We expect KTC’s marketing & advertising spend to increase in 2022. With the easing of the lockdown, consumer confidence and spending should rise. Moreover, we expect KTC’s title loans-for-motorbikes and four-wheeled vehicles portfolio to be a new growth driver this year. Hence, our model points to 2022 earnings expanding 22% YoY. BUY!
Earnings were in line with our estimate
KTC posted a 1Q22 profit of Bt1.7bn, up by 7% YoY and 40% QoQ. The result was in line our projection (but was 9% ahead of the Bloomberg consensus). Pre-provision operating profit was Bt2.4bn, down by 2% YoY and 1% QoQ. 1Q22 earnings comprise 24% of our full-year projection of Bt7.2bn.