SET-listed Jay Mart, through its debt management and business loan arm JMT Network Services, aims to increase its debt portfolio value to 200 billion baht this year, up from 184 billion baht in 2019, by taking advantage of low debt-purchase cost.
Adisak Sukumvitaya, chief executive of Jay Mart, which owns 52% of JMT, said JMT's net profit this year is expected to reach 1 billion baht, up from 680 million baht in 2019.
JMT booked 762 million baht in revenue and 227 million baht in profit in the second quarter of 2020, up 28.8% and 52.9% from the same period last year.
Mr Adisak said JMT's 2020 performance is likely to be the strongest in terms of portfolio and net profit since the company was founded 25 years ago.
"Thanks to our business ecosystem, we are the leading debt collector and management firm supported by a variety of platforms, including point-of-sale and payment operated by Jay Mart and Singer, debt collection platform by JMT and customer database by J Fintech and Jay Mart," he said.
JMT gains from the movement of banks, financial institutions and non-bank service providers towards releasing non-performing loans in compliance with new reporting standards.
"We operate business with balance," Mr Adisak said. "The company has a big database of debtors and offers flexible conditions for those affected by the economic downturn."
As debt acquisition costs about 5% of total debt value, this provides crucial flexibility for debt collection.
Jay Mart's personal loan arm, J Fintech, in June completed a joint venture deal with South Korean credit card operator KB Kookmin Card Co.
"This deal is called BTS or 'Bangkok to Seoul', which is a win-win solution for both parties," Mr Adisak said.
The deal enables the South Korean firm to expand its financial business in Thailand after already entering several markets in Asean, including Vietnam, Laos, Myanmar and Cambodia.
KB will sync with Jay Mart Plc's ecosystem to beef up marketing, reach younger customers and expand the customer base of credit cards, personal loans and other financial services.
"KB executives will start running business in the final quarter of this year and aim to become one of the top five in the credit card market by 2025, faster than the original plan of 2030, as a result of the rapid change in the market," Mr Adisak said.