MTC executives spoke at our Thai Corporate Day last week. We expect the lender to unbanked markets to continue building business and earnings through sales-point expansion (its strategic focus).
Ongoing loan growth is the driver
Following impressive lending expansion of 25% YTD as of end-Sep 2022, we expect MTC to build its loan portfolio further—YoY growth of 29% for 2022 and 16% for 2023 (our assumptions are lower than MTC’s targets of 30-35% for 2022 and 20% for 2023)—enabled by new sales points. The finco targets adding about 600 sales points annually, 2023-25. It intends to build its loan portfolio to Bt200bn within a couple of years.