TAIWAN COOPERATIVE FINANCIAL HOLDING CO., LTD. (合庫金控) 2025 Q1 法說會簡報

Company Overview

• Company Name: TAIWAN COOPERATIVE FINANCIAL HOLDING CO., LTD. (合庫金控)
• Motto/Slogan: 主動、靈活、創新 (Proactive, Flexible, Innovative)
• Core Subsidiary: Cooperative Bank (合庫銀行)
• Other Subsidiaries:
  • Cooperative Securities (合庫證券)
  • Cooperative Bills Finance (合庫票券)
  • Cooperative Asset Management (合庫資產管理)
  • Cooperative Investment Trust (合庫投信)
  • Cooperative Venture Capital (合庫創投)
  • Cooperative Life Insurance (合庫人壽)

Financial Highlights and Key Metrics

2.1. Cooperative Financial Holdings (Consolidated)

• Unit: NT$ Million (新臺幣佰萬元) unless otherwise specified.
• Key Metrics (3M 2025 vs. 3M 2024)
  • Consolidated Net Income After Tax: NT$ 4,991 million (3M 2025) vs. NT$ 5,383 million (3M 2024), YOY -7.28%
  • Consolidated Total Assets: NT$ 5,169,079 million (3M 2025) vs. NT$ 4,918,897 million (3M 2024), YOY 5.09%
  • Consolidated Net Worth: NT$ 264,720 million (3M 2025) vs. NT$ 252,848 million (3M 2024), YOY 4.70%
  • EPS (NT$): NT$ 0.32 (3M 2025) vs. NT$ 0.34 (3M 2024), YOY -5.88%
  • BPS (NT$): NT$ 17.01 (3M 2025) vs. NT$ 16.78 (3M 2024), YOY 1.37%
  • Capital Stock: NT$ 152,242 million (3M 2025) vs. NT$ 147,094 million (3M 2024), YOY 3.50%
  • ROA (after tax, annualized, %): 0.39% (3M 2025) vs. 0.44% (3M 2024), YOY -0.05%
  • ROE (after tax, annualized, %): 7.61% (3M 2025) vs. 8.64% (3M 2024), YOY -1.03%
  • Group Capital Adequacy Ratio (%): 127.86% (3M 2025) vs. 121.02% (3M 2024), YOY 6.84%
  • Double Leverage Ratio (individual, %): 118.39% (3M 2025) vs. 118.40% (3M 2024), YOY -0.01%
  • Debt-to-Equity Ratio (individual, %): 19.91% (3M 2025) vs. 20.58% (3M 2024), YOY -0.67%

2.2. Cooperative Bank (Individual)

• Unit: NT$ Million (新臺幣佰萬元) unless otherwise specified.
• Key Metrics (3M 2025 vs. 3M 2024)
  • Capital Adequacy Ratio: 15.62% (3M 2025) vs. 14.71% (3M 2024), YOY 0.91%
  • Tier 1 Capital Ratio: 13.55% (3M 2025) vs. 13.05% (3M 2024), YOY 0.50%
  • NPL Ratio (%): 0.17% (3M 2025) vs. 0.19% (3M 2024), YOY -0.02%
  • NPL Coverage Ratio (%): 663.65% (3M 2025) vs. 613.99% (3M 2024), YOY 49.66%
  • Loan Coverage Ratio (%): 1.26% (3M 2025) vs. 1.30% (3M 2024), YOY -0.04%
  • Tier 1 Credit Asset Provision Ratio (%): 1.22% (3M 2025) vs. 1.25% (3M 2024), YOY -0.03%

Recent Performance and Results (2025 Q1)

3.1. Cooperative Financial Holdings - Consolidated Net Income After Tax

• 3M 2025 Performance:
  • Net Revenue: NT$ 17,408 million (+10.18% YOY)
  • Operating Expenses: NT$ 7,748 million
  • Provisions: NT$ 3,291 million (+91.23% YOY)
  • Income Tax: NT$ 1,378 million
  • Consolidated Net Income After Tax: NT$ 4,991 million (-7.28% YOY)

3.2. Profit Performance of Subsidiaries (3M 2025 Net Income)

• Cooperative Bank: NT$ 4,956 million
• Cooperative Securities: NT$ (68) million (Loss)
• Cooperative Bills Finance: NT$ 83 million
• Cooperative Asset Management: NT$ 89 million
• Cooperative Investment Trust: NT$ 4 million
• Cooperative Venture Capital: NT$ 3 million
• Cooperative Life Insurance: NT$ 108 million
• Cooperative Financial Holdings Other: NT$ (184) million (Loss)

3.3. Revenue Contribution of Subsidiaries (3M 2025)

• Cooperative Bank: 95.76%
• Cooperative Asset Management: 1.72%
• Cooperative Life Insurance: 2.09%
• Remaining 4 Subsidiaries: 0.43%

3.4. Cooperative Bank - Net Revenue (3M 2025 vs. 3M 2024)

• Net Revenue: NT$ 13,896 million (-0.52% YOY)
• Net Interest Income: NT$ 8,243 million (+15.51% YOY)
• Net Fee Income: NT$ 2,627 million (-23.28% YOY)
• Net Gains/Losses from Financial Instruments: NT$ 2,768 million (-17.25% YOY)
• Other Non-Interest Income: NT$ 258 million (+309.52% YOY)

3.5. Cooperative Bank - Net Fee Income Breakdown (3M 2025 vs. 3M 2024)

• Total Bank: NT$ 2,627 million (-23.28% YOY)
  • Corporate Banking: NT$ 547 million (-60.59% YOY)
  • Retail Banking: NT$ 164 million (+8.61% YOY)
  • Overseas Business: NT$ 104 million (-12.61% YOY)
  • Wealth Management: NT$ 1,721 million (+3.36% YOY)
  • Credit Cards: NT$ 37 million (-11.90% YOY)
  • Other: NT$ 54 million (-8.47% YOY)

3.6. Cooperative Bank - Wealth Management Fee Income Breakdown (3M 2025 vs. 3M 2024)

• Wealth Management Income: NT$ 1,721 million (+3.36% YOY)
  • Trust Wealth Management: NT$ 567 million (-8.10% YOY)
  • Insurance: NT$ 995 million (+8.62% YOY)
  • Custody & Trust: NT$ 153 million (+17.69% YOY)
  • Gold Passbook: NT$ 6 million (+200.00% YOY)

3.7. Cooperative Bank - Operating Expenses (3M 2025 vs. 3M 2024)

• Operating Expenses: NT$ 7,070 million (+3.41% YOY)
• Operating Expense Ratio (%): 50.88% (+1.93% YOY)
• Employee Benefits Expenses: NT$ 4,264 million (+1.91% YOY)
• Depreciation & Amortization Expenses: NT$ 657 million (0.00% YOY)
• Other Business & Administrative Expenses: NT$ 2,149 million (+7.67% YOY)

3.8. Cooperative Bank - Loan Structure (as of 3M 2025)

• Total Loans: NT$ 30,799 million (+7.64% YOY)
  • Large Corporate: NT$ 3,852 million (+19.11% YOY)
  • SME Loans: NT$ 8,420 million (+1.75% YOY)
  • OBU & Overseas Units: NT$ 2,608 million (+5.54% YOY)
  • Government & Public Enterprises: NT$ 4,672 million (-1.87% YOY)
  • Individual Loans: NT$ 11,199 million (+13.92% YOY)
  • Other Corporate Loans: NT$ 48 million (+14.29% YOY)

3.9. Cooperative Bank - Deposit Structure (as of 3M 2025)

• Total Deposits: NT$ 40,496 million (+2.60% YOY)
  • NTD Demand Deposits: NT$ 19,272 million (-0.41% YOY)
  • NTD Time Deposits: NT$ 14,049 million (+10.52% YOY)
  • Foreign Currency Deposits: NT$ 7,175 million (-3.09% YOY)

3.10. Cooperative Bank - Overall Loan-to-Deposit Ratio (as of 1Q25)

• Loan-to-Deposit Ratio: 76.05% (up 3.55 percentage points from 3M 2024)

3.11. Cooperative Bank - Interest Spreads & Net Interest Margin (as of 3M 2025)

• NTD Loan-to-Deposit Spread: 1.173% (cumulative average)
• Foreign Currency Loan-to-Deposit Spread: 2.136% (cumulative average)
• Overall Interest Spread: 1.069% (cumulative average)
• Net Interest Margin: 0.720% (cumulative average)

3.12. Cooperative Bank - Overseas Profit (3M 2025)

• Overseas Pre-tax Profit (Quarterly): NT$ 824 million
• Cumulative Overseas Pre-tax Profit as % of Total Bank Pre-tax Profit: 13.25%

Future Outlook and Guidance

• Capital Adequacy: Cooperative Bank's Capital Adequacy Ratio for 1Q25 is 15.62%, meeting the FSC's D-SIBs internal management capital requirement of 14.5% by end of 2025.
• Tier 1 Capital: Cooperative Bank's Tier 1 Capital Ratio for 1Q25 is 13.55%, meeting the FSC's D-SIBs internal management capital requirement of 12.5% by end of 2025.

Strategic Initiatives and Plans

• ESG Focus: Actively engaged in ESG, re-selected for S&P Sustainability Yearbook, ranked among top 5% of S&P Global ESG scores.
• Innovation & Technology: Cooperative Bank ranked seven times in "Top 100 Domestic Corporate Patent Applicants" by Ministry of Economic Affairs Intellectual Property Office.
• Social Responsibility:
  • Cooperative Bank awarded for outstanding performance in SME credit guarantee financing.
  • Awards received include "Low-Carbon Smart Award," "Post-Pandemic Revitalization Award," "Youth Entrepreneurship, Startup & Micro-Enterprise Support Award," "Assistance to Enterprises Award," and "0403 Reconstruction Support Award."
  • Cooperative Bank awarded "2025 Taiwan Sustainable Building Award Gold Award" and "Energy-Saving Building Leader Award."
  • Recognized with "Business Excellence Award: ACH Collection Business Excellence" and "Inclusive Finance Model Award: Smart Government Payment Services."
  • Cooperative Life Insurance awarded "Outstanding Company for Enhancing National Insurance Protection Scheme" for the 25th time.
  • Cooperative Life Insurance won Bronze Award for "Social Innovation Award."

Key Charts, Graphs, and Data Points

• Operating Performance: Table comparing 3M 2024 vs 3M 2025.
• Consolidated Net Income After Tax: Bar chart illustrating YOY changes.
• Profit Performance of Subsidiaries: Bar chart.
• Revenue Contribution: Pie charts for subsidiaries.
• Net Revenue Comparison: Table and bar charts for 3M 2024 vs 3M 2025.
• Net Fee Income Comparison: Table and bar charts for 3M 2024 vs 3M 2025.
• Wealth Management Fee Income Comparison: Table and bar charts for 3M 2024 vs 3M 2025.
• Operating Expenses Comparison: Table and bar charts for 3M 2024 vs 3M 2025.
• Loan Structure Comparison: Table and bar charts for 3M 2024 vs 3M 2025.
• Deposit Structure Comparison: Table and bar charts for 3M 2024 vs 3M 2025.
• Overall Loan-to-Deposit Ratio: Line and bar charts from 1Q23 to 1Q25.
• Interest Spread and Net Interest Margin: Line charts from 3M23 to 3M25.
• Overseas Profit: Line and bar charts from 1Q23 to 1Q25.
• Asset Quality Trends: Table and bar charts for 3M 2024 vs 3M 2025.
• Capital Ratios: Line charts from 1H22 to 1Q25.
• Detailed Financial Statements: Pages with key ratios for the holding company and each subsidiary.

Important Product Names, Terms, and Concepts

• Financial Products/Services:
  • 手續費淨收益 (Net Fee Income)
  • 金融商品(含兌換)淨損益 (Net Gains/Losses from Financial Instruments)
  • 利息淨收益 (Net Interest Income)
  • 放款 (Loans): 各類放款明細
  • 存款 (Deposits): 各類存款明細
  • 財富管理 (Wealth Management)
  • 信用卡 (Credit Cards)
  • 經紀業務 (Brokerage Business)
  • 融資業務 (Financing Business)
  • ACH代收業務 (ACH Collection Business)
  • 保險保障方案 (Insurance Protection Scheme)
• Financial Metrics/Ratios:
  • 稅後淨利 (Net Income After Tax)
  • 總資產 (Total Assets)
  • 淨值 (Net Worth)
  • 每股盈餘 (EPS)
  • 每股淨值 (BPS)
  • 股本 (Capital Stock)
  • 資產報酬率 (ROA)
  • 淨值報酬率 (ROE)
  • 資本適足率 (Capital Adequacy Ratio)
  • 雙重槓桿比率 (Double Leverage Ratio)
  • 負債比率 (Debt-to-Equity Ratio)
  • 存放比 (Loan-to-Deposit Ratio)
  • 利差 (Interest Spread)
  • 淨利息收益率 (Net Interest Margin)
• Regulatory/Industry Terms:
  • D-SIBs (Domestic Systemically Important Banks)
  • 金管會 (Financial Supervisory Commission, FSC)
  • 經濟部智慧財產局 (Ministry of Economic Affairs)
• ESG & Awards:
  • 標普永續年鑑 (S&P Sustainability Yearbook)
  • 各類獎項相關明細

Products, Services & Technology

• Financial Services:
  • Corporate Banking
  • Retail Banking
  • Overseas Business
  • Wealth Management
  • Credit Cards
  • Trust Wealth Management
  • Insurance
  • Custody & Trust
  • Gold Passbook
  • Brokerage Business
  • Financing Business
  • ACH Collection Business
  • Smart Government Payment Services
  • SME Credit Guarantee Financing
• Technology Platforms/Systems: Implied by service offerings like "Smart Government Payment Services."
• Industry-specific Terminology:
  • OBU (Offshore Banking Unit)
  • 逾放 (Overdue Loans / NPL)
  • 催收款 (Overdue Receivables)