Message from the Board of Directors The year 2021 was the second year in which the world was faced the COVID-19 pandemic. As well, Thailand was buffeted by several waves of the COVID-19 infections. As a result, the economic recovery was slow. On the other hand, thanks to spending stimulus measures and easing of containment measures as well as the export which increased in line with the demand recovery in the trading partner countries, the Thai economy registered a growth of 1.6 percent when compared to the year 2020 in which the country suffered a drastic economic contraction of 6.2 percent. However, several businesses and the household section were still hard-hit by the COVID-19 pandemic. The businesses which were most impacted included those related to tourism, hotels, shopping centers and restaurants although the country was opened to foreign tourists in the last quarter of the year. As for Thanachart Group, the year 2021 was also the second year after the Company underwent restructuring whereby it changed from a bank holding company to a diversified investment company. In particular, it used excess cash to continue increasing its equity stakes in the subsidiaries and associated companies as it foresaw future growth potential in these various companies. The excess cash was also used to support the business operations of all the subsidiaries, ensuring that their financial positions were stable. In addition, through its equity stake in T-Plus, the Company offered asset-based financing services in which it had expertise. The purpose of all these investments was to establish a foundation for generating an appropriate and sustainable return to shareholders in the long term. In the past year, the Company and its subsidiaries increased the value of investments and its shareholdings in its key subsidiaries and associated companies, the statuses as at the end of 2021 of which were as follows: • Increase in the equity stake in TTB from 20.11 percent to 23.32 percent with the total value of investments amounting to 45,643 million baht. • Increase in the equity stake in MBK from 22.42 percent to 23.32 percent with the total value of investments amounting to 5,281 million baht. • Increase in the equity stake in THANI from 58.85 percent to 60.16 percent with the total value of investments amounting to 13,695 million baht. • Increase in the equity stake in MBK LIFE from 51.00 percent to 100.00 percent with the total value of investments amounting to 1,081 million baht. As for the performance of the Company and its subsidiaries in 2021, net profit attributable to the Company amounted to 5,287 million baht, representing a decrease of 1,382 million baht or 20.72 percent when compared to the prior year. This was mainly due to the fact that in the first quarter of 2020, the Company recognized a gain from selling its equity stake in AJT, which was a special one-time gain. In case the special gain was excluded, net profit of the Company increased by 1,608 million baht or 43.71 percent. This was mainly due to the stronger performance of the Company and its key subsidiaries. However, the share of profit from investing in the associated companies decreased as they were still impacted by the COVID-19 pandemic. In relation to the asset-based financing services, T-Plus started offering the services since May 2021. Its performance was quite satisfactory with continuous growth. 12
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