Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Note

Contents

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32

General information
Basis of preparation of the financial statements
Significant accounting policies
Risk management
Fair value of financial instruments
Maintenance of capital fundClassification of financial assets and financial liabilities
Interbank and money market items, net (assets)
Derivatives
Investments, net
Loans to customers and accrued interest receivables, net
Allowance for expected credit loss
Leasehold building improvements and equipment, net
Deposits
Interbank and money market items (liabilities)
Provisions
Advance received from electronic payment
Offsetting of financial assets and financial liabilities
Legal reserves
Assets pledged as collateral and under restriction
Contingent liabilities
Related parties
Other benefits to directors and persons with managing authority
Financial position and results of operations classified by domestic and foreign business
Interest income
Interest expenses
Net fees and service (expenses) income
Net gains on financial instruments measured at fair value through profit or loss
Employee expenses(Reversal of) expected credit loss
Income tax
Event after reporting period11Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
These notes form an integral part of the financial statements.
The financial statements issued for Thai statutory and regulatory reporting purposes are prepared in Thai
language. These English language financial statement have been prepared from the Thai language
statutory financial statements, and were approved and authorised for issue by the Board of Directors of
the Bank on 27 June 2024.

1

General information
Sumitomo Mitsui Trust Bank (Thai) Public Company Limited (the “Bank”), is incorporated in Thailand
and has its registered office at 98, 32nd Floor, Sathorn Square Office Tower, North Sathorn Road, Silom,
Bangrak, Bangkok 10500.
The ultimate parent company during the year was Sumitomo Mitsui Trust Holding, Inc. and the immediate
parent company during the year was Sumitomo Mitsui Trust Bank, Limited (99.99% shareholding). Bothcompanies were incorporated in Japan.
The formation of the Bank was registered with Department of Business Development, Ministry ofCommerce on 7 July 2014.
The Bank obtained its banking license in Thailand on 14 August 2015, and commenced operating as acommercial bank business on 28 October 2015.

2

Basis of preparation of the financial statements
The financial statements are prepared in accordance with Thai Financial Reporting Standards(“TFRSs”), guidelines promulgated by the Federation of Accounting Professions and applicable rules
and regulations of the Bank of Thailand (“BoT”); and presented as prescribed by the BoT notification
number Sor Nor Sor. 21/2561, directive dated 31 October 2018, regarding “The Preparation andAnnouncement of Financial Statements of a Commercial Bank and a Holding Company which is the
Parent Company of a Financial Group”. The financial statements are presented in Thai Baht, which is
the Bank’s functional currency. The accounting policies set out in note 3 have been applied consistently
to all periods presented in these financial statements.
The preparation of financial statements in conformity with TFRSs requires management to makejudgements, estimates and assumptions that affect the application of the Bank’s accounting policies.
Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an
ongoing basis. Revisions to accounting estimates are recognised prospectively.

3

Significant accounting policies(a)Foreign currencies
Transactions in foreign currencies including non-monetary assets and liabilities denominated in foreign
currencies are translated to the functional currency at exchange rates at the date of the transactions.
Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate at
the reporting date.
Foreign currency differences are generally recognised in profit or loss. However, foreign currency
differences arising from the translation of the following items are recognised in other comprehensive
income:12

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024-(b)

investments in equity instruments designated as at fair value through other comprehensive income(FVOCI)
qualifying cash flow hedge to the extent the hedge is effective.

Cash
Cash comprises cash on hand and cash on collection.

(c)Financial instruments(1)

Initial recognition and measurement
The Bank initially recognises financial assets or financial liabilities (including regular way purchase andsale of financial assets) on the transaction date, which is the date on which the Bank becomes the party
to the contractual provisions of the instrument, except for investments in debt instruments which arerecognised and derecognised on the trade date.
Financial assets and financial liabilities not measured at fair value through profit or loss are initiallymeasured at its fair value plus or minus transaction costs that are directly attributable to its acquisition
or issue of the financial assets or financial liabilities.

(2)

Classification and subsequent measurement
Classification of financial assets
On initial recognition, a financial asset is classified as measured at: amortised cost, fair value throughother comprehensive income (“FVOCI”) or fair value through profit or loss (“FVTPL”). The
classification is based on the cash flow characteristics of the financial asset and the business model inwhich they are managed.
A financial asset which is not designated as at FVTPL is measured at amortised cost if it meets both of
the following conditions:- the asset is held within a business model whose objective is to hold assets to collect contractual cash
flows; and- the contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.

-

A debt instrument which is not designated as at FVTPL is measured at FVOCI only if it meets bothof the following conditions:the asset is held within a business model whose objective is achieved by both collecting contractual
cash flows and selling financial assets; andthe contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.

All other financial assets are classified as measured at FVTPL.
On initial recognition of an investment in an equity investment that is not held for trading, the Bank may
irrevocably elect to present subsequent changes in fair value in OCI. This election is made on an
instrument-by-instrument basis.
On initial recognition, the Bank may irrevocably designate a financial asset that otherwise meets therequirements to be measured at amortised cost or at FVOCI as measured at FVTPL if doing so eliminatesor significantly reduces an accounting mismatch that would otherwise arise.
13

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Business model assessment
The Bank makes an assessment of the objective of a business model in which an asset is held at a
portfolio level because this best reflects the way the business is managed and information is provided to
management. The information considered includes:- the stated policies and objectives for the portfolio and the operation of those policies in practice. In
particular, whether management’s strategy focuses on earning contractual interest income,maintaining a particular interest rate profile, matching the duration of the financial assets to theduration of the liabilities that are funding those assets or realising cash flows through the sale of theassets;- how the performance of the portfolio is evaluated and reported to the Bank’s management;- the risks that affect the performance of the business model (and the financial assets held within thatbusiness model) and the way in which those risks are managed;- how managers of the business are compensated (e.g. whether compensation is based on the fairvalue of the assets managed or on contractual cash flows collected); and- frequency, value and timing of sales in prior year, the reasons for those sales and expectations about
future sales activity. However, information about sales is not considered in isolation, but as part ofan overall assessment of how the Bank’s stated objective for managing the financial assets isachieved and how cash flows are realised.
Financial assets that are held for trading or managed and whose performance is evaluated on a fair value
basis are measured at FVTPL because they are neither held to collect contractual cash flows nor held
both to collect contractual cash flows and to sell financial assets.

Assessment of whether contractual cash flows are solely payments of principal and interest on theprincipal amount outstanding
For the purposes of this assessment, ‘principal’ is defined as the fair value of the financial asset on initialrecognition. ‘Interest’ is defined as consideration for the time value of money, credit risk, other basic
lending risks (e.g. liquidity risk) and costs (e.g. administrative costs), as well as profit margin associatedwith holding the financial assets for a particular period of time.
In assessing whether the contractual cash flows are solely payment of principal and interest on theprincipal amount outstanding, the Bank considers the contractual terms of the instrument. This includes
assessing whether the financial asset contains a contractual term that could change the timing or amountof contractual cash flows such that it would not meet this condition. In making the assessment, the Bank
considers:- contingent events that would change the amount and timing of cash flows;- leverage features;- terms that limit the Bank’s claim to cash flows from specified assets (e.g. non-recourse loans); and- features that modify consideration of the time value of money (e.g. periodical reset of interest rates).

14

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Subsequent measurement and gains and losses of financial assets
Financial assets
measured atamortised cost

These assets are subsequently measured at amortised cost using the effective
interest method. The amortised cost is reduced by expected credit losses.
Interest income, foreign exchange gains and losses, expected credit loss,
gain or loss on derecognition are recognised in profit or loss.
Investment in debt These assets are subsequently measured at fair value. Interest income,instruments
calculated using the effective interest method, foreign exchange gains andmeasured atlosses and expected credit loss are recognised in profit or loss. Other net
FVOCI
gains and losses are recognised in OCI. On derecognition, gains and losses
accumulated in OCI are reclassified to profit or loss.
Investment in equity These assets are subsequently measured at fair value. Dividends are
instruments
recognised as income in profit or loss on the date on which the Bank’s rightdesignated at
to receive payment is established. Other net gains and losses are recognised
FVOCI
in OCI and are never reclassified to profit or loss.

Reclassifications
Financial assets are not reclassified subsequent to their initial recognition unless the Bank changes its
business model for managing financial assets, in which case all affected financial assets are reclassified
prospectively from the reclassification date.

Modifications of financial assets
If the terms of a financial asset are modified, then the Bank evaluates whether the cash flows of themodified asset are substantially different.
If the cash flows are substantially different, then the contractual rights to cash flows from the original
financial asset are deemed to have expired. In this case, the original financial asset is derecognised anda new financial asset is recognised at fair value plus any eligible transaction costs. Any fees received aspart of the modification are accounted for as follows:- fees that are considered in determining the fair value of the new asset and fees that represent
reimbursement of eligible transaction costs are included in the initial measurement of the asset; and- other fees are included in profit or loss as part of the gain or loss on derecognition.
If cash flows are modified when the borrower is in financial difficulties, then the objective of themodification is usually to maximise recovery of the original contractual terms rather than to originate a
new asset with substantially different terms. If the Bank plans to modify a financial asset in a way thatwould result in forgiveness of cash flows, then it first considers whether a portion of the asset should be
written off before the modification takes place. This approach impacts the result of the quantitativeevaluation and means that the derecognition criteria are not usually met in such cases.
If the modification of a financial asset measured at amortised cost or FVOCI does not result inderecognition of the financial asset, then the Bank first recalculates the gross carrying amount of thefinancial asset using the original effective interest rate of the asset and recognises the resulting
adjustment as a modification gain or loss in profit or loss. For floating-rate financial assets, the original
effective interest rate used to calculate the modification gain or loss is adjusted to reflect current market
terms at the time of the modification. Any costs or fees incurred and fees received as part of themodification adjust the gross carrying amount of the modified financial asset and are amortised over theremaining term of the modified financial asset.
If such a modification is carried out because of financial difficulties of the borrower then the gain orloss is presented together with expected credit loss. In other cases, it is presented as interest income
calculated using the effective interest rate method.
15

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Financial guarantee contracts held
The Bank assesses whether a financial guarantee contract held is an integral element of a financial asset
that is accounted for separately. The factors that the Bank considers when making this assessment
include whether:- the guarantee is implicitly part of the contractual terms of the debt instrument;- the guarantee is required by laws and regulations that govern the contract of the debt instrument;- the guarantee is entered into at the same time as and in contemplation of the debt instrument; and- the guarantee is given by the parent of the borrower or another company within the borrower’s
group.
If the Bank determines that the guarantee is an integral element of the financial asset, then any premium
payable in connection with the initial recognition of the financial asset is treated as a transaction cost of
acquiring it. The Bank considers the effect of the protection when measuring the fair value of the debt
instrument and when measuring expected credit losses (“ECL”).
If the Bank determines that the guarantee is not an integral element of the financial asset, then it
recognises an asset representing any prepayment of guarantee premium and a right to compensation for
credit losses. A prepaid premium asset is recognised only if the guaranteed exposure neither is creditimpaired nor has undergone a significant increase in credit risk when the guarantee is acquired. Theseassets are recognised in “other assets”. The Bank presents gains or losses on a compensation right inprofit or loss in the line item “expected credit loss”.

Classification, measurement and gains and losses of financial liabilities
On initial recognition, financial liabilities, except undrawn loan commitments and financial guarantee
contracts, are classified and measured at amortised cost using the effective interest method. Interest
expense and foreign exchange gains and losses are recognised in profit or loss. Any gain or loss onderecognition is also recognised in profit or loss.

Modifications of financial liabilities
The Bank derecognises a financial liability when its terms are modified and the cash flows of themodified liability are substantially different. In this case, a new financial liability based on the modified
terms is recognised at fair value. The difference between the carrying amount of the financial liability
derecognised and consideration paid is recognised in profit or loss. The consideration paid includes any
assets transferred and new liabilities assumed.
If the modification of a financial liability is not accounted for derecognition, then the amortised cost of
the liability is recalculated by discounting the modified cash flows at the original effective interest rate
and the resulting gain or loss is recognised in profit or loss. For floating-rate financial liabilities, theoriginal effective interest rate used to calculate the modification gain or loss is adjusted to reflect current
market terms at the time of the modification. Any costs and fees incurred are recognised as an adjustment
to the carrying amount of the liability and amortised over the remaining term of the modified financial
liability by re-computing the effective interest rate on the instrument.

16

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024(3)

Derecognition and offsetting
Derecognition of financial assets
The Bank derecognises a financial asset when the contractual rights to receive the cash flows from thefinancial asset expire, or it transfers the rights to receive the contractual cash flows in a transaction inwhich substantially all of the risks and rewards of ownership of the financial asset are transferred or inwhich the Bank neither transfers nor retains substantially all of the risks and rewards of ownership andit does not retain control of the financial asset.
On derecognition of a financial asset, the difference between the carrying amount of the asset (or the
carrying amount allocated to the portion of the asset derecognised) and the sum of (i) the consideration
received (including any new asset obtained less any new liability assumed) and (ii) any cumulative gainor loss that had been recognised in OCI is recognised in profit or loss.
Any cumulative gain or loss recognised in OCI in respect of equity investment securities designated as
at FVOCI is not recognised in profit or loss on derecognition of such securities. Any interest intransferred financial assets that qualify for derecognition that is created or retained by the Bank is
recognised as a separate asset or liability.
The Bank enters into transactions whereby it transfers assets recognised on its statement of financial
position, but retains either all or substantially all of the risks and rewards of the transferred assets or a
portion of them. In such cases, the transferred assets are not derecognised. Examples of such transactions
are securities lending or sale under sale-and-repurchase agreements.

Derecognition of financial liabilities
The Bank derecognises a financial liability when its contractual obligations are discharged, cancelled or
expired. The Bank also derecognise a financial liability when its terms are modified and the cash flowsof the modified liability are substantially different, in which case a new financial liability based on themodified terms is recognised at fair value.
The difference between the carrying amount extinguished and the consideration received or paid isrecognised in profit or loss.

Offsetting
Financial assets and financial liabilities are offset and the net amount is reported in the statement offinancial position when the Bank has a legally enforceable right to set off the recognised amounts andthe Bank intends either to settle them on a net basis or to realise the asset and settle the liability
simultaneously.

17

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
(4)

Securities purchased under reverse sale-and-repurchase agreements/ Securities sold under sale-andrepurchase agreements
The Bank enters into agreements to purchase securities or to sell securities back at certain dates in the
future at fixed prices. Amounts paid for securities purchased subject to a resale commitment arepresented as assets under the caption of “Interbank and money market items, net (assets)” or “Loans tocustomers”, depending upon the type of its counterparty, in the statements of financial position, and theunderlying securities are treated as collateral to such receivables. Securities sold subject to repurchasecommitments are presented as liabilities under the caption of “Interbank and money market items(liabilities)” or “Debt issued and borrowings”, depending upon the type of its counterparty, in thestatements of financial position, at the amounts received from the sale of those securities, and theunderlying securities are treated as collateral. The difference between the purchase and saleconsiderations is recognised as interest income or expenses, as the case may be, over the transaction
periods.

(5)

Derivatives
Derivative are recognised at fair value and remeasured at fair value at each reporting date. The gain orloss on remeasurement to fair value is recognised immediately in profit or loss.

(6)

Hedging
At inception of designated hedging relationships, the Bank documents the risk management objective
and strategy for undertaking the risk, the economic relationship between the hedged item and thehedging instrument, including consideration of the hedge effectiveness at the inception of the hedging
relationship and throughout the remaining period to determine the existence of economic relationshipbetween the hedged item and the hedging instrument.

Fair value hedge
When a derivative is designated as the hedging instrument in the change in fair value of a recognised
asset or liability that could affect profit or loss, changes in the fair value of the derivative are recognised
immediately in profit or loss. The change in fair value of the hedged item attributable to the hedged risk
is recognised in profit or loss. If the hedged item would otherwise be measured at cost or amortised cost,then its carrying amount is adjusted accordingly.
The Bank designates only the change in fair value of the spot element of forward exchange contracts as
the hedging instrument in hedging relationships. The change in fair value of the forward element offorward exchange contracts (forward points) is recognised as cost of hedge and accumulated separately
in other reserves within equity.
The amount accumulated for cost of hedge is reclassified to profit or loss in the same period or periods
during which the hedged items affect profit or loss.
If the hedged item is derecognised, then the adjustment is recognised immediately in profit or loss when
the item is derecognised.

(d)Leasehold building improvements and equipment
Leasehold building improvements and equipment are measured at cost less accumulated depreciationand impairment losses.
Cost includes expenditure that is directly attributable to the acquisition of the asset. Purchased softwarethat is integral to the functionality of the related equipment is capitalised as part of that equipment.
18

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Differences between the proceeds from disposal and the carrying amount of leasehold building
improvements and equipment are recognised in profit or loss.

Depreciation
Depreciation is calculated on a straight-line basis over the estimated useful lives of each component ofan asset and recognised in profit or loss. No depreciation is provided on assets under installation.
The estimated useful lives are as follows:
Leasehold improvement and system structure
Furniture and office equipment
Vehicles(e)Over the lease term
5 years
5 years

LeasesAt inception of a contract, the Bank assesses whether a contract is, or contains, a lease when it conveys
the right to control the use of an identified asset for a period of time in exchange for consideration.

As a lessee
At commencement of a contract, the Bank allocates the consideration in the contract to each lease
component on the basis of its relative stand-alone price.
The Bank recognises a right-of-use asset and a lease liability at the lease commencement date, except
for leases of low-value assets and short-term leases which is recognised as an expense on a straight-line
basis over the lease term.
Right-of-use asset is measured at cost, less any accumulated depreciation and impairment loses, andadjusted for any remeasurements of lease liabilities. The cost of right-of-use asset includes the initialamount of the lease liability adjusted for any prepaid lease payments, plus any initial direct costs
incurred and an estimate of restoration costs, less any lease incentives received. Right-of-use assets arepresented as parts of leasehold building improvements and equipment in the statement of financial
position. Depreciation is charged to profit or loss on a straight-line method from the commencement
date to the end of the lease term.
The lease liability is initially measured at the present value of all lease payments that shall be paid under
the lease. The Bank uses the Bank’s incremental borrowing rate to discount the lease payments to thepresent value. The Bank determines its incremental borrowing rate by obtaining the interest rates frominternal source which reflect the term of the lease.
The lease liability is measured at amortised cost using the effective interest method. It is remeasured
when there is a lease modification. When the lease liability is remeasured, a corresponding adjustment
is made to the carrying amount of the right-of-use asset or is recorded in profit or loss if the carrying
amount of the right-of-use asset has been reduced to zero.

(f)Intangible assets
Intangible assets are measured at cost less accumulated amortisation and impairment losses. Subsequent
expenditure is capitalised only when it will generate the future economic benefits. Amortisation is
calculated on a straight-line basis over the estimated useful lives of intangible assets and recognised in
profit or loss. No amortisation is provided on assets under development.
The estimated useful lives are as follows:
Software licenses

5 - 1019

years

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024(g)

Impairment of financial assets

Significant estimates and judgements
The Bank’s expected credit loss (“ECL”) calculations are based on complex models with a series ofunderlying assumptions. The significant judgements and estimates in determining expected credit loss
include criteria for assessing if there has been a significant increase in credit risk and developmentof expected credit loss models, including the choice of inputs relating to macroeconomic variables.
The calculation of expected credit loss also involves expert credit judgement to be applied bymanagement based upon counterparty information they receive from various internal and external.
Expert credit judgement is also applied to determine whether any post-model adjustments are requiredfor credit risk elements which are not captured by the model under a “management overlay” framework,
such as identified model deficiencies, debtors’ risk concentration and other factors including industry
risks.

Measurement of ECL
ECLs are computed as unbiased, probability-weighted amounts which are determined by evaluating a
range of reasonably possible outcomes, the time value of money, and considering all reasonable andsupportable information. This includes forward-looking information.
ECLs are probability-weighted estimated of credit losses. They are measured as follows:• financial assets: as the present value of all cash shortfalls (i.e. the difference between the contractual
cash flows and the cash flows that the Bank expects to receive);• undrawn loan commitments: as the present value of the difference between the contractual cash
flows that are due to the Bank if the commitment is drawn down and the cash flows that the Bank
expects to receive if the loan is drawn down; and• financial guarantee contracts: the expected payments to reimburse the holder less any amounts thatthe Bank expects to recover.
Estimate of expected cash shortfalls is determined by multiplying the probability of default (“PD”) withpercentage of the loss given default (“LGD”) with the expected exposure at the time of default (“EAD”).
Forward-looking macroeconomic assumptions are incorporated into the PD, LGD and EAD where
relevant and where they have been identified to influence credit risk, such as GDP growth rates. Theseassumptions are determined using all reasonable and supportable information, which includes bothinternally developed forecasts and those available externally and are consistent with those used forfinancial and capital planning.
Multiple forward-looking scenarios are incorporated into the range of reasonably possible outcomes for
all material portfolios both in terms of determining the PD, LGD and EAD, where relevant, and in
determining the overall expected credit loss amounts.
The period over which cash shortfalls are determined is generally limited to the maximum contractual
period for which the Bank is exposed to credit risk.

Staging
For ECL recognition, financial assets are classified in any of the below 3 stages at each reporting dateby being assessed on individual basis. A financial asset can move between stages during its lifetime.
The stages are based on changes in credit quality since initial recognition and defined as follows:20

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024-

Stage 1: Financial assets that have not had a significant increase in credit risk (Performing)

Financial assets that have not had a significant increase in credit risk (“SICR”) since initial recognition(i.e. no Stage 2 or 3 triggers apply) or debt investment that considered to have low credit risk at eachreporting date with the exception of purchased or originated credit impaired (“POCI”) assets. The
allowance for ECL is 12-month ECL. 12-month ECL is the portion of lifetime ECL that result fromdefault events on a financial instrument that are possible within the 12 months after the reporting date.
-Stage 2: Financial assets that have a SICR (Under-performing)

When financial assets have a SICR since initial recognition, ECLs are recognised for possible default
events over the lifetime of the financial assets. SICR is assessed by using a number of quantitative andqualitative factors that are significant to the increase in credit risk. Financial assets that are more than
30 days or 1 month past due and not credit-impaired will always be considered to have experienced asignificant increase in credit risk.
Quantitative factors include an assessment of whether there has been a significant increase in the PD
since origination. Increase in PD is determined from economic conditions that are relating to changes incredit risk such as internal credit rating downgrade. If the changes exceed the thresholds, the financial
assets are considered to have experienced a significant increase in credit risk.
Qualitative factor assessments are part of current credit risk management processes, such as an
assessment of significant deterioration in the customers’ ability to repay. Qualitative indicators includes
operating results, financial liquidity and other reliable indicators.
Financial assets can be transferred to Stage 1 in case they have proven that their ability to repay are backto normal.
-

Stage 3: Financial assets that are credit-impaired (Non-performing)

Financial assets that are credit-impaired or in default represent those that are more than 90 days or
3 month past due in respect of principal and/or interest. Financial assets are also considered to be creditimpaired where the customers are unlikely to repay on the occurrence of one or more observable events
that have a negative impact on the estimated future cash flows of the financial assets.
Evidence that financial assets are credit impaired includes observable data about the following events:- Significant financial difficulty of the issuer or borrower;- Breach of contract or a past due event;- It is becoming probable that the borrower will enter bankruptcy or other financial reorganisation;- The disappearance of an active market for the applicable financial asset due to financial difficultiesof the borrower; or- Purchase or origination of a financial asset at a significant discount that reflects incurred credit
losses.
Expected credit losses of credit-impaired financial assets are determined based on the difference
between the present value of the recoverable cash flows under a range of scenarios, including therealisation of any collateral held where appropriate, discounted at the financial assets’ effective interest
rate, and the gross carrying amount of the financial assets prior to any credit impairments.
Financial assets that are credit impaired require a lifetime provision.

21

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Improvement in credit risk
A period may elapse from the point at which instruments enter stage 2 or stage 3 and are reclassified
back to stage 1.
For financial assets that are credit-impaired (stage 3), and no debt restructured will transfer to stage 2 orstage 1 if it is considered that there is no more qualification as a financial asset with credit-impaired.
For financial assets within stage 2, these can only be transferred to stage 1 when they are no longer
considered to have experienced a significant increase in credit risk.
Where significant increase in credit risk was determined using quantitative measures, the instruments
will automatically transfer back to stage 1 when the original PD based transfer criteria are no longer
met. Where instruments were transferred to stage 2 due to an assessment of qualitative factors, the issues
that led to the reclassification must be cured before the instruments can be reclassified to stage 1. This
includes actions to be resolved before loans are reclassified to stage 1.
For debt restructuring receivables, exposures under stage 3 can transfer to stage 2 when the customer
performs under the revised terms of the contract for a longer of 3 consecutive months or 3 consecutive
payments. A further 9 months monitoring is required for such customers to be transferred to stage 1 on
the basis that there is no overdue balance in the account and the customer is expected to repay its all
remaining debts.
For debt restructuring receivables, exposures under stage 2 that were not previously credit impaired cantransfer to stage 1 when the customer performs under the revised terms of the contract for 3 consecutive
months or 3 consecutive payments, whichever is longer.

Write-offs of credit-impaired instruments and reverse of ECL
To the extent a financial instrument is considered irrecoverable, the applicable portion of the grosscarrying amount is written off against the related allowance for ECL. Such financial instruments are
written off after all the necessary procedures have been completed, it is decided that there is no realistic
probability of recovery and the amount of the loss has been determined. Subsequent recoveries ofamounts previously written off decrease the amount of ECL in the profit or loss.
If, in a subsequent period, the amount of the allowance for ECL decreases and the decrease can be
related objectively to an event occurring after the credit impairment was recognised, the previously
recognised ECL is reversed by adjusting the allowance for ECL. The amount of the reversal isrecognised in the profit or loss.

(h)Impairment of non-financial assets
The carrying amounts of the Bank’s assets are reviewed at each reporting date to determine whether
there is any indication of impairment. If any such indication exists, the assets’ recoverable amounts are
estimated.
An impairment loss is recognised in profit or loss if the carrying amount of an asset exceeds its
recoverable amount.
The recoverable amount is the greater of the asset’s value in use and fair value less costs to sell. In
assessing value in use, the estimated future cash flows are discounted to their present value using a pretax discount rate that reflects current market assessments of the time value of money and the risks
specific to the asset.
22Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Impairment losses of assets recognised in prior years is reversed if there has been a change in theestimates used to determine the recoverable amount. An impairment loss is reversed only to the extent
that the asset’s carrying amount does not exceed the carrying amount that would have been determined,
net of depreciation or amortisation, if no impairment loss had been recognised.

(i)

Employee benefits

Defined contribution plans
Obligations for contributions to the Bank’s provident funds are recognised as employee expenses in
profit or loss as the related service is provided.

Defined benefit plans
The Bank’s net obligation in respect of defined benefit plans is calculated by estimating the amount of
future benefit that employees have earned in the current and prior years. The defined benefit obligations
is discounted to the present value, which performed annually by a qualified actuary using the projected
unit credit method.
Remeasurements of the net defined benefit liability, actuarial gain or loss are recognised immediately
in other comprehensive income. The Bank determines the interest expense on the net defined benefit
liability for the period by applying the discount rate used to measure the defined benefit obligation at
the beginning of the period, taking into account any changes in the net defined benefit liability during
the period as a result of contributions and benefit payments. Net interest expense and other expenses
related to defined benefit plans are recognised in profit or loss.
When the benefits of a plan are changed or when a plan is curtailed, the resulting change in benefit that
relates to past service or the gain or loss on curtailment is recognised immediately in profit or loss. The
Bank recognises gains and losses on the settlement of a defined benefit plan when the settlement occurs.

Other long-term employee benefits
The Bank’s net obligation in respect of long-term employee benefits is the amount of future benefit that
employees have earned in return for their services in the current and prior years. That benefit is
discounted to determine its present value. Remeasurements are recognised in profit or loss in the year
in which they arise.

Termination benefits
Termination benefits are expensed at the earlier of when the Bank can no longer withdraw the offer of
those benefits and when the Bank recognises costs for a restructuring. If benefits are not expected to besettled wholly within 12 months of the end of the reporting year, then they are discounted.

Short-term employee benefits
Short-term employee benefits are expensed as the related service is provided. A liability is recognised
for the amount expected to be paid if the Bank has a present legal or constructive obligation to pay thisamount as a result of past service provided by the employee and the obligation can be estimated reliably.

23

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
(j)Provisions
A provision is recognised if, as a result of a past event, the Bank has a present legal or constructive
obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be
required to settle the obligations.

Allowance for expected credit losses on obligation having credit risk exposures
The Bank provides allowance for expected credit losses on undrawn loan commitments and financial
guarantee contracts by the same methods applied to allowance for expected credit losses as described innote 3 (g).

(k)

Measurement of fair values‘Fair value’ is the price that would be received to sell an asset or paid to transfer a liability in an orderlytransaction between market participants at the measurement date in the principal or, in its absence, themost advantageous market to which the Bank’s has access at that date. The fair value of a liability
reflects its non-performance risk.
When measuring the fair value of an asset or a liability, the Bank uses observable market data as far as
possible. Fair values are categorised into different levels in a fair value hierarchy based on the inputs
used in the valuation techniques as follows:
Level 1: quoted prices in active markets for identical assets or liabilities.
Level 2: inputs other than quoted prices included in Level 1 that are observable for the asset or
liability, either directly or indirectly.
Level 3: inputs for the asset or liability that are based on unobservable input.
The Bank recognises transfers between levels of the fair value hierarchy at the end of the reporting year
during which the change has occurred.
If an asset or a liability measured at fair value has a bid price and an ask price, then the Bank measuresassets and asset positions at a bid price and liabilities and liability positions at an ask price.
The best evidence of the fair value of a financial instrument on initial recognition is normally thetransaction price - i.e. the fair value of the consideration given or received. If the Bank determines thatthe fair value of a financial instrument on initial recognition differs from the transaction price, thefinancial instrument is initially measured at fair value, adjusted for the difference between the fair value
on initial recognition and the transaction price and the difference is recognised in profit or loss
immediately. However, for the fair value categorised as level 3, such difference is deferred and will berecognised in profit or loss on an appropriate basis over the life of the financial instrument or until thefair value level is transferred or the transaction is closed out.

(l)Interest

Effective interest rate
Interest income and interest expense are recognised in profit or loss using the effective interest method.
The ‘effective interest rate’ is the rate that exactly discounts estimated future cash payments or receipts
through the expected life of the financial instrument to the gross carrying amount of the financial asset
or the amortised cost of the financial liability.
When calculating the effective interest rate for financial instruments other than purchased or originatedcredit-impaired assets, the Bank estimates future cash flows considering all contractual terms of thefinancial instrument, but not allowance for expected credit loss.
24

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
The calculation of the effective interest rate includes transaction costs and fees that are an integral partof the effective interest rate. Transaction costs include incremental costs that are directly attributable tothe acquisition or issue of a financial asset or financial liability.
The amortised cost of a financial asset or a financial liability is the amount at which the financial asset
or financial liability is measured on initial recognition minus the principal repayments, plus or minus
the cumulative amortisation using the effective interest method of any difference between that initialamount and the maturity amount and, for financial assets, adjusted for any allowance for expected credit
loss.
The gross carrying amount of a financial asset is the amortised cost of a financial asset before adjusting
for any allowance for expected credit loss.

Calculation of interest income and interest expense
The effective interest rate of a financial asset or a financial liability is calculated on initial recognitionof a financial asset or a financial liability. In calculating interest income and interest expense, theeffective interest rate is applied to the gross carrying amount of the asset (when the asset is not creditimpaired) or to the amortised cost of the liability. The effective interest rate is revised as a result of
periodic re-estimation of cash flows of floating rate instruments to reflect movements in market rates ofinterest. The effective interest rate is also revised for fair value hedge adjustments at the dateamortisation of the hedge adjustment begins.
However, for financial assets that are not purchased or originated credit-impaired financial assets but
subsequently have become credit-impaired financial assets, interest income is calculated by applying
the effective interest rate to the amortised cost of the financial asset. If the asset is no longer creditimpaired, then the calculation of interest income reverts to the gross basis of assets.

(m)

Fees and service income
Fees and service income are recognised when a customer obtains control of the service in an amountthat reflects the consideration to which the Bank expects to be entitled, excluding those amounts
collected on behalf of third parties and value added tax. Judgement is required in determining the timingof the transfer of control for revenue recognition at a point in time or over time. The related costs arerecognised in profit or loss when they are incurred.

(n)

Net gains (losses) on financial instruments measured at FVTPL
Net gains (losses) on financial instruments measured at FVTPL comprises gains less losses related to
trading assets and liabilities, and includes all fair value changes, interest, dividends and foreign exchange
differences.

(o)Contributions to the Deposit Protection Agency and Financial Institutions Development FundContributions to the Deposit Protection Agency and Financial Institutions Development Fund arerecorded as expenses on an accrual basis.

(p)

Income tax
Income tax expense for the year comprises current and deferred tax, which is recognised in profit or loss
except to the extent that items recognised directly in equity or in other comprehensive income.

25

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Current tax is recognised in respect of the taxable income or loss for the year, using tax rates enacted or
substantively enacted at the reporting date, and any adjustment to tax payable in respect of previous
years.
Deferred tax is recognised in respect of temporary differences between the carrying amounts of assets
and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax
is not recognised for the temporary differences: the initial recognition of assets or liabilities ina transaction that is not a business combination and that affects neither accounting nor taxable profit orloss.
The measurement of deferred tax reflects the tax consequences that would follow the manner in which
the Bank expects, at the end of the reporting period, to recover or settle the carrying amount of its assets
and liabilities, using tax rates enacted or substantively enacted at the reporting date. Current deferred
tax assets and liabilities are offset in the financial statements.
A deferred tax asset is recognised to the extent that it is probable that future taxable profits will beavailable against which the temporary differences can be utilised. Deferred tax assets are reviewed ateach reporting date and reduced to the extent that it is no longer probable that the related tax benefit
will be realised.

(q)

Earnings per share
Earnings per share is calculated by dividing the profit attributable to ordinary shareholders of the Bankby the number of ordinary shares outstanding during the year.

4

Risk management
Risk management policies
The Bank is exposed to normal business risks from changes in market interest rates, non-performance ofcontractual obligations by counterparties and lack of funding.

4.1

Credit risk
Credit risk is the risk of financial loss of the Bank when a customer or counterparty fails to meet its
contractual obligations, and such risk is generated from claims, mainly loans, and investments. Credit
risk is the most basic financial risk related to a credit creating function. The Bank continuously
diversifies its credit portfolios and builds up a stronger customer base by expanding its credit risk
management framework further, and by meeting a new and sound demand for credit.

Credit risk policy
The basic policy of the Bank on credit risk management calls for “Risk Management Policy”.
The Bank manages credit exposures of each customer based on limited credit amount, and periodicallyreviews impacts of identified risks to large and particular debtors and concentration in industry sectors,
including the measurement of the credit risk.
The Bank manages individual credits through processes such as internal credit ratings. Credit ratings
indicate the credit status of debtor and the possibility of default on a scale, and provide the basis for
credit screening of individual transactions and credit portfolio management. The Bank evaluatessolvency and collectability of credits based on the analysis, for instance the customer’s financial
condition, cash flow, and revenue-generating capacity.
26

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Credit risk management framework
The Bank’s board of directors decides on important matters related to credit risk management whendeveloping management plans. The board of directors also decides on credit strategy and capital plan,
and approves asset classification policy, to ensure the soundness of the assets. As for screening andcredit management of each case, the Global Credit Supervision Department of the parent company
provides prior consultation to Credit Department. Furthermore, the Research Department of the parent
company also provides consultation to evaluate internal credit ratings based on industry research andcredit analysis of individual companies along with performing quantitative analysis.

Credit approval process
In managing credit risk, the Bank segregates the roles and responsibilities of the credit marketing
function from the credit granting function to ensure proper checks and balance. Individual credit risk isanalysed and assessed by experienced credit officers and approved by an appropriate authority
depending on the size and risk levels of credit requested.
The Bank has contingent liabilities by issuing letters of credit for its customers. Such contingent
transaction activities require assessment on financial condition of customers and also makes a standardpractice to set conditions to mitigate the elements of risk in the same manner as for direct lending
procedures.

Credit review
The Audit unit, independent unit, is responsible for performing the assessments and making
recommendations to improve the adequacy and effectiveness of credit-related processes and the risk
management processes. Moreover, the Independent Credit Review (ICR) team performs individual
credit reviews to ensure that the credit process and account administration are effectively conducted inaccordance with policies and procedures, and in compliance with the regulatory requirements.

Credit quality analysis
The following tables set out information about the credit quality as at 31 March 2024 and 2023 without
taking into account collateral or other credit enhancement.
2024
Stage 1

Interbank and money market items (asset)
Low risk
Total
Less allowance for expected credit loss
Net
Investments in debt instruments measured
at FVOCI
Low risk
Gross carrying amount
Carrying amount - fair value
Allowance for expected credit loss

ExcessStage 2
reserve(in thousand Baht)

Total

13,766,628
13,766,628(8,560)13,758,068--

13,766,628
13,766,628(8,560)13,758,068

15,839,911
15,839,911--

15,839,911
15,839,911

15,724,197(16,667)--

15,724,197(16,667)27

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
2024Stage 1

ExcessStage 2
reserve(in thousand Baht)

Total

Loans to customers and accrued interest
receivables and undue interest receivables
Low riskMedium risk
Total
Less allowance for expected credit loss
Net

84,334,370
862,528
85,196,898(285,806)
84,911,092

495,118
495,118(9,557)
485,561(67,430)(67,430)

84,334,370
1,357,646
85,692,016(362,793)
85,329,223

Undrawn loan commitments andfinancial guarantee contracts
Committed unused credit line
Financial guarantee contracts
Allowance for expected credit loss

12,265,080
186,369(53,908)2,750,000(16,826)-

15,015,080
186,369(70,734)

2023
Stage 1

ExcessStage 2
reserve(in thousand Baht)

Total

Interbank and money market items (asset)
Low risk
Total
Less allowance for expected credit loss
Net

22,761,575
22,761,575(22,423)
22,739,152--

22,761,575
22,761,575(22,423)
22,739,152

Investments in debt instruments measured
at FVOCI
Low risk
Gross carrying amount
Carrying amount - fair value
Allowance for expected credit loss

12,688,407
12,688,407
12,532,323(12,598)--

12,688,407
12,688,407
12,532,323(12,598)

Loans to customers and accrued interest
receivables and undue interest receivables
Low riskMedium risk
Total
Less allowance for expected credit loss
Net

78,535,060
1,424,107
79,959,167(282,914)
79,676,253

350,018
571,613921,631(22,252)
899,379(134,860)(134,860)

78,885,078
1,995,720
80,880,798(440,026)
80,440,772

Undrawn loan commitments andfinancial guarantee contracts
Committed unused credit line
Financial guarantee contracts
Allowance for expected credit loss

10,971,027
141,917(46,487)

1,000,000(1,818)-

11,971,027
141,917(48,305)28

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Collateral held and other credit enhancements
The Bank holds collateral and other credit enhancements against certain of its credit exposures. Upon
granting credit decision, the Bank assesses the loss given default, which is dependent on loan to value(LTV) ratio. The collateral value used for deriving LTV ratio is weighted by the expected loss fromexecution and public auction, which varies based on risk of each collateral type. The appraisal value ofcollateral is reviewed in accordance to risk of each collateral type to ensure that the value is the most
up-to-date. In addition, in case there is no collateral or the collateral does not cover exposures, the Bank
still has other credit enhancements such as letter of guarantee to mitigate the risk of credit exposures.

Concentrations of credit risk
The Bank monitors concentrations of credit risk by sector. An analysis of concentrations of credit risk
as at 31 March 2024 and 2023 is shown below.

Interbankand money
marketitems(asset)Concentrations by sector
Corporate customers
Manufacturing andcommerce
Real estate andconstruction
Infrastructure andservices
Financial service
activities
OthersFinancial institutions
Government andstate enterprises
6,136,501
Commercial banks
6,249,656
Other financial
institutions
1,380,471
Total
13,766,628

Investments
in debt
instruments*

2024
Loans tocustomers
and accrued
interest
receivables
and undue
Undrawninterest
loan
receivables
commitments(in thousand Baht)

Financialguarantee
contracts-

22,053,550

5,508,080--

3,349,568

3,597,000

186,369-

13,339,739

1,000,000--

42,721,033
4,228,126

2,160,000
2,750,000-

15,839,911
-

-

-

-

15,839,911

85,692,016

15,015,080

186,36929

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024

Interbankand money
marketitems(asset)Concentrations by sector
Corporate customers
Manufacturing andcommerce
Real estate andconstruction
Infrastructure andservices
Financial service
activities
OthersFinancial institutions
Government andstate enterprises
6,993,448
Commercial banks
14,087,992
Other financial
institutions
1,680,135
Total
22,761,575*

Investments
in debt
instruments*

2023
Loans tocustomers
and accrued
interest
receivables
and undue
Undrawninterest
loan
receivables
commitments(in thousand Baht)

Financialguarantee
contracts-

20,651,819

5,731,482--

3,754,220

3,107,000

141,917-

12,516,210

1,027,545--

38,699,223
5,259,326

1,355,000
750,000-

12,688,407
-

-

-

-

12,688,407

80,880,798

11,971,027

141,917Gross carrying amountInformation related to ECL

Significant increase in credit risk (SICR)
When determining whether the probability of default on a financial instrument has increased significantly
since initial recognition, the Bank considers reasonable and supportable information that is relevant andavailable without undue cost or effort. This includes both quantitative and qualitative information andanalysis, based on the Bank’s historical experience and expert credit assessment and including forwardlooking information.

Definition of default
The Bank considers a financial asset to be in default when the borrower is unlikely to pay its credit
obligations to the Bank in full, without recourse by the Bank to actions such as realising security (if any
is held).
In assessing whether a borrower is in default, the Bank considers indicators that are:- quantitative e.g., the borrower is more than 90 days or 3 months past due on any material credit
obligation to the Bank. Overdrafts are considered as being past due once the customer has breachedan advised limit or been advised of a limit smaller than the current amount outstanding: and- qualitative e.g., it is becoming probable that the borrower will enter into debt restructure as a resultof bankruptcy due to the borrower’s inability to pay its credit obligations.

30

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Inputs into the assessment of whether a financial instrument is in default and their significance may vary
ever time to reflect changes in circumstances. The definition of default applied by the Bank largely
aligns with the BoT criteria.
Credit risk grades
The Bank allocates each exposure to a credit risk grade based on a variety of data that is determined to
be predictive of the risk of default and applying experienced credit judgement.
Each exposure is allocated to a credit risk grade on initial recognition based on available information
about the borrower. Exposures are subject to ongoing monitoring, which may result in an exposure being
moved to a different credit risk grade. The monitoring typically involves use of the following data.
- Information obtained during periodic review of customer files - e.g. audited financial statements,
management accounts, budgets and projections. Examples of areas of particular focus are grossprofit margins, financial leverage ratios, debt service coverage, compliance with covenants, qualityof management, senior management changes- Data from credit reference agencies, press articles, changes in external credit ratings- Quoted bond and credit default swap (CDS) prices for the borrower where available- Actual and expected significant changes in the political, regulatory and technological environmentof the borrower or in its business activities

Probability of default
Credit risk grades are a primary input into the determination of the probability of default. The Bank hascollected repayment performance data of each receivable. For some portfolios, information purchasedfrom external credit reference agencies might be also used.
The Bank employs statistical models to analyse the data collected and generate estimates of theremaining lifetime PD of exposures. Then, the Bank uses the PD to estimate ECL.

Incorporation of forward-looking information
The Bank applies forward-looking factor into the calculation of allowance for expected credit loss.
Periodically, the Bank carries out stress testing to calibrate its determination of the significant upsideand downside representative scenarios. A comprehensive review is performed at least annually on thedesign of the scenarios.
The Bank has considered key drivers of credit risk and credit losses for each portfolio of financial
instruments and, using an analysis of historical data, has estimated relationships between macroeconomic variables, credit risk, and credit losses.
The key driver for credit risk is GDP growth.

Management Overlay
The Bank calculated the ECL based on the model. However, management overlay was considered when
underlying assumptions or data used to estimate ECLs do not reflect current circumstances, events orconditions of the Bank at the reporting date as post-model adjustments.

31

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
4.2

Liquidity risk
Liquidity risk is the risk of financial loss to the Bank when the Bank fails to raise necessary funds or isforced to raise funds at significantly higher interest rates.

Risk management policy on liquidity risk
With regard to liquidity risk, the Bank designs and implements a policy to build up a risk management
framework for liquidity risk, recognising that financial difficulties due to exposure to such risk could
possibly lead the Bank directly to bankruptcy under certain circumstances.

Risk management framework and approaches for liquidity risk
Risk management department determines the extent of the Bank’s liquidity deficiency appropriately incooperation with the treasury department, while gathering and analysing information related to both theinternal environment, such as the Bank’s risk profiles, and external environment, such as economic
circumstances or market conditions, based on the ALM plan approved by the board of directors.
To reduce liquidity risk, treasury department manages cash flow within the predetermined appropriate
limits, and monitor its compliance.
The Bank will disclose the Liquidity Coverage Ratio (LCR) information the BoT notification number
Sor Nor Sor 2/2561 date 25 January 2018, regarding to Liquidity coverage ratio disclosure standards asfollows:
Location of disclosure
Disclosure period requirement
Lasted information as at

The Bank’ website at www.smtb.jp/smtbthai/Within 4 months after the year end date, as indicated in the BoT’s notification
30 September 2023

The disclosure for the year ended 31 March 2024 will be provided within 31 July 2024 on the Bank’s
website as noted above.

32

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
As at 31 March 2024 and 2023, the remaining period to maturity of significant financial assets and financial liabilities based on contractual maturity is asfollows:
2024
Over 1 year
to 5 years
Over 5 years(in thousand Baht)

At callWithin1 yearFinancial assets
Cash
Interbank and money market items (1)Derivative assets
Investments, net
Loans to customers (1), (2)Accrued interest receivables and undue interest receivables
Other financial assets
Total financial assets

4,432,679
21,110,509
5,078
25,548,266

9,333,949
1,279,420
3,118,647
23,783,726
310,538
72,99037,899,270

12,605,550
35,462,454
48,068,004

5,038,954
5,038,954

20
8,987
9,007

20
13,766,628
1,279,420
15,733,184
85,395,643
315,616
72,990116,563,501

Financial liabilities
Deposits
Interbank and money market items
Derivatives liabilities
Other financial liabilities
Total financial liabilities

1,645,441
4,998
652,350
2,302,789

24,888,305
44,956,127
4,383
409,205
70,258,020

22,338,632
22,338,632--

26,533,746
67,299,757
4,383
1,061,555
94,899,441

Net liquidity gap

23,245,477(32,358,750)

25,729,372

5,038,954

9,007

21,664,060-

155,584

30,785--

186,369

Financial guarantee contracts(1)(2)

Before deducting allowance for expected credit loss
Exclude fair value adjustment in loans to customers

33

No
maturity

Total

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
2023
Over 1 year
to 5 years
Over 5 years(in thousand Baht)

At callWithin1 year4,903,338
22,016,754
1,270
10
26,921,372

17,858,237
838,636
1,494,459
12,802,101
223,764
51,19533,268,392

22,755
11,037,864
39,598,522
50,659,141

6,250,592
6,250,592

24
12,613
12,63724
22,761,575
861,391
12,544,936
80,667,969
225,034
51,205
117,112,134

Financial liabilities
Deposits
Interbank and money market items
Derivatives liabilities
Other financial liabilities
Total financial liabilities

707,322
1,888
609,995
1,319,205

30,216,074
33,293,708
235,179
378,610
64,123,571

83,00030,313,010
330,396,013--

31,006,396
63,608,606
235,179
988,608
95,838,789

Net liquidity gap

25,602,167(30,855,179)

20,263,128

6,250,592

12,637

21,273,345-

139,013

2,904

-

-

141,917

Financial assets
Cash
Interbank and money market items (1)Derivative assets
Investments, net
Loans to customers (1), (2)Accrued interest receivables and undue interest receivables
Other financial assets
Total financial assets

Financial guarantee contracts(1)(2)

Before deducting allowance for expected credit loss
Exclude fair value adjustment in loans to customers

34

No
maturity

Total

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Derivatives
The remaining periods to maturity of the notional amount of derivatives as at 31 March 2024 and 2023
are as follows:
Within1 year

Total

Foreign currency related
Foreign currency swap contracts

52,842,932-

52,842,932

Interest rate relatedInterest rate swap contracts
Total

685,543
53,528,475-

685,543
53,528,475

Within1 year4.3

2024
Over 1 year
to 5 years(in thousand Baht)

2023
Over 1 year
to 5 years(in thousand Baht)

Total

Foreign currency related
Foreign currency swap contracts

55,989,304-

55,989,304

Interest rate relatedInterest rate swap contracts
Total

1,800,000
57,789,304

641,057
641,057

2,441,057
58,430,361

Market risk
Market risk is the risk of financial loss of the Bank through changes in income and value of assets andliabilities held, including off-balance items, due to fluctuations in various market risk factors such as
interest rates and foreign exchange rates.

Risk management policy on market risk
In managing market risk, the Bank ensures the soundness of its business by appropriately controllingrisks, and strives to secure reasonable profits which correspond to strategic goals, the scale and natureof its operations, and risk profiles through an advanced risk management framework.

Risk management framework for market risk
The Bank’s board of directors resolves ALM plans and risk management plans as important mattersrelated to market risk under management plans. The ALM Committee resolves basic matters of ALM
plans and risk management plans related to market risk regarding bank-wide comprehensive risk
management for assets and liabilities.
The Risk Management Department is responsible for planning and implementing market risk
management. The role of the Risk Management Department includes measuring risk levels and profits
or losses and monitoring the status of market risks managed under ALM plans and status of compliancewith risk limits. The Risk Management Department reports its findings to the members of the ALM
Committee on a daily basis, and to ALM Committee as well as the board of directors periodically.

35

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Market risk management approach
The Bank uses sensitivity analysis to measure market risk for both foreign exchange rate risk and interest
rate risk.

(1)

Foreign exchange rate risk
Foreign exchange rate risk in the statements of financial position arises from the potential unfavourable
fluctuation in foreign exchange rates which causes a loss in the value of an asset or a liability
denominated in a foreign currency.
The Bank uses sensitivity analysis to measure and manage market risk for foreign exchange rate risk.
As at 31 March 2024 and 2023, the Bank has net open position assets (liabilities) denominated in the various
foreign currencies as follows:

Spot
Forward
Net position(2)

US Dollar

2024
Japanese
Yen(41,942,675)
42,687,672
744,997(7,275,727)
7,268,887(6,840)Euro
US Dollar(in thousand Baht)(2,597)(51,229,312)
51,466,424(2,597)
237,1122023
Japanese
YenEuro

30,575(63,480)(32,905)

48,732(6,603)42,129Interest rate risk
Interest rate risk in the statements of financial position arises from the potential for a change in interest
rates to have an effect on the interest income of the Bank in the current reporting year and future years.
Interest rate risk arises from the structure and characteristics of the Bank’s assets, liabilities and equity,and in the mismatch in repricing dates of its assets and liabilities.
The Bank’s average interest bearing financial assets and financial liabilities, together with the averageinterest rates are as follows:
2024
Averagebalance
Interest(in thousand Baht)

Financial assets
Interbank and money
market items
16,965,160
Investments
13,747,742
Loans to customers
79,866,755
Total
110,579,657
Financial liabilities
Deposits
27,874,730
Interbank and money
market items
66,827,369
Total
94,702,099

Averageinterest rate(% per annum)

2023
Averagebalance
Interest(in thousand Baht)

Averageinterest rate(% per annum)

383,585
186,046
2,703,083
3,272,714

2.261
1.353
3.384

20,472,552
11,570,889
72,825,567
104,869,008

209,324
121,110
1,643,763
1,974,197

1.022
1.047
2.257

628,342

2.254

26,821,600

281,8101.051

2,429,476
3,057,818

3.635

59,525,852
86,347,452

1,168,161
1,449,971

1.962

36

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
As at 31 March 2024 and 2023, significant financial assets and financial liabilities classified by earlier of maturity or interest repricing are as follows:

Financial assets
Cash
Interbank and money market items (1)Investments, net
Loans to customers (1), (2)Accrued interest receivables and undue interest
receivables
Other financial assets
Total financial assets
Financial liabilities
Deposits
Interbank and money market items
Other financial liabilities
Total financial liabilities
Effect of derivatives held for risk management (3)
(1)
(2)
(3)

2024
Repricing periods
Over 3 months
Over 1 year
to 1 year
to 5 years(in thousand Baht)

Immediate
repricing

Within3 months

1,380,471
21,110,509

9,333,949
999,073
27,370,676

2,119,574
17,335,270

12,605,550
19,325,663

22,490,980

37,703,698

19,454,844

1,629,018
4,998
1,634,016

22,549,241
51,958,739
74,507,980

685,543-

Before deducting allowance for expected credit loss
Exclude fair value adjustment in loans to customers
Risk management for loans to customers

37

Over
5 years

Non-interest
bearing

Total

253,52520
3,052,208
8,987
-

20
13,766,628
15,733,184
85,395,643

31,931,213

253,525

315,616
72,9903,449,821

315,616
72,990115,284,081

2,339,064
15,336,020
17,675,084--

16,423
1,061,555
1,077,97826,533,746
67,299,757
1,061,555
94,895,058(685,543)

-

-

-

-

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
2023
Repricing periods
Over 3 months
Over 1 year
to 1 year
to 5 years(in thousand Baht)

Immediate
repricing

Within3 months

1,680,000
22,016,754

17,856,662
498,469
26,992,576

995,9908,298,726

11,037,864
23,127,413

23,696,754

45,347,707

9,294,716

Financial liabilities
Deposits
Interbank and money market items
Other financial liabilities
Total financial liabilities

633,675
1,888
609,622
1,245,185

28,540,092
63,406,718
91,946,810

Effect of derivatives held for risk management (3)2,441,057-

Financial assets
Cash
Interbank and money market items (1)Investments, net
Loans to customers (1), (2)Accrued interest receivables and undue interest
receivables
Other financial assets
Total financial assets

(1)
(2)
(3)

Before deducting allowance for expected credit loss
Exclude fair value adjustment in loans to customers
Risk management for loans to customers

38

Over
5 years

Non-interest
bearing

Total

232,500

24
3,224,913
12,613-24
22,761,575
12,544,936
80,667,969

34,165,277

232,500

225,034
51,205
3,513,789

225,034
51,205116,250,743

1,675,982
200,000
1,875,982

83,00083,000-73,647
378,986
452,633

31,006,396
63,608,606
988,608
95,603,610(1,800,000)(641,057)---

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Sensitivity analysis
The Bank uses re-pricing gap analysis to provide an estimated measure of the Banking book sensitivity
to interest rates change by distributing interest-rate sensitive assets, liabilities and off-balance sheet
positions into time bands based on re-pricing schedule.
The result of interest rate to net interest income within 1 year by applying the increasing of 100 bps is
as follows:
2024
2023
(in thousand Baht)
8,808(99,475)(25,502)(30,515)(48,462)(9,512)(52)
221(65,208)(139,281)

Baht
US Dollar
Japanese Yen
EuroTotal effect on net interest income

Managing interest rate benchmark reform (IBOR reform)
At 31 March 2024, the Bank finished the process of amending contractual terms of USD LIBOR to
USD SOFR and for THBFIX, the Bank amended contractual terms to add the standard provisions forinterest rate transitions (Fallback provisions), which these provisions will change interest rates fromTHBFIX to Fallback Rate (THBFIX) and Thai Overnight Repurchase Rate (THOR). The Bank’s
derivative instruments are governed by contracts based on the International Swaps and Derivatives
Association (ISDA)’s master agreements.

4.4

Operational risks
Operational risk is the risk of direct or indirect loss arising from a wide variety of causes associated with
the Bank’s processes, personnel, technology and infrastructure, and from external factors other thancredit, market and liquidity risks, such as those arising from legal and regulatory requirements andgenerally accepted standards of corporate behavior. Operational risk arises from the Bank’s operations.
The Bank’s objective is to manage operational risk so as to balance the avoidance of financial losses
and damage to the Bank’s reputation with overall cost effectiveness and innovation. In all cases, theBank’s policy requires compliance with all applicable legal and regulatory requirements. The board of
directors has delegated responsibility for operational risk to Risk Management Committee, which is
responsible for the development and implementation of controls to address operational risk. This
responsibility is supported by the development of the Bank’s rule and policy for the management ofoperational risk in the following areas:• Requirements for appropriate segregation of duties, including the independent authorisation oftransaction;• Requirements for the reconciliation and monitoring of transactions;• Compliance with regulatory and other legal requirements;• Documentation of controls and procedures;• Requirements for the periodic assessment of operational risks faced, and the adequacy of controls
and procedures to address the risks identified;• Requirements for the reporting of operational losses and proposed remedial action;• Development of contingency plans;• Training and professional development; and• Risk mitigation, including insurance where this is cost effective.

39

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Compliance with the Bank’s policy is supported by a program of periodic reviews undertaken by Internal
Audit. The results of Internal Audit reviews are submitted to the Audit Committee and senior
management of the Bank.

40

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
5

Fair value of financial instruments
Carrying amounts and fair values
The following table shows the carrying amounts and fair values of financial assets and financial liabilities, including their levels in the hierarchy. It does notinclude fair value information for financial assets and financial liabilities measured at amortised cost if the carrying amount is a reasonable approximation offair value.

Note

FVTPL

Carrying amountAmortised
FVOCI
Cost

Fair value
Total
Level 1(in thousand Baht)

2024
Financial assets
Derivatives assets
9- Foreign currency related
1,260,177- 1,260,177- Interest rate related
19,243
19,243
Investments
10- Debt instruments- 15,724,197- 15,724,197- Equity instruments
8,987
8,987
Loans to customers and accrued interest
receivables and undue interest receivables (1) 11.1
- with fair value hedge
671,800
671,800- without fair value hedge- 84,724,853 84,724,853

Financial liabilities
Derivatives liabilities- Foreign currency related
(1)

9

4,383

-

Exclude excess reserve

41

-

4,383

Level 2

Level 3

Total-

1,260,177
19,243-

1,260,177
19,243-

15,724,197
-

8,987

15,724,197
8,987

-

671,800
50,217,709 34,983,198

671,800
85,200,907

-

4,383

-

4,383

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024

Note
2023
Financial assets
Derivatives assets
9- Foreign currency related- Interest rate related
Investments
10- Debt instruments- Equity instruments
Loans to customers and accrued interest
receivables and undue interest receivables (1) 11.1
- with fair value hedge- without fair value hedge

Financial liabilities
Derivatives liabilities- Foreign currency related- Interest rate related
(1)

9

FVTPL

Carrying amountAmortised
FVOCI
Cost

Fair value
Total
Level 1(in thousand Baht)

Level 2

Level 3

Total

838,636
22,755--

838,636
22,755-

838,636
22,755-

838,636
22,755-

12,532,323
12,613-

12,532,323
12,613-

12,532,323-

12,613

12,532,323
12,613--2,454,785
78,120,847

2,454,785
78,120,847-- 2,454,785
51,371,448 27,019,484

2,454,785
78,390,932

224,629
10,550--224,629
10,550-Exclude excess reserve42

224,629
10,550-224,629
10,550Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
There were no transfers between Level 1 to Level 2 of the fair value hierarchy during the year ended
31 March 2024 and 2023.

Valuation techniques and significant unobservable inputs
The following table shows the valuation techniques as well as the significant unobservable inputs usedin measuring Level 3 fair values for financial instruments measured at fair value in the statement offinancial positions.

Financial instruments measured atfair value
Investments in equity instruments
Loan to customers and accrued interest
receivables and undue interest
receivables with fair value hedge

Valuation technique
Discounted cash flow
Discounted cash flow

Significant unobservable inputs
Expected future cash flow anddiscount rate
Risk-adjusted discount rate

Level 3 fair values
Reconciliation of Level 3 fair values
The following table shows a reconciliation from the beginning balances to the ending balances of Level 3
fair values of financial instruments.

Investments in equity instruments
Beginning balance
Purchased or acquired
Losses recognised in other comprehensive income
Ending balances

Loans to customers with fair value hedge
Beginning balance
Derecognised
Exchange rate adjustment
Losses recognised in profit or loss
Ending balance
Add accrued interest receivables and undue interest receivables
Loans to customers and accrued interest receivables andundue interest receivables with fair value hedge- ending balanceLess allowance for expected credit loss
Net

43

For the year ended 31 March
2024
2023
(in thousand Baht)
12,613(3,626)
8,987

19,938(7,325)
12,613For the year ended 31 March
2024
2023
(in thousand Baht)
2,428,853(1,800,000)
44,485(7,038)666,300
5,570

7,114,147(4,600,000)
15,068(100,362)
2,428,853
26,352

671,870(70)
671,800

2,455,205(420)
2,454,785

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
The following methods and assumptions were used by the Bank in estimating the fair value of financial
instruments as disclosed herein.

Interbank and money market items (assets and liabilities)
The fair value of interbank and money market items (assets and liabilities) which bear floating rates ofinterest approximates their carrying value at the reporting date. The fair value of fixed rate instrumentswith remaining maturities greater than 1 year is estimated by using a discounted cash flow calculation
applying interest rates currently being offered on similar instruments.

Derivatives
The fair value of over-the-counter derivatives is based on inputs which are observable from independentand reliable market date sources. These inputs are tested for reasonableness. The fair value is calculatedby discounting expected future cash flows using market interest rate for a similar instrument at themeasurement date. Fair values of derivative assets reflect the credit risk of the instrument and include
adjustments to take into account of credit risk of the counter party when appropriate.

Investments in debt instruments
The fair value of investments in debt instruments is referenced from price quoted on the Thai Bond
Market Association (“ThaiBMA”).

Investments in equity instruments
Fair values of domestic non-marketable equity instruments are calculated by discounted cash flow
method with unobservable inputs.

Loans to customers
For floating-rate loans to customers that reprice frequently and have no significant change in credit risk,
fair value approximates carrying value at the reporting date. The fair value of fixed rate loans tocustomers that reprice within 1 year of the reporting date approximates the carrying value at thereporting date. The fair value of other fixed interest loans to customers is estimated using discounted
cash flow analysis and using interest rates currently being offered for loans to customers with similar
credit quality.

Deposits
The fair value of deposits which are payable on demand is equal to the carrying value of such deposits.
The fair value of floating-rate, fixed-term money market accounts, certificates of deposit and fixed rate
deposits and floating rate deposit repricing within 1 year from reporting date approximate their carrying
amount. The fair value for other fixed interest deposits is estimated using a discounted cash flow
calculation that applies interest rates currently being offered on deposits to a schedule of aggregate
expected monthly maturities on time deposits.

44Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
6

Maintenance of capital fund
The Bank maintains its capital fund in accordance with the Financial Institution Business Act B.E.2551
by maintaining its capital fund as a proportion of risk weighted assets in accordance with the criteria,
methodologies, and conditions prescribed by the Bank of Thailand. As announced by the BoT
notification number Sor Nor Sor. 12/2555, dated 8 November 2012, Re: Regulations on Supervision of
Capital for Commercial Banks and Sor Nor Sor. 7/2562, dated 7 May 2019, Re: Regulations on
Components of Capital for Locally-incorporated Banks, the Bank is required to calculate its CapitalFund in accordance with Basel III.
As at 31 March 2024 and 2023, the Bank’s total capital funds and capital ratio can be categorised asfollows:
2024
2023(in thousand Baht)

Tier 1 capital
Common Equity Tier 1 (CET1)
Issued and paid-up share capital
Legal reserves
Net profits after appropriated
Other reserves
Less capital deduction items on CET1
Total Tier 1 Capital

20,000,000
39,733
1,032,870(101,332)(454,609)
20,516,662

20,000,000
16,449541,938(130,727)(329,792)
20,097,868

Tier 2 capital
General provision
Total Tier 2 Capital

415,393415,393

293,826
293,826

Total Capital funds

20,932,055

20,391,694

Total Risk-Weighted Assets

77,263,739

79,336,104

2024
(%)
27.09
26.55
26.55

2023

The BoT’s
regulation
minimum
requirement
Capital Adequacy Ratio
Tier-1 Capital ratio
Tier-1 Common Equity ratio

11.00
8.50
7.00

25.70
25.33
25.33

As at 31 March 2024 and 2023, the Bank had no add-on arising from Single Lending Limit.
Disclosures of capital maintenance information under the BoT notification number Sor Nor Sor 4/2556,
dated 2 May 2013, regarding to Disclosure Requirement on Capital Adequacy for a Commercial Bankand the BoT notification number Sor Nor Sor 14/2562, dated 7 May 2019, regarding to Disclosure
requirement on Capital Adequacy for a Commercial Bank (Volume 2), were as follows:
Location of disclosure
Disclosure period requirement
Latest information

The Bank’s website at www.smtb.jp/smtbthai/Within 4 months after the year end date as indicated in the BoT’s
notification
30 September 2023

45

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
The disclosure for the year ended 31 March 2024 will be provided within 31 July 2024 on the Bank’s
website as noted above.

Capital management
The Management’s policy is to maintain a strong capital base in order to maintain investor and creditor
confidence and to sustain future development of the business. The Management monitors the return on
capital, which the Bank defines as result from operating activities divided by total equity, and the levelof dividends to ordinary shareholders.

7

Classification of financial assets and financial liabilities

Financial assets
Cash
Interbank and money market items, net
Derivative assets
Investments, net
Government and state enterprisesecurities
Domestic non-marketable equity
securities
Loans to customers and accrued interest
receivables, net (1)with fair value hedge
without fair value hedge
Other financial assets
Total
Financial liabilities
Deposits
Interbank and money market items
Derivative liabilities
Other financial liabilities
Total
(1)

2024
Investmentsin equity
Financial
instruments
instruments
designatedmeasured at
at FVOCI
amortised cost(in thousand Baht)

Financial
instruments
measured
at FVTPL

Financial
instruments
measured
at FVOCI

1,279,420--

20
13,758,068-

20
13,758,068
1,279,420-

15,724,197--

15,724,197

-

-

8,987

-

8,987

1,279,420

15,724,197

8,987

671,800
84,724,853
72,99099,227,731

671,800
84,724,853
72,990116,240,335

4,383
4,383

-

-

26,533,746
67,299,757
1,061,555
94,895,058

26,533,746
67,299,757
4,383
1,061,555
94,899,441

Exclude excess reserve

46

Total

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
2023
Investmentsin equity
Financial
instruments
instruments
designatedmeasured at
at FVOCI
amortised cost(in thousand Baht)

Financial
instruments
measured
at FVTPL

Financial
instruments
measured
at FVOCI

861,391--

24
22,739,152-

24
22,739,152
861,391-

12,532,323--

12,532,323

Total

Financial assets
Cash
Interbank and money market items, net
Derivative assets
Investments, net
Government and state enterprisesecurities
Domestic non-marketable equity
securities
Loans to customers and accrued interest
receivables, net (1)with fair value hedge
without fair value hedge
Other financial assets
Total

-

-

12,613-

12,613

861,391

12,532,323

12,6132,454,785
78,120,847
51,205
103,366,013

2,454,785
78,120,847
51,205
116,772,340

Financial liabilities
Deposits
Interbank and money market items
Derivative liabilities
Other financial liabilities
Total

235,179
235,179--

31,006,396
63,608,606
988,608
95,603,610

31,006,396
63,608,606
235,179
988,608
95,838,789(1)

8Exclude excess reserve

Interbank and money market items, net (assets)
Note

Domestic
Bank of Thailand
Commercial banks
Specialised financial institutions
Other financial institutions
Total
Add accrued interest receivables and undue interest receivables
Less allowance for expected credit loss
Total domestic
Foreign
US Dollar
Japanese Yen
EuroTotal foreign
Total domestic and foreign

22
22

47

2024
2023
(in thousand Baht)
753,360
3,985,936
5,382,040
1,380,000
11,501,336
2,380(8,560)11,495,156

1,385,793
12,269,748
5,606,662
1,680,000
20,942,203
1,711(22,423)
20,921,491

128,725
2,128,318
5,869
2,262,912
13,758,068

107,573
1,688,038
22,0501,817,661
22,739,152

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
9

Derivatives

9.1

Derivatives held for trading
As at 31 March 2024 and 2023, the fair value and notional amount of derivatives classified by type ofrisks were as follows:
2024
Fair value

9.2

Type of risks

AssetsLiabilities

Foreign currency related
Total

409,952
409,952

4,383
4,383

2023
Fair value
Notional
amountAssetsLiabilities(in thousand Baht)
21,665,315
246,661
207,243
21,665,315
246,661
207,243

Notional
amount31,131,279
31,131,279

Derivatives held for hedging

Fair value hedges
2024

2023

Fair value

Fair value

Type of risks

AssetsLiabilities

Foreign currency relatedInterest rate related
Total

850,225
19,243
869,468-

Notional
amountAssets(in thousand Baht)
31,177,617
591,975
685,543
22,75531,863,160
614,730

Liabilities

Notional
amount17,386
10,55027,93624,858,025
2,441,057
27,299,082(1)

The Bank uses spot element of foreign currency swaps to hedge its foreign currency risk exposure arisingfrom foreign exchange translation of borrowings in foreign currency to functional currency.

(2)

The Bank uses interest rate swaps to hedge its exposure to changes in the fair values of fixed-rate loans
to customers. The designated risk being hedged is the risk of changes in interest rate risk from fixed rate
to Fallback SOFR 3M.
Hedge accounting is applied where economic hedging relationships meet the hedge accounting criteria.
In these hedging relationships, hedge effectiveness is assessed based on the following factors:
There is an economic relationship between the hedged item and the hedging instrument.
The effect of credit risk does not dominate the value changes that result from the economic
relationship.
The hedge ratio of the hedging relationship is the same in the quantity.
The Bank establishes a hedge ratio by aligning the par amount of a hedged item and a hedging
instrument. The Bank applies the hedge ratio of 1:1.
As at 31 March 2024 and 2023, there were no sources of ineffectiveness in these hedging relationships.

48

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
10

Investments, net

Investments in debt instruments measured at FVOCI
Government and state enterprise securities
Total
Allowance for expected credit loss

Investments in equity instruments designated at FVOCI
Domestic non-marketable equity securities
Total
Total investment, net

2024
2023
(in thousand Baht)
15,724,197
15,724,197

12,532,323
12,532,323(16,667)(12,598)

8,987
8,987

12,613
12,613

15,733,184

12,544,936

As at 31 March 2024 and 2023, the Bank had some investments in securities pledged as collateral orunder restriction as disclosed in note 20.
As at 31 March 2024, the Bank had investments in entity in which the Bank held 10% or more of thepaid up share capital of the investee company. The carrying amount of the investment has Baht 8.99
million (2023: Baht 12.61 million). The entity was operated in financial service activities.

11

Loans to customers and accrued interest receivables, net

11.1 Classified by type of loans

Loans
Bills
Less fair value adjustment in loans to customers
Total loans to customers
Add accrued interest receivables and undue interest receivables
Total loans to customers and accrued interest receivables
and undue interest receivables
Less allowance for expected credit loss
Loan to customers and accrued interest receivables, net

2024
2023
(in thousand Baht)
60,847,894
55,230,609
24,547,749
25,437,360(19,243)(12,205)
85,376,400
80,655,764
315,616
225,034

85,692,016(362,793)
85,329,223

80,880,798(440,026)
80,440,772

11.2 Classified by residence of debtors
2024
2023
(in thousand Baht)
84,473,746
78,892,768
921,897
1,775,201
85,395,643
80,667,969

Domestic
Foreign
Total **

Loans to customers exclude fair value adjustment in loans to customers

49

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
11.3 Classified by stage
2024
2023
(in thousand Baht)

Loans to customers and accrued interest receivables andundue interest receivables*
Financial assets that have not had a significant increasein credit risk (Performing)
Financial assets that have a significant increase in credit risk
(Under-performing)
Total
*

12

85,216,141

79,971,371

495,118
85,711,259

921,632
80,893,003

Total loans to customers and accrued interest receivables and undue interest receivables, excluding fair value adjustment in loans tocustomers

Allowance for expected credit loss
2024
Financialassetsthat have nothad asignificant
increase incredit risk
Interbank and money market items (assets)
Investments in debt instruments
Loans to customers and accrued interest
receivables and undue interest receivables
Undrawn loan commitments
and financial guarantee contracts
Total

8,560
16,667

Total
8,560
16,667285,806

9,557

67,430362,793

53,908364,941

16,826
26,38367,43070,734
458,754

Financialassetsthat have nothad asignificant
increase incredit risk
Interbank and money market items (assets)
Investments in debt instruments
Loans to customers and accrued interest
receivables and undue interest receivables
Undrawn loan commitments
and financial guarantee contracts
Total

Financialassetsthat have asignificant
increase in
Excesscredit risk
reserve(in thousand Baht)-

22,423
12,5982023
Financialassetsthat have asignificant
increase in
Excesscredit risk
reserve(in thousand Baht)-

Total
22,423
12,598282,914

22,252

134,860

440,026

46,487364,422

1,818
24,070134,860

48,305523,35250

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Movements in allowance for expected credit loss during the year ended 31 March 2024 and 2023 consisted of:Financial assetsthat have not hada significant
increase incredit risk

Financial assetsthat have asignificant
increase in
Excesscredit risk
reserve *(in thousand Baht)

Total

Interbank and money market items (assets)
At 1 April 2022
Purchased or acquired
Derecognised
At 31 March 2023 and 1 April 2023
Purchased or acquired
Derecognised
At 31 March 2024

12,96322,423(12,963)
22,423
8,560(22,423)
8,560

-

-

12,96322,423(12,963)
22,423
8,560(22,423)
8,560

Investments in debt instruments
At 1 April 2022
Change from remeasurement of ECL
Purchased or acquired
Derecognised
At 31 March 2023 and 1 April 2023
Change from remeasurement of ECL
Purchased or acquired
Derecognised
At 31 March 2024

8,387
200
6,002
(1,991)
12,598614
4,934(1,479)16,667

-

-

8,387
200
6,002
(1,991)
12,598614
4,934(1,479)16,667Loans to customers and accrued
interest receivables and undue
interest receivables
At 1 April 2022
Change from stage reclassification
Change from remeasurement of ECL
Purchased or acquired
Derecognised
Excess reserve amortisation
At 31 March 2023 and 1 April 2023
Change from stage reclassification
Change from remeasurement of ECL
Purchased or acquired
Derecognised
Excess reserve amortisation
At 31 March 2024

200,216(248)
14,031
162,895(93,980)
282,914
14,700(10,414)124,056(125,450)
285,806

66,362248
14,862
7,142(66,362)
22,252(14,700)
9,557(7,552)
9,557

202,290(67,430)
134,860(67,430)
67,430468,868
28,893
170,037(160,342)(67,430)
440,026(10,414)
133,613(133,002)(67,430)
362,79351

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Financial assetsthat have not hada significant
increase incredit risk

Undrawn loan commitments andfinancial guarantee contracts
At 1 April 2022
Change from stage reclassification
Change from remeasurement of ECL
Purchased or acquired
Derecognised
At 31 March 2023 and 1 April 2023
Change from stage reclassification
Change from remeasurement of ECL
Purchased or acquired
Derecognised
At 31 March 2024*

20,835(1,119)25,953
4,164(3,346)46,487(4,697)4,712
9,133(1,727)53,908Financial assetsthat have asignificant
increase in
Excesscredit risk
reserve *(in thousand Baht)

1,119
699
1,818
4,697
10,311
16,826Total-

As at 1 April 2020, the date of adoption of financial instruments standards, the Bank had the excess reserve amounting to Baht 337 million
as the allowance for doubtful accounts as at 31 March 2020 exceeded the allowance for expected credit loss calculated according to
the financial instruments standards. The Bank would amortise the excess reserve using the straight-line method over 5 years in accordance with
BoT Circular number Thor Por Tor. For Nor Sor. (23) Wor. 1603/2562, directive dated 6 November 2019, regarding “The Clarification on

Management of Excess Reserve”.

52

20,83526,652
4,164(3,346)48,30515,023
9,133(1,727)70,734

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
13

Leasehold building improvements and equipment, net
2024
Cost

Leasehold improvement
and system structure
Furniture and officeequipment
VehiclesRight-of-use assets
Office buildings
VehiclesAsset under construction
Total

Accumulated depreciation

Net book
value as of
1 April2023

As of
1 April
2023

Purchases
andtransfers inWrite-off/transfers out

15,539121,288--

121,288

105,749

8,182

11,961-130,178
550

1,170
-

-

131,348550

118,217550

16,631
8,795
52,92637,731
13,899303,646

3,751
1,647
6,568

(2,709)(429)(3,138)37,731
14,9401,219
307,076

21,1005,104
250,720

As of
As of
31 March
1 April
2024
2023(in thousand Baht)

As of
31 March2024

Net book
value as of
31 March
2024-

113,931

7,357

4,565
-

-

122,782
550

8,566
-

7,132
3,089
22,968(2,709)(2,709)28,232
5,484
270,979

9,499
9,456
1,219
36,097As of
31 March2023

Net book
value as of
31 March
2023

Depreciation

Write-off/transfers out

2023
Cost

Leasehold improvement
and system structure
Furniture and officeequipment
VehiclesRight-of-use assets
Office buildings
Vehicles
Total

Accumulated depreciation

Net book
value as of
1 April2022

As of
1 April
2022

Purchases
andtransfers inWrite-off/transfers out

23,698121,288--

121,288

97,5908,159-

105,749

15,539

11,579-124,421
980

5,783
-

(26)
(430)

130,178550

112,842
980

5,401
-

(26)
(430)

118,217550

11,961-

23,405
5,267
63,94937,4337,840
291,962298
6,059
12,140(456)

37,731
13,899303,646

14,0282,573
228,013

7,072
2,531
23,163(456)

21,1005,104
250,720

16,631
8,795
52,926As of
As of
31 March
1 April
2023
2022(in thousand Baht)

Depreciation

Write-off/transfers out

The gross amount of the Bank’s fully depreciated leasehold building improvements and equipment that were still in use as at 31 March 2024 amounted to
Baht 155 million (2023: Baht 149 million).
53

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
14

Deposits

14.1 Classified by type of deposits
2024
2023
(in thousand Baht)
16,42373,647
1,629,018
633,675
24,888,305
30,299,074
26,533,746
31,006,396

Current
SavingsTerm
Total

14.2 Classified by currencies and residence of depositors
2024
2023
Domestic
Domestic(in thousand Baht)
26,468,222
30,839,304
44,07135,436
21,453
131,656
26,533,746
31,006,396

Thai Baht
US Dollar
Japanese Yen
Total

15

Interbank and money market items (liabilities)
Note
Domestic
Commercial banks
Specialised financial institution
Other financial institutions
Total domestic
Foreign
US Dollar
Japanese Yen
EuroTotal foreign

22
22
22

Total domestic and foreign

16

2024
2023
(in thousand Baht)
1,000,000
4,000,000
1,084,998
6,084,998

481,888481,888

49,592,468
10,122,840
1,499,451
61,214,759

58,946,596
2,692,982
1,487,140
63,126,718

67,299,757

63,608,606

Provisions
Note
Allowance for expected credit loss on undrawn loan
commitments and financial guarantee contracts
Employee benefit obligations
Total

54

12

2024
2023
(in thousand Baht)
70,734
26,22996,96348,305
21,29869,603

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
17

Advance received from electronic payment
In accordance with the BoT notification number Sor Nor Chor 7/2561 dated 16 April 2018,
Re: Regulations on Service Business relating to Electronic Money (e-Money) and Sor Nor Chor 2/2562
dated 20 December 2019, Re: Regulations on Service Business relating to Electronic Fund Transfer(EFT), the Bank is required to disclose advance received from e-Money and EFT. As at 31 March 2024,
the Bank didn’t have any advance received from e-Money and EFT (2023: Nil).

18

Offsetting of financial assets and financial liabilities
2024

Gross
carrying
amountAmount of
unoffsetting in statementof financial position
Offsetting
Amount to be Net amount amount which
offset inpresented in is not met theRelevantstatement
statement
accounting
financialof financial of financial
standard’s
collateralposition
positionconditions
amount(in thousand Baht)

Net amountFinancial assets
Derivative assets

870,679-

870,679-(650,583)

220,096

Total

870,679-

870,679-(650,583)

220,096

Financial liabilities
Derivative liabilities

3,838

-

3,838

-

-

3,838

Total

3,838

-

3,838

-

-

3,838

2023

Gross
carrying
amountAmount of
unoffsetting in statementof financial position
Offsetting
Amount to be Net amount amount which
offset inpresented in is not met theRelevantstatement
statement
accounting
financialof financial of financial
standard’s
collateralposition
positionconditions
amount(in thousand Baht)

Net amountFinancial assets
Derivative assets

719,485-

719,485-(609,622)

109,863

Total

719,485-

719,485-(609,622)

109,863

Financial liabilities
Derivative liabilities

137,394-

137,394--

137,394

Total

137,394-

137,394--

137,39455

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Reconciliation of net amount presented in statement of financial position with the caption in statementof financial position as follows:2024

Financial instrument type

Financial assets
Derivative assets
Total

Net amountpresented instatementof financial
position(in thousand Baht)
870,679
870,679

Financial liabilities
Derivative liabilities

3,838
3,838

Total

Carrying amountin statement
Carrying amount of financial
presented inpositionstatement
not underof financial
the offsetting
Notes
positionconditions(in thousand Baht)

Caption instatement offinancial position

Derivative assets

9

1,279,420
1,279,420

408,741
408,741

Derivative liabilities

9

4,383
4,383

545
545

2023

Financial instrument type

Financial assets
Derivative assets
Total

Financial liabilities
Derivative liabilities
Total

19

Net amountpresented instatementof financial
position(in thousand Baht)

Caption instatement offinancial position

Carrying amountin statement
Carrying amount of financial
presented inpositionstatement
not underof financial
the offsetting
Notes
positionconditions(in thousand Baht)

719,485
719,485

Derivative assets

9861,391
861,391

141,906
141,906

137,394
137,394

Derivative liabilities

9

235,179
235,179

97,78597,785

Legal reserve
Section 116 of the Public Companies Act B.E. 2535 requires that a public company shall allocate notless than 5% of its annual net profit, less any accumulated losses brought forward, to a reserve account(“legal reserve”), until this account reaches an amount not less than 10% of the registered authorised
capital. The legal reserve is not available for dividend distribution.
Movement in the legal reserve was as follows :(in thousand Baht)
16,44923,28439,733
21,86761,600

At 1 April 2022
Increase
At 31 March 2023 and 1 April 2023
Increase
At 31 March 2024

56

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
20

Assets pledged as collateral and under restriction
As at 31 March 2024, government and state enterprise securities amounting to Baht 1.63 million(2023: Baht 2.39 million), were pledged as collateral for other commitment with governmentorganisation.

21

Contingent liabilities
2024
2023
(in thousand Baht)
Other contingencies- Committed line
- Financial guarantee contracts
Total

15,015,080
186,369
15,201,449

11,971,027
141,917
12,112,944

Litigation
As at 31 March 2024 and 2023, there was no litigation case outstanding against the Bank.

22

Related parties
A related party is a person or entity that has direct or indirect control or joint control, or has significant
influence over the financial and managerial decision-making of the Bank; a person or entity that areunder common control or under the same significant influence as the Bank; or the Bank has direct orindirect control or joint control, or has significant influence over the financial and managerial decisionmaking of a person or entity.
Related parties that the Bank had significant transactions with during the year were as follows:

Name of entity/personnel
Key management personnel

Country ofincorporation/nationality
Japanese/Thai

Nature of relationship
Persons having authority and responsibility
for planning and controlling the activitiesof the Bank directly or indirectly, including
any director of the Bank (whether executive
or otherwise)
Ultimate parent company

Sumitomo Mitsui Trust Holding, Inc.

Japan

Sumitomo Mitsui Trust Bank,
LimitedJapan

Immediate parent company, 99.99%
shareholding

Sumitomo Mitsui Trust Systems &Services Co., Ltd.

Japan

Subsidiary of ultimate parent company

Sumitomo Mitsui Trust Panasonic
Finance Co., Ltd.

Japan

Subsidiary of ultimate parent company

Sumitomo Mitsui Trust Investment
Co., Ltd.

Japan

Subsidiary of ultimate parent company

Sumitomo Mitsui Trust AssetManagement Co., Ltd.

Japan

Subsidiary of ultimate parent company

Other Branches of Sumitomo Mitsui
Trust Bank, Limited

Various

Other branches of immediate parent company

57

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
The pricing policies for transactions were explained further below:

Transactions
Interest income
Interest expenses
Fees and service income
Fees and service expenses
Other operating income
Premises and equipment expenses
Other expenses

Pricing policies
Contractually agreed rate
Contractually agreed rate
Contractually agreed priceContractually agreed price/rate or fee as announced
Contractually agreed priceContractually agreed priceContractually agreed priceSignificant transactions for the years ended 31 March 2024 and 2023 with related parties were as follows:

For the years ended 31 March

2024
2023
(in thousand Baht)

Immediate parent company
Interest income
Interest expenses
Fees and service income
Fees and service expenses
Other operating income
Premises and equipment expenses
Other expenses

201
3,242,614
559
26,973
11,13817,813357
1,712,991
9,658
4,230
9,222
100
19,927

Other branches of immediate parent company
Interest income
Interest expenses
Fees and service expenses

56,89450

2,619
12,91557

Key management personnel compensation
Short-term and other employee benefits

50,391

48,861Significant balances as at 31 March 2024 and 2023 with related parties were as follows:
2024
2023
(in thousand Baht)

Immediate parent company
Interbank and money market items (assets)
Other assets
Interbank and money market items (liabilities)
Other liabilities

2,128,318
59,715,308
319,618

1,688,038
8
61,639,578
320,537

Other branches of immediate parent company
Interbank and money market items (assets)
Interbank and money market items (liabilities)
Other liabilities

5,869
1,499,451
2,013

22,0501,487,140
2,040

58

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
As at 31 March 2024, borrowings from immediate parent company and other branches of immediate
parent company were USD 1,360.00 million, EUR 38.00 million and JPY 42,000.00 million (2023:
USD 1,728.70 million, EUR 40.00 million and JPY 10,500.00 million) due to mature from April 2024
to March 2026 (2023: April 2023 to January 2026) which principal repayable at maturity and interest
payable quarterly. Borrowings were carried fixed interest rates between 4.11% to 5.59% per annum(2023: 2.73% to 5.29% per annum). Borrowings were carried floating interest rates based on SOFR plus
a fixed percent per annum, TONAR plus a fixed percent per annum and Euroyen TIBOR 3M(2023: USD LIBOR 3M plus a fixed percent per annum, SOFR plus a fixed percent per annum andEuroyen TIBOR 3M).

Significant agreements with related parties(a)

In 2014, the Bank entered into the Usage of Symbols or Trademark agreement with the ultimate parent
company by receiving permission to use the Bank name logo, and other mark in connection with its
business in Thailand. The usage fee is charged in accordance with the term in the agreement.

(b)

In 2014, the Bank entered into 2 memorandum agreements with the immediate parent company which
the Bank has been served on control and management and internal audit services. The service fee ischarged in accordance with the terms in the agreement.

(c)

In 2015, the Bank entered into service agreements with the immediate parent company relating to theprovision of certain advisory, information technology and other services support to the Bank and otherrelated activities. The service fee is charged in accordance with terms in the agreement.

23

Other benefits to directors and persons with managing authority
The Bank has not paid other benefits to director and executives except for the benefit that are normally
paid such as directors fee, directors bonus, executives’ salary and bonus.

24

Financial position and results of operations classified by domestic and foreign business
The Bank does not present the financial position and results of operations classified by domestic andforeign business in the financial statements since the Bank is engaged in only one domestic banking
business in Thailand.

25

26Interest income
For the years ended 31 March

Note

Interbank and money market items
Investments in debt instruments
Loans to customers
Total

22

2024
2023
(in thousand Baht)
383,585
209,324
186,046
121,110
2,703,083
1,643,763
3,272,714
1,974,197

Interest expenses
Note

For the years ended 31 March
Deposits
Interbank and money market items
Contribution to Deposit Protection Agency
Total

22

59

2024
2023
(in thousand Baht)
493,032
198,848
2,429,476
1,168,161
135,31082,962
3,057,818
1,449,971

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
27

Net fees and service (expenses) income
Note

For the years ended 31 March
Fees and service income- Fund transfer services fees
- Guarantee fee- Prepayment fee- Others
Total

22

Fees and service expenses- Fund transfer between financial institutions fee- Loan registration fee- Legal service fee- Prepayment fee- Others
Total

22
22

Net

28

375
888
559
159
1,981

281
694
9,658
152
10,785(1,542)(26,408)(640)(28,590)(1,275)(1,370)(773)(3,922)(583)(7,923)(26,609)

2,862

Net gains on financial instruments measured at fair value through profit or loss
For the years ended 31 March

2024
2023
(in thousand Baht)

Gains on trading and foreign exchange transactions- Foreign currencies and foreign currency
related derivatives
Total

29

2024
2023
(in thousand Baht)

725,455
725,455

461,915
461,915

Employee expenses
Note

For the years ended 31 March
Key management
Wages, salaries and bonus
Non-monetary benefits
Defined benefit plans and other long-term
employee benefits
Others22
Other employees
Salaries, wages and bonus
Non-monetary benefits
Defined benefit plans and other long-term
employee benefits
Others
Total

60

2024
2023
(in thousand Baht)
25,81422,88923,614
23,576803
885
50,391844
827
48,861

125,817
22,207

124,576
20,5274,235
8,836
161,095
211,486

4,227
8,704
158,034
206,895

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
The Bank has established contributory provident fund for their employees. Membership in the fund ison a voluntary basis. Contributions are made monthly by the employees at rates ranging from 5% to
15% of their basic salaries and by the Bank at 5% to 10% of the employees’ basic salaries. The provident
fund are registered with the Ministry of Finance as juristic entities and are managed by licensed fundmanagers.

30(Reversal of) expected credit loss
For the years ended 31 March
Interbank and money market items
Investments in debt instruments measured at FVOCILoans to customers and accrued interest receivables
and undue interest receivables
Undrawn loan commitments and financial
guarantee contracts
Total

31

2024
2023
(in thousand Baht)(13,863)
9,460
4,069
4,211
(77,233)(28,842)

22,429(64,598)

27,47012,299

Income tax
Income tax recognised in profit or loss
For the years ended 31 March

2024
2023
(in thousand Baht)

Current tax expense
Current year
Over provided in prior year

115,320-

123,707(142)

Deferred tax expense
Movement in temporary difference
Total(5,878)109,442(7,432)
116,133

Income tax recognised in other comprehensive income
For the years ended 31 March

Change in fair value of hedging
derivatives
Financial assets measured at FVOCIDefined benefit plan actuarial (losses)
gains
Total

Before
Tax

2024
Tax
benefit(expense)(30,879)
40,811

6,176(8,162)(24,703)
32,6494,143(61,769)(829)
12,354

3,314(49,415)(1,270)8,662

254(1,732)(1,016)
6,930

4,183
(53,443)(836)
10,6893,347(42,754)

61

Net of
BeforeTax
Tax(in thousand Baht)

2023
Tax
(expenses)
benefit

Net ofTax

Sumitomo Mitsui Trust Bank (Thai) Public Company Limited
Notes to the financial statements
For the year ended 31 March 2024
Reconciliation of effective tax rate
For the years ended 31 March

20

2024
(in thousand
Baht)
546,771
109,35420

88
109,442

Rate(%)
Profit before income tax
Income tax using the Thai corporation tax rate
Tax effect of income and expenses that are not taxable
income or not deductible in determining taxable income,net
Over provided in prior years
Total

32

20

2023
(in thousand
Baht)
581,820
116,364

20

(89)
(142)
116,133

Rate(%)

Event after reporting period
On 27 June 2024, the Board of Directors Meeting No. 2/2024 resolved to present to the 2024 Annual
General Meeting of Shareholders to consider approving the allocation of profits and dividend paymentsfrom operations for the year ended 31 March 2024 to shareholders at the rate of Baht 6.98 per share,
representing a total amount of Baht 139.6 million.

62