BBNI - Maintains steady (bank-only) profit growth through Nov24

BBNI - Maintains steady (bank-only) profit growth through Nov24 Bank Negara Indonesia (BNI) continued its steady growth trajectory in 2024, reporting a year-to-date profit of IDR19.81 tn as of Nov24, a modest 4.03% increase compared to the same period in Nov23. This incremental growth closely mirrored the 4.28% yoy profit expansion observed in the previous month. One of the growth drivers of this positive performance was a robust 14.75% yoy surge in non-interest income, reaching IDR19.22 tn. Concurrently, BBNI's Third Party Funds (DPK) also registered a 6.96% yoy increase. The bank also demonstrated healthy loan portfolio expansion. Total loans disbursed reached IDR739.54 tn Nov24, a notable increase from IDR666.49 tn in the corresponding period of the previous year. (Source : Kontan) Comment : Bank Negara Indonesia (BBNI) reported solid Nov24 (bank-only) earnings growth of 4.04% yoy. This positive performance was underpinned by continued improvements in asset quality, which mitigated potential headwinds. Notably, robust growth in non-interest income (14.7% yoy) contributed significantly to maintaining positive total income growth. In all, Nov24 earnings of IDR19.8 tn was beating our Nov24F bank only earnings for BBNI of IDR19.3 tn. Maintain our BUY call for BBNI with GGM TP of IDR6,300 (1.3x ‘25F P/B).