Thriving KTC keeps faith in measures
Krungthai Card is still confident that consumer spending will respond lavishly to the measures that the state and private sectors have joined in to drive the economy in the last nine months of this year.
KTC saw its first-quarter net profit take a 62-per-cent leap to Bt574 million from the previous year, Rathian Srimongkol, president and CEO, said yesterday.
In the quarter, KTC’s credit card spending growth reached 11 per cent, higher than the industry’s average of 8 per cent.
The company’s total assets increased 7 per cent to Bt52.54 billion. The assets generating the main revenue for the company were in the form of net account receivables, which were 93 per cent of total assets.
Account receivables, after allowance for doubtful accounts, rose 8 per cent to Bt48.61 billion.
Its member base grew 11 per cent to 2.5 million accounts, divided into 1,846,787 credit card accounts (up 13 per cent) with net receivables of Bt33.37 billion and 702,081 personal loan accounts (up 8 per cent) with net receivables of Bt15.04 billion.
Its NPL ratio stood at 2.4 per cent, resulting in reductions of credit card NPLs to 1.6 per cent from 2.2 per cent and personal loan NPLs to 1.1 per cent only from 1.4 per cent.
Bad debts recovered improved 16 per cent to Bt479 billion.
KTC aims to fuel everyday card spending with offers and special privileges in the forms of a discount, instalment payment, use of accumulated points and useful knowledge sharing for consumers in Bangkok and upcountry.
Expanding upcountry
The information is in several categories including gas and auto, dining, department stores, discount stores, supermarkets, sports, mobile phones, information technology, and travel and leisure.
For this year, the company has set a target to rev up revenue and profit by 10-15 per cent by continuing to expand upcountry to major commercial cities connected to neighbouring countries as part of its strategy to gradually increase credit card holders and personal loans in the provinces, he added.
