Seeking registration as a trust corporation Ontario Olympia Financial Group / TSX: OLY
PR Title
Seeking registration as a trust corporation Ontario
FRC Opinion: Positive – OLY’s subsidiary, Olympia Trust Company, is licensed as a trust corporation in all Canadian provinces except ON, restricting its ability to solicit or market services in ON. Currently, it acquires customers in ON through word-of-mouth referrals. However, with pending registration in ON, OLY could potentially initiate operations within the next six to 12 months, including the establishment of offices and active marketing campaigns to attract new customers in ON.
OLY has not disclosed the percentage of its existing 132k+ accounts that belong to customers in Ontario, Canada's largest market representing 40% of the population. If we assume that ON currently accounts for 10% of OLY’s customer base, we believe OLY could potentially increase its clientele by 50% after launching marketing efforts in the province.
Anticipating record revenue and EPS in 2024, we deem the latest announcement justifiable for revising our long-term revenue forecasts. We intend to incorporate these revisions in our upcoming Q1-2024 update.