BBCA - Posts net income of IDR14.1 tn

BBCA - Posts net income of IDR14.1 tn Bank Central Asia (BBCA) recorded aconsolidated profit of IDR14.1 tn, up 9.8% yoy in the 1Q25. This is in line with operational income growing by 7.4% yoy to IDR27.9 tn. Meanwhile, in terms of intermediation function, BBCA recorded credit growth of IDR941 tn, up 12.6% yoy. BCA's financing growth was supportedby corporate credit, which increased by 13.9% yoy to IDR443.4 tn. In the same period, commercial credit grew by 9.9% yoy, reaching IDR137.4 tn. The distribution of SME credit grew by 12.9% yoy to IDR124.5 tn, while consumer credit increased by11.3% yoy to IDR225.7 tn. BCA's consumer credit is supported by mortgages (KPR) which grew by 10.5% yoy to IDR135.3 tn, motor vehicle loans (KKB) which grewby 12.3% yoy to IDR67.1 tn, and otheroutstanding consumer loans (mostly credit cards)which increased by 13.9% yoy to IDR23.3 tn. BBCA President Director Jahja Setiaatmadja stated that the momentum of Ramadan and Idulfitri this year has a positive impact on BCA's credit distribution until March 2025. (Source : Cnbc Indonesia) 
 Comment : We like the overall BBCA’s 1Q25 earnings results. 1Q25 PATMI of IDR14.1 tn (9.8% yoy) arrive within consensus and our ‘25F for BBCA PATMI (24.1%/24.1%) and came in at a run-rate of 23.5%/24.1%. We also like its TPF solid growth (6.5% yoy) with SA growth of 7.5% yoy, amid the continuing tight liquidity. This could impact to a much better margin in the following quarter. Maintain BUY with 12M GGM-TP of IDR12,510 (5.0x ‘25F P/B), while currently trades at 3.5x ‘25F P/B, or closed to its -1SD historical mean of 3.2x.