235,409.0

- 15 On April 11, 2022, the Board of Directors’ Meeting of ACSI (Thailand) Co., Ltd.
(the “Subsidiary”) had a special resolution to approve the Subsidiary’s dissolution.
Subsequently, on April 28, 2022, the Annual General Meeting of Shareholders of the Subsidiary
had the resolutions to approve the Subsidiary’s dissolution. The Subsidiary has registered
the dissolution with the Department of Business Development, Ministry of Commerce onJune 30, 2022. As at August 31, 2023, the Subsidiary is in process of liquidation.
On August 2, 2022, the Company has established a new subsidiary under the name “AEON
Asset Management (Thailand) Company Limited” (“AEON AMC”), whereas the Company
holds 98% of the shares. The initial registered capital is Baht 25 million, which were fully paid.
The objective of the Subsidiary is to purchase and manage non-performing assets.
Subsequently, on August 25, 2023, the Company purchased 2,499 shares of AEON AMC,
a subsidiary, from ACS Servicing (Thailand) Company Limited, a subsidiary, at the amount of
Baht 100 per share totaling Baht 0.25 million. On the same date, the Company also purchased
2,503 shares of AEON AMC from non-controlling interests at the amount of Baht 100 per sharetotaling Baht 0.25 million. As at August 31, 2023, the Company directly holds 99.99% shares of
AEON AMC.
9.

INVESTMENTS IN EQUITY SECURITIES DESIGNATED AT FAIR VALUE THROUGHPROFIT OR LOSS

Investments in equity securities designated at fair value through profit or loss as at
August 31, 2023 and February 28, 2023 consist of the following:
CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Ownership
Fair Value%
Baht ’000
AEON (Thailand) Co., Ltd.(1)PT. AEON Credit Service Indonesia (2)ACS Trading Vietnam Company Limited

3.82
2.59
1.59

Total
(1)
(2)

5,062
5,062

As at February 28, 2023
Ownership
Fair Value%
Baht ’000
3.82
2.59
1.59

5,062
5,062

340,000 shares of Baht 100 each, Baht 25 called up
173 shares of IDR 30 million each, par value of IDR 30 million, fully paid

The fair values of investments in equity securities designated at fair value through profit orloss are categorized into level 3.

- 16 10.

INVESTMENT IN EQUITY SECURITY DESIGNATED AT FAIR VALUE THROUGH OTHERCOMPREHENSIVE INCOME

Investment in equity security designated at fair value through other comprehensive
income as at August 31, 2023 and February 28, 2023 consist of the following:
CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Ownership
Fair Value%
Baht ’000
Rabbit Cash Co., Ltd. (1)
Total
(1)

18.00

As at February 28, 2023
Ownership
Fair Value%
Baht ’000

144,000
144,000

18.00

144,000
144,000

1,440,000 shares of Baht 100 each, fully paid

On March 29, 2021, the Company has entered into a Joint Venture Agreement with BSS
Holdings Company Limited (“BSS Holdings”) and Humanica Public Company Limited(“HUMAN”) to incorporate a Joint Venture Company under the name of “Rabbit CashCompany Limited”, whereas BSS Holdings, the Company and HUMAN holds 77%, 18%
and 5%, respectively, of the shares. The initial registered capital is Baht 800 million.
The fair value of investment in equity security designated at fair value through othercomprehensive income is categorized into level 3.
11.

SELLER LOAN IN SPECIAL PURPOSE VEHICLE FOR SECURITIZATION

Seller loan in Special Purpose Vehicle for securitization as at August 31, 2023 and February 28,
2023 are as follows:
SEPARATE
FINANCIAL STATEMENTS

Seller loan in Special Purpose Vehicle for securitization (see Note 25.2.1)
ATS Rabbit Special Purpose Vehicle Company Limited (ATS Rabbit)
Total Seller loan in Special Purpose Vehicle for securitization“Unaudited”
As at
August 31,
2023
Baht ’000

As at
February 28,
2023
Baht ’000

276,045
276,045287,621287,621Subsequent to the sale of the rights in initial loans receivable under securitization project,
the Company received partial payments from ATS Rabbit with Seller Loan Account under
securitization project for sales of the rights in loans receivable to ATS Rabbit during the sales
period of the rights in additional receivables or repurchase period of the rights in loans
receivable. Such Seller Loan Account will decrease from cash repayment when the outstanding
amount reaches or exceeds determined level or the duration after the closing date reaches orexceed the determined level, or every 3-month period after the payment date as agreed in
the agreement, whichever is earlier.

- 17 12.

SUBORDINATED LENDINGS AND SUBORDINATED BORROWINGS

12.1 Subordinated lendings to Special Purpose Vehicle as at August 31, 2023 and February 28,
2023 are as follows:
SEPARATE
FINANCIAL STATEMENTS

Subordinated lendings (see Note 25.2.1)
ATS Rabbit Special Purpose Vehicle Company Limited(ATS Rabbit)
Total subordinated lendings“Unaudited”
As at
August 31,
2023
Baht ’000

As at
February 28,
2023
Baht ’000

84,074
84,074

84,074
84,074On October 22, 2015, the Company entered into the subordinated term loan
agreement with ATS Rabbit amounting to 5% of transferred rights in initialreceivables (see Note 5.5) and originated transaction cost, and of Future Receivables
and Additional Receivables, which are settled by Seller Loan Account and backed
for each issuance of debentures of ATS Rabbit, for the purposes of partial payment
from ATS Rabbit for the sales of rights in loans receivable.
The term loan is due within the year 2025 and the interest is payable on a monthly
basis at the rate of 12% per annum.
12.2 Subordinated borrowings of Special Purpose Vehicle as at August 31, 2023 andFebruary 28, 2023 are as follows:
CONSOLIDATEDFINANCIAL STATEMENTS

Subordinated borrowings
ATS Rabbit Special Purpose Vehicle Company Limited(ATS Rabbit)
Total subordinated borrowings“Unaudited”
As at
August 31,
2023
Baht ’000
84,074
84,074As at
February 28,
2023
Baht ’000
84,074
84,074On October 22, 2015, ATS Rabbit, a subsidiary, entered into the subordinated term
borrowings agreement with BSS Holdings Co., Ltd. amounting to 5% of transferred
rights in initial receivables (see Note 5.5) and originated transaction cost, and of
Future Receivables and Additional Receivables, which are settled by Seller Loan
Account and backed for each issuance of debentures of ATS Rabbit, for the purposesof partial payment for the purchase of rights in loans receivable.
The term borrowings are due within the year 2025 and the interest is payable ona monthly basis at the rate of 12% per annum.

- 18 13.

DEFERRED TAX ASSETS

Deferred tax assets as at August 31, 2023 and February 28, 2023 are as follows:

Deferred tax assets
Allowance for expected credit losses
Cumulative loss from fair value measurement ofinvestments in equity securities
Allowance for impairment of investment and assets
Provisions for employee benefit
Deferred revenue from customer loyalty programs
Lease agreements
Derivatives
OthersDeferred tax liabilities
Lease agreements
OthersDeferred tax assets

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS“Unaudited”
As at
August 31,
2023
Baht ’000

As at
February 28,
2023
Baht ’000“Unaudited”
As at
August 31,
2023
Baht ’000

As at
February 28,
2023
Baht ’000

1,963,737

1,956,008

1,912,476

1,906,108

4,502
22,16993,84571,536
19,352
334,386
43,681

4,502
21,30088,052
72,67818,016
147,856
42,075

7,866
19,96887,186
71,536
17,661
334,386
17,378

7,866
19,09981,866
72,67816,482
147,856
16,8932,553,208

2,350,487

2,468,457

2,268,848

635
9,321

518
9,047

9,956

9,565

2,543,252

2,340,922

2,468,457

2,268,848

The movements of deferred tax assets and liabilities during the period/year are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

Beginningbalance
as atMarch 1,
2023
Baht ’000
Deferred tax assets
Allowance for expected credit losses
Cumulative loss from fair value measurement ofinvestments in equity securities
Allowance for impairment of investment and assets
Provisions for employee benefit
Deferred revenue from customer loyalty programs
Lease agreements
Derivatives
OthersDeferred tax liabilities
Lease agreements
OthersDeferred tax assets“Unaudited”
Items as
Items asrecognized inrecognizedin otherprofit or loss
comprehensive
incomeBaht ’000
Baht ’000

1,956,008
4,502
21,30088,052
72,67818,016
147,856
42,075

7,729
869
5,793
(1,142)
1,336
203,797
1,606

Endingbalanceas atAugust 31,
2023
Baht ’000-

1,963,737-

4,502
22,16993,84571,536
19,352
334,386
43,681(17,267)-

2,350,487

219,988(17,267)

518
9,047

117
274

-

9,565

391

-

2,340,922

219,5972,553,208
635
9,321
9,956

(17,267)

2,543,252

- 19 -CONSOLIDATED FINANCIAL STATEMENTS

Deferred tax assets
Allowance for expected credit losses
Cumulative loss from fair value measurement ofinvestments in equity securities
Allowance for impairment of investment and assets
Provisions for employee benefit
Deferred revenue from customer loyalty programs
Lease agreements
Derivatives
OthersDeferred tax liabilities
Lease agreements
OthersDeferred tax assets

Beginningbalance
as atMarch 1,
2022
Baht ’000

Items asrecognized in
profit or loss

Items asrecognizedin othercomprehensive
incomeBaht ’000

Endingbalance
as atFebruary 28,
2023
Baht ’000

2,076,888(120,880)-

1,956,008

12,721
12,357(25,220)
2,761(72,500)
18,876(14,553)(84,447)-

4,502
21,30088,052
72,67818,016
147,856
42,0752,621,372(171,885)(99,000)

2,350,487

310(3,420)208
12,467-(3,110)12,675-2,624,482(184,560)

4,502
8,579
90,24897,89815,255
304,80323,199Baht ’000(99,000)

518
9,047
9,565
2,340,922

SEPARATE FINANCIAL STATEMENTS

Beginningbalance
as atMarch 1,
2023
Baht ’000
Deferred tax assets
Allowance for expected credit losses
Cumulative loss from fair value measurement ofinvestments in equity securities
Allowance for impairment of assets
Provisions for employee benefit
Deferred revenue from customer loyalty programs
Lease agreements
Derivatives
OthersDeferred tax assets“Unaudited”
Items as
Items asrecognized inrecognizedin otherprofit or loss
comprehensive
incomeBaht ’000
Baht ’000

1,906,108

6,368
-

-

Endingbalanceas atAugust 31,
2023
Baht ’000
1,912,476

7,866
19,09981,866
72,67816,482
147,856
16,893869
5,320(1,142)
1,179
203,797
485(17,267)-

7,866
19,96887,186
71,536
17,661
334,386
17,3782,268,848

216,876(17,267)2,468,457

2,268,848

216,876(17,267)2,468,457

- 20 -SEPARATE FINANCIAL STATEMENTS

Beginningbalance
as atMarch 1,
2022
Baht ’000
Deferred tax assets
Allowance for expected credit loss
Cumulative loss from fair value measurement ofinvestments in equity securities
Allowance for impairment of investment and assets
Provisions for employee benefit
Deferred revenue from customer loyalty programs
Lease agreements
Derivatives
OthersDeferred tax assets

14.

1,994,594

Items asrecognized in
profit or loss

Baht ’000

Items asrecognizedin othercomprehensive
incomeBaht ’000

Endingbalance
as atFebruary 28,
2023
Baht ’000(88,486)-

12,29911,354(25,220)
2,602(72,500)
1,587(13,314)(84,447)-

7,866
19,09981,866
72,67816,482
147,856
16,8932,524,973(158,364)(97,761)2,268,848

2,524,973(158,364)(97,761)2,268,848

7,866
6,800
83,82697,89813,880304,803
15,306

1,906,108

BANK OVERDRAFTS AND SHORT-TERM BORROWINGS FROM FINANCIAL INSTITUTIONSBank overdrafts and short-term borrowings from financial institutions as at August 31, 2023
and February 28, 2023 consist of the following:
CONSOLIDATED FINANCIAL STATEMENTS

Overdrafts in USD currency
Short-term borrowings in THB currency
Short-term borrowings in USD currency
Short-term borrowings in LAK currency
Short-term borrowings in MMK currency
Total“Unaudited”
As at August 31, 2023
Interest rate
p.a. (%)
Baht ’000

As at February 28, 2023
Interest rate
p.a. (%)
Baht ’000

1.88
2.44 - 2.51
6.25 - 8.00
6.50 - 6.62
10.00 - 13.00

1.69 - 1.76
5.49 - 6.70
6.62
10.00 - 13.00

55,9004,750,000
1,292,076
323,304
104,511
6,525,791

3,440,000
627,261
282,076
136,087
4,485,424

SEPARATE FINANCIAL STATEMENTS

Short-term borrowings in THB currency
Total“Unaudited”
As at August 31, 2023
Interest rate
p.a. (%)
Baht ’000

As at February 28, 2023
Interest rate
p.a. (%)
Baht ’000

2.44 - 2.51

1.69 - 1.76

4,750,000
4,750,000

3,440,000
3,440,000

Short-term borrowings in THB and foreign currencies from financial institutions areborrowings from various financial institutions in the form of promissory notes and are
unsecured.

- 21 15.

LONG-TERM BORROWINGSAs at August 31, 2023 and February 28, 2023, the Company entered into various long-termborrowings agreements in THB and foreign currencies as follows:

Due within
the year
Borrowings in JPY currency
Borrowings in USD currency
Borrowings in THB currency
Less Borrowings issuance cost

2023 - 2027
2023 - 2027
2023 - 2026

CONSOLIDATED FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Interest rate
Foreign currency
p.a. (%)
Million1.90 - 3.33
1.85 - 8.50
2.01 - 3.69

22,345.24
642.3021,000.00

Less Current portion of long-term borrowings
Total long-term borrowings

Due within
the year
Borrowings in JPY currency
Borrowings in USD currency
Borrowings in THB currency
Less Borrowings issuance cost

2023 - 2027
2023 - 2027
2023 - 2026

CONSOLIDATED FINANCIAL STATEMENTS
As at February 28, 2023
Interest rate
Foreign currency
p.a. (%)
Million1.90 - 3.33
1.85 - 8.50
2.01 - 3.69

23,145.24
723.1020,500.00

Less Current portion of long-term borrowings
Total long-term borrowings

Due within
the year
Borrowings in JPY currency
Borrowings in USD currency
Borrowings in THB currency
Less Borrowings issuance cost

2023 - 2027
2023 - 2027
2023 - 2026

SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Interest rate
Foreign currency
p.a. (%)
Million1.90 - 3.33
1.85 - 3.49
2.01 - 3.69

22,345.24
581.1021,000.00

Less Current portion of long-term borrowings
Total long-term borrowings

Due within
the year
Borrowings in JPY currency
Borrowings in USD currency
Borrowings in THB currency
Less Borrowings issuance cost

2023 - 2027
2023 - 2027
2023 - 2026

Less Current portion of long-term borrowings
Total long-term borrowings

SEPARATE FINANCIAL STATEMENTS
As at February 28, 2023
Interest rate
Foreign currency
p.a. (%)
Million1.90 - 3.33
1.85 - 3.49
2.01 - 3.69

23,145.24
641.1020,500.00

Baht equivalent
Baht ’000
5,427,502
22,581,885
21,000,000(49,046)
48,960,341(12,706,135)
36,254,206

Baht equivalent
Baht ’000
6,053,822
25,488,914
20,500,000(53,251)
51,989,485(12,836,551)
39,152,934

Baht equivalent
Baht ’000
5,427,502
20,394,053
21,000,000(49,046)
46,772,509(12,706,135)
34,066,374

Baht equivalent
Baht ’000
6,053,822
22,640,767
20,500,000(53,251)
49,141,338(11,273,543)
37,867,795

As at August 31, 2023 and February 28, 2023, the Company can maintain financial ratios
and other requirements according to the conditions as specified in the agreement.

- 22 16. LONG-TERM BORROWINGS UNDER SECURITIZATION PROJECT
As at August 31, 2023 and February 28, 2023, the Company recognized the cash received
and the settlement by the Seller Loan Account of ATS Rabbit for the transferred rights inloans receivable under securitization project (see Note 5.5) as long-term borrowings under
securitization project in the separate financial statements in the amount of Baht 1,184.16
million and Baht 1,260.99 million, respectively.
17.

LONG-TERM DEBENTURES

Long-term debentures represent unsubordinated and unsecured debentures as at August 31,
2023 and February 28, 2023, as follows:“Unaudited”
Issue date

Maturity

No of

Currency Par value

date

units

per unit

AmountInterest rate

Term of

As at

As at

p.a. (%)

interest

August 31,

February 28,

payment

2023

2023

Baht ’000

Baht ’000

Company
15/11/2019

15/11/2024 1,000,000

THB

1,000

1,000,000,000

2.57

Semi-annual

1,000,000

1,000,000

29/12/2021

29/12/2026

70

JPY

100,000,000

7,000,000,000

0.65

Semi-annual

1,700,251

1,830,906

29/11/2022

28/11/2025

100

JPY

100,000,000

10,000,000,000

0.69

Semi-annual

2,428,930

2,615,580

24/02/2023

24/02/2025 1,000,000

THB

1,000

1,000,000,000

2.99

Semi-annual

1,000,000

1,000,000

24/02/2023

24/02/2026 1,700,000

THB

1,000

1,700,000,000

3.18

Semi-annual

1,700,000

1,700,000

7,829,181

8,146,486

Less Debentures issuance cost
Total long-term debentures in the separate financial statements(36,069)(39,426)

7,793,112

8,107,060

1,473,082

1,473,082

9,266,194

9,580,142

ATS Rabbit Special Purpose Vehicle Company Limited
29/09/2018

28/10/2025 1,473,082

THB

1,000

1,473,082,000

3.29Monthly

Total long-term debentures in the consolidated financial statements

As at August 31, 2023 and February 28, 2023, the Company can maintain financial ratios
and other requirements according to the conditions as specified in the agreement.
18.

DERIVATIVE FINANCIAL INSTRUMENTS

The fair values and notional amounts of derivative instruments as at August 31, 2023 andFebruary 28, 2023 are as follows:
CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Fair value
Notional
AssetsLiabilities
amount
Baht ’000
Baht ’000
Baht ’000
Derivatives designated as
cash flow hedges
Cross currency andinterest rate swaps
Interest rate swaps
Less Current portion ofderivative assets /liabilities
Total derivative assets /liabilities

As at February 28, 2023
Fair value
Notional
AssetsLiabilities
amount
Baht ’000
Baht ’000
Baht ’000

1,312,100
8,808
1,320,908

1,940,355
20,0181,960,373

29,950,736
5,000,000
34,950,736

1,701,619
30,466
1,732,085

1,380,412
58,491
1,438,903

33,141,075
5,000,000
38,141,075(890,645)(765,259)(11,706,990)(1,047,431)(562,743)(10,473,815)

430,263

1,195,114

23,243,746

684,654876,160

27,667,260

- 23 19.

PROVISIONS FOR EMPLOYEE BENEFITThe Company operates post-employment benefit plans under the Labor Protection Act, which
are considered as unfunded defined benefit plans.
For the three-month and six-month periods ended August 31, 2023 and 2022, amounts
recognized in the statements of profit or loss in respect of the post-employment benefit plans
are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

Past service cost (reversal)- For employees transferred fromsubsidiaries
Current service cost
Interest cost
Loss on settlement
Total

For the three-month
periods ended
August 31,
August 31,
2023
2022
Baht ’000
Baht ’000(2,162)
17,973
3,116
18,927

18,052
2,942
74
21,068For the six-month
periods ended
August 31,
August 31,
2023
2022
Baht ’000
Baht ’000(4,003)
32,832
6,261
35,090(53)
44,383
5,911
6,321
56,562

SEPARATE FINANCIAL STATEMENTS

Past service cost (reversal)- For employees transferred fromsubsidiaries
Current service cost
Interest cost
Loss on settlement
Total

For the three-month
periods ended
August 31,
August 31,
2023
2022
Baht ’000
Baht ’000(2,162)
16,281
2,853
16
16,98816,151
2,725
18,876

For the six-month
periods ended
August 31,
August 31,
2023
2022
Baht ’000
Baht ’000(4,003)29,4415,734
16
31,18840,383
5,449
45,832

Movements in the present value of the provisions for post-employment benefit forthe six-month periods ended August 31, 2023 and 2022 are as follows:
CONSOLIDATEDFINANCIAL STATEMENTS

2023
Baht ’000
Beginning balance
Past service cost (reversal)- For employees transferred fromsubsidiaries
Current service cost
Interest cost
Loss on settlement
Benefits paid
Ending balance

2022
Baht ’000

SEPARATE
FINANCIAL STATEMENTS

2023
Baht ’000

2022
Baht ’000

444,377

463,335

405,630

419,132(4,003)
32,832
6,261(1,016)478,451(53)
44,383
5,911
6,321(22,960)
496,937(4,003)29,441
5,734
16
(889)
435,929

40,383
5,449(13,915)
451,049

- 24 The significant actuarial assumptions used to calculate the provisions under the defined
benefit plans as at August 31, 2023 and February 28, 2023 are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

Financial assumptions
Discount rate
Expected rate of salary increase
Demographic assumptions
Turnover rate
Monthly staff
Daily & Temporary staff“Unaudited”
As at August 31, 2023
% per annum

As at February 28, 2023
% per annum

0.84 - 3.15
5.0

0.84 - 3.15
5.0

0.0 - 27.0
Subject to range of age of employees
0.0 - 54.0
Subject to range of age of employees

0.0 - 27.0
Subject to range of age of employees
0.0 - 54.0
Subject to range of age of employees

SEPARATE FINANCIAL STATEMENTS

Financial assumptions
Discount rate
Expected rate of salary increase
Demographic assumptions
Turnover rate
Monthly staff
Daily staff“Unaudited”
As at August 31, 2023
% per annum

As at February 28, 2023
% per annum

2.85
5.0

2.85
5.0

0.0 - 21.0
Subject to range of age of employees
0.0 - 54.0
Subject to range of age of employees

0.0 - 21.0
Subject to range of age of employees
0.0 - 54.0
Subject to range of age of employees

- 25 20. EMPLOYEE JOINT INVESTMENT PROGRAM
On August 9, 2022, the Company’s Board of Directors’ meeting had the resolution toapprove the Employee Joint Investment Program (“EJIP”), which has started on September 1,
2022. The details of the program are as follows:
EJIP Period

Program period: 5 years (September 1, 2022 to August 31, 2027)
Program contribution period: 3 years (September 1, 2022 to August 31, 2025)

Eligible employees under EJIP

Permanent employees of the Company at Assistant Manager level or higher
and Executive Director level or higher with at least 3 years of service, on a
voluntary basis

EJIP Arrangement

Money paid by employees to participate in the project:
3 - 5 percent of salary
Money paid by executives to participate in the project:
3 - 9 percent of salaryContributions made by the Company to join the program: Equivalent amount
paid by employees or executives into the program, with 3% additional
contribution of the base salary for Talent Employee according to the terms andconditions set by the Company

EJIP Buying Schedule

Monthly

Conditions for holding the securities Sell of shares during year 1 - 3 is not allowed.
All accumulated shares in the first year of the Program are allowed to be soldafter the end of the third year of the Program
All accumulated shares in the second year of the Program are allowed to be
sold after the end of the fourth year of the Program
All accumulated shares in the third year of the Program are allowed to be soldafter the end of the fifth year of the Program
EJIP Manager

Phillip Securities (Thailand) Public Company Limited

Movement of the employee joint investment program for the six-month period ended
August 31, 2023 is as follows:
CONSOLIDATEDFINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Surplus on share-based
payment transactions
Baht ’000

Beginning balance
Change during the period- Employee joint investment program expense- Cash paid for employee joint investment program
Ending balance

SEPARATE FINANCIAL
STATEMENTS“Unaudited”
As at August 31, 2023
Surplus on share-based
payment transactions
Baht ’000

9,265

9,265

10,902(6,471)
13,696

8,937(5,699)12,503

- 26 The statements of comprehensive income for the three-month and six-month periods
ended August 31, 2023 is as follows:
CONSOLIDATEDFINANCIAL STATEMENTS
For theFor thethree-monthsix-month
period ended
period ended
August 31, 2023
Baht ’000
Baht ’000
Operating and administrative expenses
Directors and managements’ remuneration

21.

SEPARATE
FINANCIAL STATEMENTS
For theFor thethree-monthsix-month
period ended
period ended
August 31, 2023
Baht ’000
Baht ’000

2,373
1,683

6,037
4,865

2,091
1,243

5,112
3,825

4,056

10,902

3,334

8,937

SHAREHOLDERS’ EQUITY

21.1

On June 24, 2022 the Annual General Meeting of Shareholders had the resolutions
to approve the declaration of final dividends for the years ended February 28, 2022
at the rate of Baht 2.65 per share, totaling Baht 662.50 million. The aforementioned
shareholders included 1,300 shares of foreign shareholders who had no right toreceive dividend in accordance with regulation of Thailand Securities Depositary,
thus the Company paid dividend to shareholders amounting to Baht 662.50 million on
July 20, 2022 in addition to the interim dividends which had been paid to all shareholders
at Baht 2.50 per share, totaling Baht 625.00 million on November 2, 2021.

21.2

On June 20, 2023 the Annual General Meeting of Shareholders had the resolutions
to approve the declaration of final dividends for the years ended February 28, 2023
at the rate of Baht 2.95 per share, totaling Baht 737.50 million. The aforementioned
shareholders included 1,300 shares of foreign shareholders who had no right toreceive dividend in accordance with regulation of Thailand Securities Depositary, thus
the Company paid dividend to shareholders amounting to Baht 737.50 million on
July 17, 2023 in addition to the interim dividends which had been paid to all shareholders
at Baht 2.55 per share, totaling Baht 637.50 million on November 2, 2022.

21.3

Under the Securitization project, the subsidiary has to pay dividend to its
shareholders from all remaining amounts after deducting the required accumulated
reserves and payment of all fees and expenses. The subsidiary appropriates interim
dividends after the approval of Board of Directors’ meeting on a monthly basis ateach Monthly Purchase Date as an appropriation of net profit after corporate
income tax of each month.
ATS Rabbit Special Purpose Vehicle Company Limited’s registered share capitalcomprises 2 groups of ordinary shares and 2 groups of preferred shares. Dividends
from the profits of the subsidiary shall be allocated to the holders of preferredshares which are non-controlling interests at the rate of 1% of the par value of eachpreferred share. The remaining dividends shall be distributed to the holders ofordinary shares and another group of preferred shares.

- 27 22. REVENUES RELATING TO SECURITIZATION TRANSACTION
For the three-month and six-month periods ended August 31, 2023 and 2022, revenues
relating to securitization transaction incurred from sales of rights in loans receivable to
ATS Rabbit Special Purpose Vehicle Company Limited are included in the presentation ofLoan income as follows:
SEPARATE FINANCIAL STATEMENTS

Loan income (see Note 25.2.2)
Interest income from subordinated lendings
Revenue from seller loan in Special Purpose Vehicle
Dividend from investment in Special Purpose Vehicle
Collection servicing income
Total

23.

For the three-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
2,543
8,454
2,570
16,44830,015

2,543
9,050
720
18,831
31,144

For the six-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
5,086
17,044
3,929
33,44859,507

5,086
17,7142,384
38,047
63,231

DIRECTORS AND MANAGEMENTS’ REMUNERATION

Directors’ remuneration represents the benefits paid to the Company’s directors in accordancewith Section 90 of the Public Limited Companies Act. Managements’ remuneration representsmonetary remuneration as salaries and bonus paid to the Company’s management.
For the three-month and six-month periods ended August 31, 2023 and 2022, directors
and managements’ remuneration are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

Short-term employee benefits
Directors’ remuneration (reversal)
Managements’ remuneration
Post-employment benefits
Total

For the three-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
15,67438,027
1,481
55,182(5,263)32,4381,424
28,599For the six-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
21,374
69,195
2,919
93,4886,021
62,941
2,871
71,833

SEPARATE FINANCIAL STATEMENTS

Short-term employee benefits
Directors’ remuneration (reversal)
Managements’ remuneration
Post-employment benefits
Total

For the three-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
17,086
27,516
1,209
45,811(9,243)23,8881,010
15,655For the six-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
21,08650,2992,419
73,804(493)
42,9302,035
44,472For the three-month and six-month periods ended August 31, 2023 and 2022, directors’
remunerations which were included in short-term employee benefits were approved by the
Annual General Meeting of shareholders of the Company held on June 20, 2023 and June 24,
2022, respectively.

- 28 24.

CORPORATE INCOME TAXThe Company and its local subsidiaries used tax rate of 20% for corporate income tax
and deferred tax calculations for the three-month and six-month periods ended August 31,
2023 and 2022.
The foreign subsidiaries used tax rate of 20% - 25% for corporate income tax and deferred
tax calculations for the three-month and six-month periods ended August 31, 2022. For thethree-month and six-month periods ended August 31, 2023, the foreign subsidiaries used
tax rate of 20% - 22% for corporate income tax and deferred tax calculations.
Income tax expenses of the Company and its subsidiaries is calculated from profit before
tax, added back transactions which are non-deductible expenses and deducted exempted
income under the Revenue Code.
For the three-month and six-month periods ended August 31, 2023 and 2022, income tax
expenses consist of:
CONSOLIDATED FINANCIAL STATEMENTS

For the three-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
Current tax expense (income) for the period
Deferred income tax expense (income)
Income tax expenses per statements of profit or loss

268,615(50,143)
218,472(6,238)244,881
238,643

For the six-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
598,902(219,597)
379,305

168,102361,430
529,532

SEPARATE FINANCIAL STATEMENTS

For the three-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
Current tax expense (income) for the period
Deferred income tax expense (income)
Income tax expenses per statements of profit or loss

237,252(47,098)
190,154(39,186)
251,235
212,049

For the six-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000
539,114(216,876)
322,238

97,823
373,724
471,547

- 29 Reconciliations of effective tax rates for the three-month and six-month periods ended
August 31, 2023 and 2022 are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

For the three-month

For the six-month

periods ended August 31,

periods ended August 31,

2023

2022

2023

2022

Baht ’000

Baht ’000

Baht ’000

Baht ’000

1,082,191

1,169,926

1,887,040

2,619,571

6,474

2,863

(137,901)(4,877)

Temporary differences

216,806(1,280,779)

1,053,163(1,905,550)

Taxable profit (loss)

1,305,471(107,990)

2,802,302

709,144

20.00 - 22.00

20.00 - 25.00

20.00 - 22.00

20.00 - 25.00

269,545(6,238)599,832

Accounting profit before income tax
Permanent differences

Normal income tax rate (%)
Income tax for the period currently payable
Adjustment for prior year’s income tax

(930)

-

(930)

168,102-

Deferred tax from temporary differences(50,143)244,881(219,597)

361,430

Income tax expenses per statements of profit or loss

218,472

238,643

379,305

529,532

Effective tax rate (%)

20.19

20.40

20.10

20.21

SEPARATE FINANCIAL STATEMENTS

Accounting profit before income tax

For the three-month

For the six-month

periods ended August 31,

periods ended August 31,

2023

2022

2023

2022

Baht ’000

Baht ’000

Baht ’000

Baht ’000

957,7311,054,829

1,759,592

2,508,528

Permanent differences

263

6,133

781

10,191

Temporary differences

235,487(1,256,175)

1,084,375(1,868,623)

Income that is exempt from taxable(2,570)(720)(144,529)(160,984)

1,190,911(195,933)

2,700,219

489,112

Normal income tax rate (%)

20.00

20.00

20.00

20.00

Income tax for the period currently payable

238,182(39,186)

540,044

97,823

Taxable profit (loss)

Adjustment for prior year’s income tax

(930)

-

Deferred tax from temporary differences(47,098)

251,235(216,876)(930)

373,724-

Income tax expenses per statements of profit or loss

190,154

212,049

322,238

471,547

Effective tax rate (%)

19.85

20.10

18.31

18.80

- 30 25.

TRANSACTIONS WITH RELATED PARTIESThe consolidated and separate financial statements include certain transactions withthe subsidiaries and the related parties. The relationship may be by shareholding or thecompanies may have the same group of shareholders or directors. The consolidated andseparate financial statements reflect the effects of these transactions on the basis determinedby the Company, the subsidiaries and the related parties which are as follows:
25.1

Investments in subsidiaries (see Note 8) as at August 31, 2023 and February 28,
2023 are as follows:
SEPARATE FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Related parties

Relationship Ownership

Paid-up

As at February 28, 2023

Cost

Ownership

capitalPaid-up

Cost

capital%Baht ’000

Baht ’000%

Baht ’000

Baht ’000

ACS Servicing (Thailand) Company Limited

Subsidiary

100.00175,349.1

175,349.1

100.00175,349.1

175,349.1

ACSI (Thailand) Co., Ltd.

Subsidiary

100.00149,224.3

149,224.3

100.00149,224.3

149,224.3

AEON Specialized Bank (Cambodia) Plc.

Subsidiary

50.00

643,720.4

323,580.0

50.00

643,720.4

323,580.0

AEON Microfinance (Myanmar) Company Limited

Subsidiary

100.00455,403.3

455,403.3

100.00455,403.3

455,403.3
107,333.1

AEON Leasing Service (Lao) Company Limited

Subsidiary

96.29

111,402.9

107,333.1

96.29

111,402.9

ATS Rabbit Special Purpose Vehicle Company Limited

Subsidiary

48.75

40.0

19.5

48.75

40.0

19.5

AEON Asset Management (Thailand) Company Limited

Subsidiary

99.99

25,000.0

24,999.9

98.00

25,000.0

24,499.7

Total

25.2

1,235,909.2

1,235,409.0

Business transactions with related parties
25.2.1

Balances with related parties as at August 31, 2023 and February 28,
2023 are as follows:
Related parties

Other receivables
ACSI (Thailand) Co., Ltd.
ACS Servicing (Thailand) Company
LimitedAEON Asset Management (Thailand)Company Limited
AEON Financial Service Co., Ltd.
AEON Credit Service Company
LimitedACS Capital Corporation Limited
ATS Rabbit Special Purpose Vehicle
Company Limited
AEON Specialized Bank (Cambodia) Plc.
AEON Leasing Service (Lao) Co., Ltd.
AEON Microfinance (Myanmar)
Company Limited
ACS Trading Vietnam Co., Ltd.

Relationship

Subsidiary
Subsidiary

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS“Unaudited”
As at
As at
August 31, February 28,
2023
2023
Baht ’000
Baht ’000“Unaudited”
As at
As at
August 31, February 28,
2023
2023
Baht ’000
Baht ’000

-

-

-

-

-

28
3,071

4,412

344
1,062

805
2,971

Subsidiary
Major shareholder
Common ultimate
holding company
Shareholder andone common director
Subsidiary
Subsidiary
Subsidiary
Subsidiary
Common ultimate
holding company

2,560

3,072

-

540
435

421

-

109

156

-

-

49,3291,629-

51,621
1,812
2,820

-

-

65

7,807

167
55,776334
72,766

167
3,162

334
4,367

- 31 -

Related parties

Relationship

CONSOLIDATEDSEPARATE

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS“Unaudited”“Unaudited”

As at

As at

As at

As at

August 31,

February 28,

August 31,

February 28,

2023

2023

2023

2023

Baht ’000

Baht ’000

Baht ’000

Baht ’000--

111,279

111,960--

276,045287,621--84,074

84,074--76,18075,134Long-term loan to a subsidiary(see Note 6)
AEON Specialized Bank (Cambodia) Plc.

Subsidiary

Seller loan in Special Purpose Vehicle
for securitization (see Note 11)
ATS Rabbit Special Purpose Vehicle

Subsidiary

Company Limited
Subordinated lendings (see Note 12.1)
ATS Rabbit Special Purpose Vehicle

Subsidiary

Company Limited
Other payables
ACS Servicing (Thailand) Company

Subsidiary

LimitedAEON (Thailand) Co., Ltd.

Common ultimate
holding company

922

960

922

960

AEON Financial Service Co., Ltd.

Major shareholder

60,79560,79744,036

48,871

AEON Credit Service Company

Common ultimate

Limitedholding company

-

2,560

-

ACS Capital Corporation Limited

Shareholder andone common director

AEON Bank Ltd.

250

250

-

Common ultimate
holding company

ATS Rabbit Special Purpose Vehicle

-

866

731

936

675

884

-

-

33,91433,99962,69865,253

155,977

160,714--

1,184,157

1,260,991--

79,694

81,131

5,197

4,918

5,197

1,815

-

5,197

86,42786,328

Subsidiary

Company Limited

Long-term borrowings under
securitization project (see Note 16)
ATS Rabbit Special Purpose Vehicle

Subsidiary

Company Limited
Deferred revenue
ACS Servicing (Thailand) Company

Subsidiary

LimitedACS Capital Corporation Limited

Shareholder andone common director

AEON Asset Management (Thailand)Company Limited

4,918

Subsidiary
-

4,918

- 32 25.2.2

Transactions with related parties for the three-month and six-month periods
ended August 31, 2023 and 2022 are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

Related parties

Relationship

For the three-month

For the six-month

periods ended August 31,

periods ended August 31,

2023

2022

2023

2022

Baht ’000

Baht ’000

Baht ’000

Baht ’000

Collection service income
ACS Capital Corporation Limited

Shareholder andone common director

148

-

382

-

724

(1,656)

1,466

4,351

501

8,128

1,002

8,128

1,225

6,472

2,468

12,47941,48638,28079,50385,814

23

5,520

6,060

11,408

2,664

5,687

5,254

6,490

1,014

4,520

2,011

8,568

Other income (reversal)
ACS Capital Corporation Limited

Shareholder andone common director

ACS Trading Vietnam Co., Ltd.

Common ultimate
holding company

Operating and administrative expenses
OthersAEON Financial Service Co., Ltd.

Major shareholder

AEON Credit Service Company

Common ultimate

Limitedholding company

AEON (Thailand) Company

Common ultimate

Limitedholding company

AEON Bank Ltd.

Common ultimate

ACS Credit Management Co., Ltd.

Common ultimate

AEON Compass Co., Ltd.

Common ultimate

AEON Credit Service (Malaysia)

Common ultimate

BHD.

holding company

holding company
holding company
holding company

247

-

488

-

132

-

132

-

328

439

328

439

45,89454,446

93,776

112,719

Finance costs
AEON Bank Ltd.

Common ultimate
holding company

2,894

1,370

5,654

2,674

AEON Financial Service Co., Ltd.

Major shareholder

2,710

4,261

5,537

8,358

5,604

5,631

11,191

11,032one common director

264,000

127,200

264,000

127,200

AEON Financial Service Co., Ltd.

Major shareholder

482,900

232,670

482,900

232,670

AEON Holding (Thailand) Limited

Common ultimate
121,000

58,300121,000

58,300867,900

418,170

867,900

418,170

Dividend paid
ACS Capital Corporation Limited

Shareholder andholding company

- 33 SEPARATE FINANCIAL STATEMENTS

Related parties

Relationship

Revenues relating to securitizationtransaction (included in loan income)(see Note 22)
ATS Rabbit Special Purpose Vehicle
Company Limited
Dividend income
ACSI (Thailand) Co., Ltd.
ACS Servicing (Thailand) Company
Limited

Other income (reversal)
ACS Capital Corporation Limited
ACSI (Thailand) Co., Ltd.
ACS Servicing (Thailand) Company
LimitedAEON Specialized Bank (Cambodia)
Plc.
AEON Leasing Service (Lao)Company Limited
AEON Microfinance Myanmar
Company Limited
ACS Trading Vietnam Co., Ltd.

ATS Rabbit Special Purpose Vehicle
Company Limited
ACS Servicing (Thailand) Company
LimitedAEON Compass Co., Ltd.
AEON Credit Service (Malaysia)
BHD.

30,01531,14459,507

63,231---55,000--140,600

103,600--

140,600

158,600

Shareholder andone common director
Subsidiary
Subsidiary

Operating and administrative expenses
Collection service fee
ACS Servicing (Thailand) Company
LimitedATS Rabbit Special Purpose Vehicle
Company Limited

For the six-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000

Subsidiary

Subsidiary
Subsidiary

AEON Asset Management(Thailand) Company Limited

Others (reversal)
AEON Financial Service Co., Ltd.
AEON Credit Service Company
LimitedAEON (Thailand) Company
LimitedAEON Bank Ltd.

For the three-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000444
18(2,939)
154

890
24

2,461
311

8,517

6,685

17,035

12,9852,866

10,804

5,619

13,739

29

5,584

59

5,584

39

7,724

78

7,724

501

8,128

1,002

8,128

738
13,15236,1401,264
25,97150,932

139,864

130,088273,308

248,924

Subsidiary
Subsidiary
Subsidiary
Common ultimate
holding company
Subsidiary-

Subsidiary
Subsidiary

Major shareholder
Common ultimate
holding company
Common ultimate
holding company
Common ultimate
holding company
Subsidiary

797

934

1,576

1,796

140,661

131,022274,884

250,720

25,19523,38650,64554,663

-

1,428

952

2,879

2,664

5,688

5,254

6,490

1,014

2,194

2,011

3,721

11,274

10,844

21,95020,490-688

Subsidiary
Common ultimate
holding company
Common ultimate
holding company

(3)
132

40,279439
43,976132
80,944439
89,370- 34 SEPARATE FINANCIAL STATEMENTS

Related parties

Relationship

Finance costs
ATS Rabbit Special Purpose Vehicle
Company Limited

Subsidiary

For the three-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000

For the six-month
periods ended August 31,
2023
2022
Baht ’000
Baht ’000

68,87076,964

139,862

154,261

264,000
482,900

127,200
232,670

264,000
482,900

127,200
232,670

121,000

58,300121,000

58,300867,900

418,170

867,900

418,170

Dividend paid
ACS Capital Corporation Limited

Shareholder andone common director
AEON Financial Service Co., Ltd.
Major shareholder
AEON Holding (Thailand) Limited
Common ultimate
holding company

26.

-

Other income for the three-month and six-month periods ended August 31,
2023 and 2022 includes computer fee and Finance and Accounting
operation services fee charged to ACS Capital Corporation Limited, ACSI
(Thailand) Co., Ltd., ACS Servicing (Thailand) Company Limited and
AEON Asset Management (Thailand) Company Limited as stated in theagreement which the service fees are based on a cost-plus basis.

-

Revenues relating to securitization transactions are determined by theCompany and subsidiaries in accordance with securitization projects(see Note 5.5).

-

Collection service fee paid to ACS Servicing (Thailand) Company Limited
is based on general market price and in the normal course of business.

-

Management assistant fee is paid to AEON Financial Service Co., Ltd.
as stated in the agreement.

-

Pricing policy for other operating and administrative expenses are
determined by the Company and related parties based on the cost-plus basis.

SEGMENT INFORMATIONThe Group presents segment information in respect of the business segments based on
the management and internal reporting structure. The business segments of the Groupconsist of:
Retail finance services
Other business

Consist of credit card, hire-purchase and personal loans and others
Consist of debt collection service and insurance brokerage services

The Group does not have revenues from transactions with a single external customer
at 10% or more of total revenues.
Transactions between segments are recorded on the same basis as the transaction conductedwith the third-party. Transactions between segments are eliminated on consolidation.

- 35 -The segment information of the Group was classified by business segment as follows:
26.1

Operating results, classified by business for the three-month and six-month
periods ended August 31, 2023 and 2022, are as follows:
CONSOLIDATED FINANCIAL STATEMENTS

For the three-month period ended August 31, 2023
Retail finance services

Other businesses

Domestic

Foreign

Domestic

Baht ’000

Baht ’000

Baht ’000

Elimination

Total

Baht ’000

Baht ’000

Revenues
Revenue from external customers
Inter - segment revenues

5,026,575

359,830

289,966-

67,590659

75,867(144,116)-

5,094,165

360,489

365,833(144,116)

5,676,371

1,826,097

190,624

139,042(141,087)

2,014,676

45,811

3,753

5,618

5,676,371

Expenses
Operating and administrative expenses
Directors and managements’ remuneration-

55,182

Loss on sale and write-off of leasehold
improvements and equipment andintangible assets other than goodwill
Total expenses
Finance costs

1,422

11

1

1,873,330

194,388

144,661

486,048

89,861

608

Expected credit losses

1,933,547

15,278(85)

Profit before income tax

801,240

60,962

220,649

Income tax expenses

191,440

14,797

12,236

Profit for the period

609,800

46,165

208,413-1,434(141,087)(2,370)-2,071,292
574,147
1,948,740(659)-

1,082,192
218,473(659)

863,719

CONSOLIDATED FINANCIAL STATEMENTS

For the three-month period ended August 31, 2022
Retail finance services

Other businesses

Domestic

Foreign

Domestic

Baht ’000

Baht ’000

Baht ’000

Elimination

Total

Baht ’000

Baht ’000

Revenues
Revenue from external customers
Inter - segment revenues

4,940,265

305,667

229,485-

5,475,417

30,664

9,199

126,023(165,886)-

4,970,929

314,866

355,508(165,886)

5,475,417(153,733)

1,956,228

Expenses
Operating and administrative expenses

1,795,727

170,363

143,871

Directors and managements’ remuneration

15,655

4,989

7,955

Loss on impairment of assets (reversal)(1,426)---28,599-(1,426)

Loss on sale and write-off of leasehold
improvements and equipment andintangible assets other than goodwill
Total expenses
Finance costs

845

1,007

517

1,810,801

176,359

152,343

423,756

47,190529

Expected credit losses

1,842,506

8,573

121

Profit before income tax

893,866

82,744

202,515

Income tax expenses

212,40915,92810,306

Profit for the period

681,457

66,816

192,209-

2,369(153,733)(2,954)-

1,985,770
468,521
1,851,200(9,199)-1,169,926
238,643(9,199)931,283

- 36 -CONSOLIDATED FINANCIAL STATEMENTS

For the six-month period ended August 31, 2023
Retail finance services

Other businesses

Domestic

Foreign

Domestic

Baht ’000

Baht ’000

Baht ’000

Elimination

Total

Baht ’000

Baht ’000

11,135,562

Revenues
Revenue from external customers
Inter - segment revenues

9,923,193

681,164

531,205-

219,986(682)

217,320(436,624)

10,143,179

680,482748,525(436,624)

11,135,562
4,005,143-

Expenses
Operating and administrative expenses

3,647,422

364,639

285,118(292,036)

Directors and managements’ remuneration

73,804

9,540

10,144-

93,488Loss on impairment of asset

4,341

-

4,341

-

-

(Gain) loss on sale and write-off of leasehold
improvements and equipment andintangible assets other than goodwill
Total expenses
Finance costs

1,931

(126)

(15)

3,727,498

374,053295,247

970,061

134,613

1,116

Expected credit losses (reversal)

4,010,138

32,514(12)

Profit before income tax

1,435,482

139,302

Income tax expenses

324,203

Profit for the period

1,111,279

-

1,790

(292,036)

4,104,762(4,670)1,101,120-

4,042,640

452,174(139,918)

1,887,040

30,01925,083-

109,283

427,091(139,918)

379,305
1,507,735

CONSOLIDATED FINANCIAL STATEMENTS

For the six-month period ended August 31, 2022
Retail finance services

Other businesses

Elimination

Total

Baht ’000

Baht ’000

479,705-

10,960,066

250,706(470,445)

643,369

730,411(470,445)

10,960,066

3,614,698

332,128

290,564(291,058)

3,946,332

44,472

12,851

14,510-

Domestic

Foreign

Domestic

Baht ’000

Baht ’000

Baht ’000

9,858,143

622,218

198,588

21,151

10,056,731

Revenues
Revenue from external customers
Inter - segment revenues-

Expenses
Operating and administrative expenses
Directors and managements’ remuneration

71,833

Loss on sale and write-off of leasehold
improvements and equipment andintangible assets other than goodwill
Total expenses
Finance costs

951

1,026

451

3,660,121

346,005

305,525

815,320

94,948722

Expected credit losses (reversal)

3,410,582

4,365

(270)

Profit before income tax

-

2,428

(291,058)(5,765)4,020,593
905,225-

3,414,677
2,619,571

2,170,708

198,051

424,434(173,622)

Income tax expenses

472,739

37,412

19,381-

Profit for the period

1,697,969

160,639

405,053(173,622)

529,532
2,090,039

- 37 26.2

Financial positions classified by business are as follows:
CONSOLIDATED FINANCIAL STATEMENTS“Unaudited”
As at August 31, 2023
Retail finance services

Other businesses

Domestic

Foreign

Domestic

Baht ’000

Baht ’000

Baht ’000

79,377,365

5,058,753

319,244

1,142,522

193,945

9,356,473

348,297

Total assets

89,876,360

5,600,995

Total liabilities

66,479,333

4,337,411

Trade and other receivables

Elimination

Total

Baht ’000

Baht ’000(162,375)

84,592,987

60,169(6,942)

1,389,694

626,209(1,367,463)

8,963,516

1,005,622(1,536,780)

94,946,197

171,480(271,526)

70,716,698

Leasehold improvements and equipment andintangible assets other than goodwill
Other assets

CONSOLIDATED FINANCIAL STATEMENTS

As at February 28, 2023
Retail finance services

Other businesses

Domestic

Foreign

Domestic

Baht ’000

Baht ’000

Baht ’000

79,698,518

4,577,732

299,428

1,230,470

153,6039,348,397

694,129

Total assets

90,277,385

5,425,464

Total liabilities

67,655,525

4,313,027

Trade and other receivables

Elimination

Total

Baht ’000

Baht ’000(171,512)

84,404,166

69,420(6,942)

1,446,551

664,385(1,350,942)

9,355,969

1,033,233(1,529,396)

95,206,686

153,765(263,711)

71,858,606

Leasehold improvements and equipment andintangible assets other than goodwill
Other assets

27. CREDIT FACILITIES AND LETTER OF GUARANTEE
27.1

As at August 31, 2023 and February 28, 2023, the Company has unused committed
and unsecured revolving credit facility agreements with various financial institutions
totaling Baht 3,000 million.

27.2

As at August 31, 2023 and February 28, 2023, the Company has unused overdraft
facilities with various banks totaling Baht 3,090 million. Such overdraft facilities are
unsecured.

27.3

As at August 31, 2023 and February 28, 2023, the Company has a bank’s letter ofguarantee issued to suppliers for guarantee payment of Baht 0.50 million. Such letterof guarantee is unsecured.

27.4

As at August 31, 2023 and February 28, 2023, a subsidiary has letters of guarantee
issued by banks in the amounts of Baht 2.13 million and Baht 1.78 million,
respectively.

- 38 28. SALE OF WRITTEN-OFF RECEIVABLES
28.1

On June 28, 2018, the Company sold written-off receivables under loan agreements andcredit card agreements to ACS Servicing (Thailand) Company Limited (the “buyer”),
a subsidiary, with the purchase price of Baht 31.52 million. On the same date,
the Company entered into the “Asset Sale and Purchase Agreement” with the buyer.
The agreement sets out the conditions and terms in respect of the sales, assignment andconveyance of the Company’s rights, title, claim, obligation, liability and interest in thewritten-off receivables under loan agreements and credit card agreements. On June 28,
2018, which is the closing date as specified in the agreement, the Company received thepayment in full from the buyer. However, the Group has retained substantially all of therisks and rewards of the assets transferred to the buyer which is the subsidiary.
Consequently, the Company recorded cash received from the buyer as deferred revenue
which will be recognized as revenue when the buyer can collect from debtors.
The Company has already recognized revenue of Baht 0.12 million and Baht 0.25
million as bad debt recovery in the consolidated and separate statements of profit or loss
for the three-month and six-month periods ended August 31, 2023, respectively, andBaht 0.08 million and Baht 0.20 million as bad debt recovery in the consolidated andseparate statements of profit or loss for the three-month and six-month periods ended
August 31, 2022, respectively, and recorded outstanding deferred revenue of Baht 21.07
million as other current liabilities in the separate statements of financial position as at
August 31, 2023 (as at February 28, 2023: Baht 21.32 million).
Under the Asset Sale and Purchase Agreement, if the buyer wished to sell ortransfer loans receivable that were intended to be a portfolio sale to a third-party,
the Company was entitled to a right to first negotiate with the buyer with regard toa purchase of the portfolio before any third-party. If the negotiation was notconcluded within three months or the Company decided not to make a purchase,the buyer might sell such loans receivable to a third-party.

28.2

On October 28, 2019, the Company sold written-off receivables under loan
agreements and credit card agreements by a bidding process to ACS Servicing(Thailand) Company Limited (the “buyer”), a subsidiary, with the purchase price of
Baht 59.11 million. On the same date, the Company entered into the “Asset Sale andPurchase Agreement” with the buyer. The agreement sets out the conditions and terms
in respect of the sales, assignment and conveyance of the Company’s rights, title,
claim, obligation, liability and interest in the written-off receivables under loan
agreements and credit card agreements. On October 28, 2019, which is the closing
date as specified in the agreement, the Company received the payment in full fromthe buyer. However, the Group has retained substantially all of the risks and rewardsof the assets transferred to the buyer which is the subsidiary. Consequently, theCompany recorded cash received from the buyer as deferred revenue which will berecognized as revenue when the buyer can collect from debtors. The Company has
already recognized revenue of Baht 0.28 million and Baht 0.55 million as bad debt
recovery in the consolidated and separate statements of profit or loss for thethree-month and six-month periods ended August 31, 2023, respectively, andBaht 0.21 million and Baht 0.39 million as bad debt recovery in the consolidated andseparate statements of profit or loss for the three-month and six-month periods ended
August 31, 2022, respectively, and recorded outstanding deferred revenue of Baht
53.33 million as other current liabilities in the separate statements of financial position
as at August 31, 2023 (as at February 28, 2023 : Baht 53.88 million).

- 39 Under the Asset Sale and Purchase Agreement, if the buyer wished to sell ortransfer loans receivable that were intended to be a portfolio sale to a third-party,
the Company was entitled to a right to first negotiate with the buyer with regard toa purchase of the portfolio before any third-party. If the negotiation was notconcluded within three months or the Company decided not to make a purchase,the buyer might sell such loans receivable to a third-party.
28.3

On March 4, 2022, the Company sold written-off receivables under loan
agreements and credit card agreements by a bidding process to an unrelated
local company (the “buyer”) with the purchase price of Baht 104.98 million.
On the same date, the Company entered into the “Asset Sale and Purchase Agreement”
with the buyer. The agreement set out the conditions and terms in respect of thesales, assignment and conveyance of the Company’s rights, title, claim, obligation,
liability and interest in the written-off receivables under loan agreements andcredit card agreements. On March 4, 2022, which is the closing date as specified in
the agreement, the Company received the payment in full from the buyer.
The Company has already recognized gain on sale of written-off receivables
totaling Baht 104.98 million in the consolidated and separate statements of profit
or loss for the six-month period ended August 31, 2022.
Under the Asset Sale and Purchase Agreement, the buyer was entitled to claim
damages from the Company from sales of loans receivable within a specific periodin events the buyer did not have lawful title over loans receivable or loan
agreements are not legal as specified in the agreement. However, the Company
believed that such damage was not significant, therefore, the Company had notrecorded such claim in the financial statements.
In addition, under the Asset Sale and Purchase Agreement, if the buyer wishedto sell or transfer loan to a third-party, the buyer shall get written approval fromthe Company. In addition, a third-party shall comply all terms and conditions of
the agreement, by entering into the Accession Agreement in form determined by
the Company.

28.4

On October 31, 2022, the Company sold written-off receivables under loan
agreements and credit card agreements by a bidding process to an unrelated
local company (the “buyer”) with the purchase price of Baht 110.40 million.
On the same date, the Company entered into the “Asset Sale and Purchase Agreement”
with the buyer. The agreement set out the conditions and terms in respect of thesales, assignment and conveyance of the Company’s rights, title, claim, obligation,
liability and interest in the written-off receivables under loan agreements and credit
card agreements. On November 29, 2022, which is the closing date as specified in
the agreement, the Company received the initial payment of Baht 11.04 million.
The buyer has agreed to pay the remaining amount of purchase price amounting to
Baht 99.36 million in 8 installments of Baht 12.42 million per each and last
installment will be on November 29, 2024. The Company has already recognizedgain on sale of written-off receivables totaling Baht 110.40 million in the
consolidated and separate statements of profit or loss for the year ended February 28,
2023, and recorded outstanding receivables of Baht 62.09 million as otherreceivables in the consolidated and separate statements of financial positions as at
August 31, 2023 (as at February 28, 2023 : Baht 86.93 million).

- 40 Under the Asset Sale and Purchase Agreement, the buyer was entitled to claim
damages from the Company from sales of loans receivable within a specific periodin events the buyer did not have lawful title over loans receivable or loan
agreements are not legal as specified in the agreement. However, the Company
believed that such damage was not significant, therefore, the Company had notrecorded such claim in the financial statements.
In addition, under the Asset Sale and Purchase Agreement, if the buyer wishedto sell or transfer loan to a third-party, the buyer shall get written approval fromthe Company. In addition, a third-party shall comply all terms and conditions of
the agreement, by entering into the Accession Agreement in form determined by
the Company.
28.5

On November 29, 2022, the Company sold written-off receivables under loan
agreements and credit card agreements by a bidding process to an unrelated
local company (the “buyer”) with the purchase price of Baht 108.98 million.
On the same date, the Company entered into the “Asset Sale and Purchase Agreement”
with the buyer. The agreement set out the conditions and terms in respect of thesales, assignment and conveyance of the Company’s rights, title, claim, obligation,
liability and interest in the written-off receivables under loan agreements andcredit card agreements. On November 29, 2022, which is the closing date as
specified in the agreement, the Company received the initial payment of Baht
10.90 million. The buyer has agreed to pay the remaining amount of purchaseprice amounting to Baht 98.08 million in 8 installments of Baht 12.26 million pereach and last installment will be on November 29, 2024. The Company has alreadyrecognized gain on sale of written-off receivables totaling Baht 108.98 million in
the consolidated and separate statements of profit or loss for the year ended
February 28, 2023, and recorded outstanding receivables of Baht 61.31 million asother receivables in the consolidated and separate statements of financial positionsas at August 31, 2023 (as at February 28, 2023 : Baht 85.83 million).
Under the Asset Sale and Purchase Agreement, the buyer was entitled to claim
damages from the Company from sales of loans receivable within a specific periodin events the buyer did not have lawful title over loans receivable or loan
agreements are not legal as specified in the agreement. However, the Company
believed that such damage was not significant, therefore, the Company had notrecorded such claim in the financial statements.
In addition, under the Asset Sale and Purchase Agreement, if the buyer wishedto sell or transfer loan to a third-party, the buyer shall get written approval fromthe Company. In addition, a third-party shall comply all terms and conditions of
the agreement, by entering into the Accession Agreement in form determined by
the Company.

- 41 28.6

On July 31, 2023, the Company sold written-off receivables under loan agreements
and credit card agreements by a bidding process to an unrelated local company(the “buyer”) with the purchase price of Baht 109.78 million. On the same date, theCompany entered into the “Asset Sale and Purchase Agreement” with the buyer. The
agreement set out the conditions and terms in respect of the sales, assignment andconveyance of the Company’s rights, title, claim, obligation, liability and interestin the written-off receivables under loan agreements and credit card agreements.
On July 31, 2023, which is the closing date as specified in the agreement, theCompany received the initial payment of Baht 10.98 million. The buyer has agreed
to pay the remaining amount of purchase price amounting to Baht 98.80 million in
8 installments of Baht 12.35 million per each and last installment will be on
July 31, 2025. The Company has already recognized gain on sale of written-off
receivables totaling Baht 109.78 million in the consolidated and separate statements
of profit or loss for the three-month and six-month periods ended August 31, 2023,
and recorded outstanding receivables of Baht 98.80 million as other receivables in
the consolidated and separate statements of financial positions as at August 31, 2023.
Under the Asset Sale and Purchase Agreement, the buyer was entitled to claim
damages from the Company from sales of loans receivable within a specific periodin events the buyer did not have lawful title over loans receivable or loan
agreements are not legal as specified in the agreement. However, the Company
believed that such damage was not significant, therefore, the Company had notrecorded such claim in the financial statements for the three-month and six-month
periods ended August 31, 2023.
In addition, under the Asset Sale and Purchase Agreement, if the buyer wishedto sell or transfer loan to a third-party, the buyer shall get written approval fromthe Company. In addition, a third-party shall comply all terms and conditions of
the agreement, by entering into the Accession Agreement in form determined by
the Company.

28.7

On July 31, 2023, the Company sold written-off receivables under loan agreements
and credit card agreements by a bidding process to an unrelated local company(the “buyer”) with the purchase price of Baht 30.60 million. On the same date, theCompany entered into the “Asset Sale and Purchase Agreement” with the buyer. The
agreement set out the conditions and terms in respect of the sales, assignment andconveyance of the Company’s rights, title, claim, obligation, liability and interestin the written-off receivables under loan agreements and credit card agreements.
On July 31, 2023, which is the closing date as specified in the agreement, theCompany received the initial payment of Baht 9.18 million. The buyer has agreed
to pay the remaining amount of purchase price amounting to Baht 21.42 million in
2 installments of Baht 10.71 million per each and last installment will be on
September 29, 2023. The Company has already recognized gain on sale of written-off
receivables totaling Baht 30.60 million in the consolidated and separate statements ofprofit or loss for the three-month and six-month periods ended August 31, 2023,
and recorded outstanding receivables of Baht 10.71 million as other receivables in the
consolidated and separate statements of financial positions as at August 31, 2023.

- 42 Under the Asset Sale and Purchase Agreement, the buyer was entitled to claim
damages from the Company from sales of loans receivable within a specific periodin events the buyer did not have lawful title over loans receivable or loan
agreements are not legal as specified in the agreement. However, the Company
believed that such damage was not significant, therefore, the Company had notrecorded such claim in the financial statements for the three-month and six-month
periods ended August 31, 2023.
In addition, under the Asset Sale and Purchase Agreement, if the buyer wishedto sell or transfer loan to a third-party, the buyer shall get written approval fromthe Company. In addition, a third-party shall comply all terms and conditions of
the agreement, by entering into the Accession Agreement in form determined by
the Company.
28.8

On July 31, 2023, the Company sold written-off receivables under loan agreements
and credit card agreements by a bidding process to an unrelated local company(the “buyer”) with the purchase price of Baht 26.72 million. On the same date, theCompany entered into the “Asset Sale and Purchase Agreement” with the buyer. The
agreement set out the conditions and terms in respect of the sales, assignment andconveyance of the Company’s rights, title, claim, obligation, liability and interestin the written-off receivables under loan agreements and credit card agreements.
On July 31, 2023, which is the closing date as specified in the agreement, theCompany received the initial payment of Baht 4.47 million. The buyer has agreed
to pay the remaining amount of purchase price amounting to Baht 22.25 million in
5 installments of Baht 4.45 million per each and last installment will be on
December 29, 2023. The Company has already recognized gain on sale of written-off
receivables totaling Baht 26.72 million in the consolidated and separate statements ofprofit or loss for the three-month and six-month periods ended August 31, 2023, andrecorded outstanding receivables of Baht 17.80 million as other receivables in the
consolidated and separate statements of financial positions as at August 31, 2023.
Under the Asset Sale and Purchase Agreement, the buyer was entitled to claim
damages from the Company from sales of loans receivable within a specific periodin events the buyer did not have lawful title over loans receivable or loan
agreements are not legal as specified in the agreement. However, the Company
believed that such damage was not significant, therefore, the Company had notrecorded such claim in the financial statements for the three-month and six-month
periods ended August 31, 2023.
In addition, under the Asset Sale and Purchase Agreement, if the buyer wishedto sell or transfer loan to a third-party, the buyer shall get written approval fromthe Company. In addition, a third-party shall comply all terms and conditions of
the agreement, by entering into the Accession Agreement in form determined by
the Company.

- 43 29.

EVENT AFTER THE REPORTING PERIOD

On August 9, 2023, the Board of Directors’ Meeting of the Company had a resolution toapprove AEON Asset Management (Thailand) Company Limited (the “Subsidiary”) to
increase its registered share capital from Baht 25 million, divided into 250,000 shares atpar value of Baht 100, to Baht 100 million, divided into 1,000,000 shares at par value of
Baht 100, by issuance of 750,000 new ordinary shares at par value of Baht 100, totaling
Baht 75 million. Subsequently, on September 8, 2023, the Extraordinary General Meetingof Shareholders of the Subsidiary had a resolution to approve the increase of registered sharecapital. The Subsidiary has registered the increase of registered share capital with the
Department of Business Development, Ministry of Commerce on September 22, 2023.
30.

APPROVAL OF THE INTERIM FINANCIAL STATEMENTS

These interim financial statements were approved for issuance by the Company’s Boardof Directors on October 6, 2023.