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Investor Relations > Financial Information > Management Discussion and Analysis (MD & A)
    Management Discussion and Analysis (MD & A)

Overview of the Historical Financial Position and Operating Performance

Overview of the historical financial position and operating performance from 2020 - 2022 are as follow:

  2020 2021 2022
  Million Baht Change
YoY
(Percent)
Million Baht Change
YoY
(Percent)
Million Baht Change
YoY
(Percent)
Assets 44,930.66 7.45 56,668.69 26.12 69,148.57 22.02
Liabilities 39,262.97 7.89 47,413.47 20.76 58,894.05 24.21
Shareholders’ equity 5,667.69 4.49 9,255.22 63.30 10,254.52 10.80
Revenues            
Interest income from loan receivables 3,183.90 9.36 3,807.93 19.60 4,862.80 27.70
Service income 298.46 2.26 509.56 69.81 638.10 25.22
Other income 113.25 (20.62) 96.88 (14.45) 122.70 26.65
Total revenues 3,595.61 7.46 4,414.38 22.77 5,623.60 27.39
Expenses            
Selling and administrative expenses 988.10 4.61 1,049.22 6.19 1,126.66 7.38
Expected credit losses and impairment loss on assets foreclosed 557.29 19.33 816.72 46.55 1,264.88 54.87
Finance cost 929.65 8.26 1,039.13 11.78 1,335.61 28.53
Total expenses - exclude income tax expense 2,475.04 9.02 2,905.07 17.37 3,727.15 28.30
Profit for the year 883.06 1.56 1,202.84 36.21 1,512.14 25.72
Earning per share* (Baht) 2.51 1.62 2.62 4.38 2.86 9.16
Disbursement 20,367.86 10.01 30,843.76 51.43 35,606.68 15.44
Total portfolio - before allowance for expected credit losses 44,489.77 7.72 55,728.79 25.26 67,605.39 21.31
Total portfolio - Net 43,455.88 7.73 54,396.31 25.18 65,844.18 21.05
* Weighted average

The shareholders’ equity as of December 31, 2022 was THB 10,254.52 million, increased by 10.80 percent from THB 9,255.22 million at the end of 2021. This was resulted from a good operating performance that reflected on a rise in the Company’s retain earnings. The Company had registered capital of THB 2,639.22 million and retained earnings of THB 4,719.75 million.

Total revenues in 2022 amounted to THB 5,623.60 million increased by 27.39 percent from THB 4,414.38 million in 2021 as a result of a growth in portfolio. The major sources of revenues were from interest income form loan receivables which mainly were interest income from hire purchase business, accounted for 74.13 percent of total revenue in 2022 and 74.48 of total revenue in 2021.

The total profit for the year 2022 amounted to THB 1,512.14 million increased by 25.72 percent from THB 1,202.80 million in 2021. The net profit margin ratio in 2022 was 26.89 percent decreased from 27.25 percent in 2021. The return on equity ratio in 2022 was 15.69 percent, slightly increased from 15.66 percent at the end of 2021.

The total portfolio before allowance for expected credit losses in 2022 amounted to THB 67,605.39 million, increased from THB 55,728.79 million in 2021 or increased by 21.31 percent. The NPLs ratio at the end of 2022 was at 3.47 percent of the total portfolio, increased from 2.71 percent at the end of 2021. This was the result of an increase in delinquency of the Company and its subsidiary. The allowance for expected credit losses to NPLs ratio was 75.04 percent at the end of 2022, increased from 88.35 percent at the end of 2021.

Operating Performance by Business

Revenues

The total revenues of the Company and its subsidiaries during 2020 - 2022 equaled to THB 3,595.61 million, THB 4,414.38 million and THB 5,623.60 million respectively. The major sources of revenues were an interest income from loan receivables and service income.

Interest income from loan receivables

Interest income from loan receivables in 2020 - 2022 amounted to THB 3,183.90 million, THB 3,807.93 million and THB 4,862.80 million respectively. Interest income in 2021 increased 19.60 percent from 2020 and interest income in 2022 increased 27.70 percent from 2021. Interest income from loan receivables in 2020 - 2022 accounted for 88.55 percent 86.26 percent and 86.47 percent of total revenues respectively.

Interest income from hire purchase agreements

Interest Income from hire purchase agreements during 2020 - 2022 amounted to THB 2,857.62 million, THB 3,288.02 million and THB 4,168.89 million, respectively. The hire-purchase interest income in 2021 increased by 15.06 percent from 2020, income in 2022 increased by 26.79 percent from 2021 due to the expansion in the hire purchase portfolio. The hire-purchase account receivables before allowance for expected credit losses at the end of the year 2020 - 2022 equaled to THB 40,734.27 million, THB 49,888.06 million and THB 60,637.60 million respectively. The hire-purchase interest income accounted for 79.48 percent, 74.48 percent and 74.13 percent of the total revenues of the Company and its subsidiaries during the year 2020 - 2022 respectively.

Interest income from financial lease agreements

Interest income from financial leases agreements of the subsidiary (Bangkok Grand Pacific Lease Plc.) during 2020 - 2022 amounted to THB 48.25 million, THB 63.58 million and THB 79.72 million respectively. Income in 2021 increased by 31.77 percent from 2020 and income in 2022 increased by 25.39 percent from 2021. The increase was mainly from an increase in financial lease portfolio in accordance of increase of disbursement. The financial lease receivables before allowance for expected credit losses at the end of the year 2020 - 2022 equaled to THB 810.62 million, THB 1,114.15 million and 1,255.42 THB million respectively. Interest income from financial leases accounted for 1.34 percent, 1.44 percent and 1.42 percent of the total revenues of the Company and its subsidiaries respectively.

Interest income from factoring business

Interest income from factoring business of the subsidiary (Bangkok Grand Pacific Lease Plc.) during 2020 - 2022 amounted to THB 8.22 million, THB 2.88 million and THB 2.36 million respectively. Income in 2021 decreased by 64.96 percent from 2020 and income in 2022 decreased by 17.36 percent from 2021. The decreases in factoring income were resulted from a drop in factoring disbursement due to the stringent credit policy of subsidiary. The factoring receivables before allowance for expected credit losses at end of the year 2020 - 2022 equaled to THB 125.36 million, THB 126.84 million and 16.49 THB million respectively. Factoring income accounted for 0.23 percent, 0.07 percent and 0.04 percent of the total revenues of the Company and its subsidiaries respectively.

Interest income from loan agreements

Interest income from loan business during 2020 - 2022 amounted to THB 269.81 million, THB 453.45 million and 611.81 THB million respectively. Income in 2021 increased by 68.06 percent from 2020, income in 2022 increased by 34.92 percent from 2021 due to the expansion in the loan portfolio. The loan account receivables before allowance for expected credit losses at the end of the year 2020 - 2022 equaled to THB 2,819.52 million, THB 4,599.74 million and THB 5,695.88 million respectively. The interest income accounted for 7.50 percent, 10.27 percent and 10.88 percent of the total revenues of the Company and its subsidiaries during the year 2020 - 2022 respectively.

Service incomes

Service incomes during 2020 - 2022 amounted to THB 298.46 million, THB 509.57 million and THB 638.10 million respectively. Service incomes comprised of service income from insurance broker business, fee and other service incomes. Service incomes were mainly from service income from insurance broker business which accounted for 91.93 percent of service income in 2022.

Service income from insurance broker business

Service income from insurance broker business during 2020 - 2022 amounted to THB 262.44 million, THB 468.32 million and THB 586.58 million respectively. This income in 2021 increased by 78.45 percent from 2020, income in 2022 increased by 25.25 percent from 2021 due to an increase of disbursement and penetration rate.

Other Incomes

Other incomes included penalty income, dividend income and etc. Other incomes from the Company and its subsidiaries during 2020 - 2022 amounted to THB 113.25 million, THB 96.88 million and THB 122.70 million respectively. Other incomes in 2021 decreased by 14.45 percent from 2020 and other incomes in 2022 decreased by 26.65 percent from 2021. Such increases were mainly attributable to a decrease in penalty income.

Expenses

The Company and its subsidiaries’ expenses (including expected credit losses and impairment loss on assets foreclosed and finance cost, excluding income tax expenses) during 2020 - 2022 amounted to THB 2,475.04 million, THB 2,905.07 million and THB 3,727.15 million respectively. The expenses in 2021 increased by 17.37 percent from 2020 and expenses in 2022 increased by 28.30 percent from 2021. The major source of expenses was selling and administrative expenses whereas the other sources of expenses included, finance cost and expected credit losses and impairment loss on assets foreclosed/ bad debt and doubtful accounts expenses as below:

Selling and administrative expenses

Selling and administrative expenses of the Company and its subsidiaries during 2020 - 2022 amounted to THB 988.10 million, THB 1,049.22 million and THB 1,126.66 million respectively. Selling and administrative expenses in 2021 increased by 6.19 percent from 2020 and the expenses in 2022 increased by 7.38 percent from 2021. This increase was due to the growth of disbursement while the Company had better efficiency. The cost to income ratio in 2022 was 26.26 percent, decreased from 31.07 percent in 2021. Selling and administrative expenses accounted for 39.92 percent, 36.12 percent and 30.23 percent of the total expenses exclude income tax expenses of the Company and its subsidiaries during 2020 - 2022 respectively. The selling and administrative expenses were mainly employee expenses.

Expected credit losses and impairment losson assets foreclosed/Bad debts and doubtful accounts expenses

Expected credit losses and impairment loss on assets foreclosed expenses of the Company and its subsidiary during 2020 - 2022 amounted to THB 557.29 million, 816.72 THB and THB 1,264.88 million respectively. Expected credit losses and impairment loss on assets foreclosed in 2021 increased by 46.55 percent from 2020, and in 2022 increased by 54.87 percent from 2021. This was due to a write-off and an increase in delinquency both from the Company and the subsidiary. The Company had expected credit losses and impairment loss on assets foreclosed to average loan receivable ratio in 2020 - 2022 equal to 1.34 percent, 1.68 percent and 2.09 percent respectively. The expected credit losses and impairment loss on assets foreclosed accounted for 22.52 percent, 28.11 percent and 33.94 percent of total expenses exclude income tax expenses during 2020 - 2022 respectively.

Financial Cost

Financial cost was the main cost of the Company’s business which consisted of interest expenses and guarantee fees. The financial cost of the Company and its subsidiaries during 2020 - 2022 amounted to THB 929.65 million, THB 1,039.13 million and THB 1,335.61 million respectively. Financial cost in 2021 increased by 11.78 percent from 2020. Financial cost in 2022 increased by 28.53 percent from 2021 due to an increase of the borrowings amount to support the portfolio expansion and an increase of interest rate duet to the fact that the Company increased long term loan to reduce liquidity risk. The interest expense rate in 2020 - 2022 were equal to 2.49 percent, 2.55 percent and 2.63 percent respectively. During the year 2020 - 2022, the financial cost accounted for 37.56 percent, 35.77 percent and 35.83 percent of the total expenses exclude income tax expense respectively.

Profit for the year

Profits during the year 2020 - 2022 for the Company and its subsidiaries amounted to THB 883.06 million, THB 1,202.80 million and THB 1,512.14 million respectively. The profit in 2021 increased by 36.21 percent from 2020 and profit in 2022 increased by 25.72 percent from 2021. This increase was a result of the Company’s improvement in operating efficiency and cost management. Net profit margin ratio during the year 2020 - 2022 equaled to 24.56 percent, 27.25 percent and 26.89 percent respectively. The earning per weighted average shares during the year 2020 - 2022 equaled to THB 2.51 per share, THB 2.62 per share and THB 2.86 per share respectively.

Financial Status Analysis

Assets

The total assets of the Company and its subsidiaries at the end of the year 2020 - 2022 amounted to THB 44,930.66 million, THB 56,668.69 million and THB 69,148.57 million respectively. Total assets at the end of 2021 increased by 26.12 percent from end of 2020 and total assets at the end of 2022 increased by 22.02 percent from end of 2021. The increase in total assets was mainly due to a growth of the number of the hire-purchase account receivables (net of allowance for expected credit losses) which were the main assets of the Company and its subsidiaries which accounted for 88.76 percent, 86.18 percent and 85.66 percent of the total assets at the end of the year 2020 - 2022 respectively. The main assets of the Company and its subsidiaries were summarized as follows:

Total portfolio

Total portfolio (net of allowance for expected credit losses) of the Company and its subsidiary at the end of the year 2020 - 2022 amounted to THB 43,455.88 million, THB 54,396.30 million and THB 65,844.18 million respectively. Total portfolio at the end of 2021 increased by 25.18 percent from end of 2020 and total assets at the end of 2022 increased by 21.05 percent from end of 2021. The detail of types of portfolio are as follow;

Hire-Purchase Receivables

The hire-purchase receivables (net of allowance for expected credit losses) of the Company and its subsidiary at the end of the year 2020 - 2022 amounted to THB 39,881.93 million, THB 48,837.71 million and THB million respectively. The hire-purchase receivables at the end of 2021 increased by 22.46 percent from end of 2020 and hire-purchase receivables at the end of 2022 increased by 21.29 percent from end of 2021. Such increases were mainly due to a growth of the hire-purchase disbursement of the Company and its subsidiary. The disbursement in 2022 amounted to THB 30,024.62 million increased 50.99 percent from THB 25,431.57 million in 2021.

Financial Lease Receivables

The financial lease receivable (net of allowance for expected credit losses) of the subsidiary (Bangkok Grand Pacific Lease Plc.) at the end of the year 2020 - 2022 amounted to THB 777.07 million, THB 1,081.89 million and THB 1,235.24 million respectively. Financial lease receivables at the end of 2021 increased by 39.23 percent from end of 2020 and financial lease receivables at the end of 2022 increased by 14.17 percent from end of 2021 from an increase of disbursement. Financial lease disbursement in 2022 amounted to THB 656.69 million slightly decreased from THB 674.15 million from 2021.

Loan Receivables

The loan receivables (net of allowance for expected credit losses/ doubtful accounts) of the Company and its subsidiary at the end of the year 2020 - 2022 amounted to THB 2,733.50 million, THB 4,411.85 million and THB 5,357.58 million respectively. The loan receivables at the end of 2021 increased by 61.40 percent from end of 2020 and loan receivables at the end of 2022 increased by 21.44 percent from end of 2021. The increase in the loan receivables were mainly from to a growth of the disbursement of the Company and its subsidiary. The disbursement in 2022 amounted to THB 4,925.36 million increased 3.95 percent from THB 4,738.04 million in 2021. The majority of disbursement were from loan of the subsidiary in the amount of THB 2,440.50 and the car loan of the Company in the amount of THB 1,431.55 million.

Quality of Receivables of the Company and its subsidiary

The Company and its subsidiary had the customer’s status classification under Thai Financial Report Standard 9 to assess the quality of the receivables. The Company classify receivables status by state of credit risk.

Table of the balance of hire purchase receivables of the Company and its subsidiary classified by State of credit risk as at December 31, 2022

State of credit risk Amount
(Million Baht)
Percent Allowance for
expected
credit losses
Receivables with no significant increase in credit risk (State 1) 54,402.94 89.72 517.83
Receivables with a significant increase in credit risk (State 2) 4,346.66 7.17 444.83
Receivables that are credit-impaired (State 3) 1,888.00 3.11 439.97
Total 60,637.60 100.00 1,402.63
Less: Allowance for expected credit losses 1,402.63    
Hire purchase lease receivables - net 59,234.97    

Note: * The hire purchase receivables were calculated from the hire purchase receivables before subtracting allowance for expected credit risk.

Table of the balance of financial lease receivables of the subsidiary classified by State of credit risk as at December 31, 2022

State of credit risk Amount
(Million Baht)
Percent
Allowance for
expected
credit losses
Receivables with no significant increase in credit risk (State 1) 1,221.68 97.31 5.72
Receivables with a significant increase in credit risk (State 2) 8.64 0.69 2.23
Receivables that are credit-impaired (State 3) 25.10 2.00 12.23
Total 1,255.42 100.00 20.18
Less: Allowance for expected credit losses 20.18    
Financial lease receivables - net 1,235.24    

Note: * The financial lease receivables were calculated from the financial lease receivables before subtracting allowance for expected credit risk.

Table of the balance of factoring receivables of the subsidiary classified by State of credit risk as at December 31, 2022

State of credit risk Amount (Million Baht)
Percent
Allowance for
expected
credit losses
Receivables with no significant increase in credit risk (State 1) 16.39 99.40 -
Receivables with a significant increase in credit risk (State 2) - - -
Receivables that are credit-impaired (State 3) 0.10 0.60 0.10
Total 16.49 100.00 0.10
Less: Allowance for expected credit losses 0.10    
Factoring receivables - net 16.39    

Note: * The factoring receivables were calculated from the factoring receivables before subtracting allowance for expected credit risk.

Table of the balance of loan receivables of the Company and its subsidiary classified by State of credit risk as at December 31, 2022

State of credit risk Amount (Million Baht)
Percent
Allowance for
expected
credit losses
Receivables with no significant increase in credit risk (State 1) 5,025.86 88.24 41.99
Receivables with a significant increase in credit risk (State 2) 236.15 4.14 52.46
Receivables that are credit-impaired (State 3) 433.87 7.62 243.85
Total 5,695.88 100.00 338.30
Less: Allowance for expected credit losses 338.30    
Loan receivables - net 5,357.58    

Note: * The loan receivables were calculated from the loan receivables before subtracting allowance for expected credit risk.

Non-performing loans to total lending (NPL ratio) at the end of the year 2020 - 2022 of the Company and its subsidiary were at 2.87 percent 2.71 percent and 3.47 percent respectively.

The adequacy of the Company and its subsidiary’s provision for expected credit losses

The Company and its subsidiary have adequate provision for expected credit losses. Management judgement is used in estimating the allowance for expected credit losses of debtors who are having problems making principal and/or interest payments, with management taking into consideration analysis of debtor status performed on an individual and a group basis, the probability of default, estimated losses arising from the default, historical collection experience, collateral value, statistical data and economic factors. These are used in determining assumptions and forward-looking scenarios, as well as probability weighted outcomes. In addition, the management sets aside an additional allowance for expected credit losses to account for the uncertainties around future events that have not yet been reflected in the model (Management overlay), based on the assessment and judgement of the management. In 2021 and 2022 the management have decided to record management overlay after careful consideration of various factors and the effect of the COVID-19 pandemic, which has resulted in an economic slowdown and could affect the credit quality of receivables in the future, as well as temporary measures to provide debt relief under which receivables are restaged in a way that not fully reflect the credit quality and expected credit loss.

The allowance for expected credit losses to NPL ratio at the end of 2022 was 75.04 percent, reflecting the adequacy of the provision for credit losses of the Company and its subsidiary.

Land, Building and Equipment and Intangible assets

Land, Building and Equipment and Intangible assets (Intangible assets such as computer programs) of the Company and its subsidiaries at the end of the year 2020 - 2022 amounted to THB 183.72 million, THB 168.64 million and THB 202.62 million respectively

Assets Foreclosed

Assets foreclosed of the Company and its subsidiary such as vehicles and equipment repossessed from contractual customers’ default, at the end of the year 2020 - 2022 amounted to THB 95.98 million, THB 122.07 million and THB 556.55 million respectively, comprised of 169 contracts, 217 contracts and 587 contracts respectively which considered to be very low comparing to the total numbers of contracts at the end of the year 2020 - 2022 amounted to 49,353 contracts, 55,641 contracts and 63,279 contracts respectively. This was resulted from the Company and its subsidiary’s efficient in control system and collection process along with high liquidity of financed assets.

Total Liabilities

liabilities of the Company and its subsidiaries at the end of the year 2020 - 2022 amounted to THB 39,262.97 million, THB 47,413.47 million and THB 58,894.05 million respectively. The total liabilities at the end of 2021 increased 20.76 percent from end of 2020 and total liabilities at the end of 2022 increased 24.21 percent from end of 2021. The increases in liabilities were mainly from an increase in the borrowings to support disbursement and the growth of portfolio.

Table presents details of total liabilities of the Company and its subsidiaries

(Million baht)

Liabilities As at December 31
2020 2021 2022
THB million % THB million % THB million %
Bank overdrafts and short-term loans from banks 4,030.00 10.26 3,780.00 7.97 500.00 0.85
Bank overdrafts and short-term loans from related party 1,000.00 2.55 500.00 1.05 - -
Current portion of long-term loans from banks 2,269.78 5.78 5,009.67 10.57 5,649.18 9.59
Current portion of long-term loans from related party 2,150.00 5.47 2,850.00 6.01 800.00 1.36
Other short-term loan 8,801.88 22.42 4,686.94 9.89 10,500.34 17.83
Current portion of long-term debentures 2,334.76 5.95 3,556.02 7.50 4,748.71 8.06
Short-term debentures - - 499.98 1.05 - -
Total current borrowings 20,586.42 52.43 20,882.61 44.04 22,198.23 37.69
Long-term loans from banks 8,654.35 22.04 12,492.16 26.35 19,666.05 33.39
Long-term loans from related party 3,650.00 9.30 3,600.00 7.59 2,800.00 4.75
Long-term debentures 4,836.75 12.32 8,018.45 16.91 11,458.51 19.46
Total non-current borrowings 17,141.10 43.66 24,110.61 50.85 33,924.56 57.60
Total borrowings 37,727.52 96.09 44,993.22 94.89 56,122.79 95.29
Other liabilities /1 1,535.45 3.91 2,420.25 5.11 2,771.26 4.71
Total liabilities 39,262.97 100.00 47,413.47 100.00 58,894.05 100.00

Source: Audited 2020 - 2022 consolidated financial statements of Asia Sermkij Leasing Public Company Limited.

Note: 1/Other liabilities consisted of lease liabilities, amounts due to related parties, income tax payable, other current liabilities, rental deposit, derivative liabilities, and provision for long-term employee benefit, etc.

The Company and its subsidiaries had short-term borrowings (Including the current portion of longterm borrowings that due within 1 year) at the end of 2020 - 2022 amounted to THB 20,586.42 million, THB 20,882.61 million and THB 22,198.23 million respectively, or equaled to 52.43 percent, 44.04 percent and 37.69 percent of total liabilities at the end of 2020 - 2022 respectively.

Debt to equity ratio of the Company and its subsidiaries at the end of the year 2020 - 2022 equaled to 6.93 times, 5.12 times and 5.74 times respectively.

Shareholders’ equity

Shareholders’ equity of the Company and its subsidiaries at the end of the year 2020 - 2022 amounted to THB 5,667.69 million, THB 9,255.22 million and THB 10,254.52 million respectively. The good operating performance raised the retained earnings. In 2022, the retained earnings at the end of 2022 equaled to THB 4,719.76 million, increased from THB 3,803.43 million in 2021.

Return on equity during 2020 - 2022 equaled 16.27 percent, 15.66 percent and 15.66 respectively.

Liquidity

As at December 31, 2022 the loan repayment and the installment to be obtained in different period were summarized as follows:

(Million Baht)

Period Loan Repayment Due Installment to be Obtained from Debtor
Within 1 year 22,254.50 25,690.57
More than 1 year but not more than 2 years 24,398.00 17,319.83
More than 2 years but not more than 3 years 8,944.40 18,100.40
More than 3 years - 15,532.86
Stop accrued account receivables - -
Total 55,596.90 76,643.66

The Company and its subsidiaries have the installment expected to be obtained within 1 year more than loan repayment due in 1 year which indicate the adequacy of financial liquidity. The Company and its subsidiaries have improved the funding structure by gradually increasing the long-term borrowings to short-term borrowings ratio to prevent liquidity risk. In the end of 2021, the Company and its subsidiaries had long-term borrowings to short-term borrowings ratio at 80 : 20

In addition, the Company and its subsidiaries still have the unused credit line from financial institutions amounting to approximately THB 11,631 million. These factors reflected the credibility and sufficiency in the financial status of the Company and its subsidiaries.

Borrowings As at December 31
2020 2021 2022
THB million % THB million % THB million %
Short-term borrowings-excluding the current portion of long-term borrowings 13,831.88 36.66 9,466.92 21.04 11,000.34 19.60
Long-term borrowings-including the current portion 23,895.64 63.34 35,526.30 78.96 45,122.45 80.40
Total borrowings 37,727.52 100.00 44,993.22 100.00 56,122.79 100.00

Cash Flow

The Company and its subsidiaries had the profit before tax during the year 2020 - 2022 amounted to THB 1,120.57 million, THB 1,509.32 million and THB 1,896.45 million respectively. After adjusting the non-cash expenditures and the change in assets and liabilities, the Company and its subsidiaries had the net cash flow used in operating activities during the year 2020 - 2022 amounted to THB 1,988.34 million, THB 9,126.91 million and THB 10,250.90 million respectively. This was mainly resulted from an increase in hire purchase receivables during the year 2020 - 2022 by THB 2,090.63 million, THB 9,929.21 million and 12,229.53 THB million respectively and the increase in loan receivables during the year 2020 - 2022 by THB 1,004.30 million, THB 1,821.20 million and THB 1,212.00 million respectively.

The net cash flow used in investing activities of the Company and its subsidiaries during the year 2020 - 2022 amounted to THB 36.38 million, THB 10.25 million and THB 62.97 million respectively. The net cash flow used in 2022 increased from 2021 due to an investment in assets of the Company and its subsidiaries.

Moreover, the net cash flow from financing activities of the Company and its subsidiaries during the year 2020 - 2022 amounted to THB 1,962.04 million, THB 9,213.54 million and THB 10,443.76 million respectively. The increase in 2022 was mainly from long-term borrowings and debentures.

Fulfillment of borrowing covenant obligation

The Company has to comply with the borrowing covenant by maintaining debt to equity ratio of not more than 10 times which the Company has always fulfilled the obligation. As of December 2022, the Company has debt to equity ratio at 5.74 times.

Relief measures to assist customers who were affected from COVID-19

The Company and its subsidiary provided debt restructuring measure to assist customer who were affected from Covid 19 pandemic. As of December 31, 2022 the company and its subsidiary had debts which are under the measures to assist customer totally 9.08 percent of total portfolio of the Company and its subsidiary.