BMRI - Strong 1Q26 PATMI, beat-driven growth across the board

KBVS Update 
Wednesday, 22 April 2026

BMRI: Strong 1Q26 PATMI, beat-driven growth across the board
(Maintain BUY; GGM TP: IDR5,660)

* Sturdy 1Q26 earnings (16.6% YoY) driven by strong growth from top to bottom came in above our and consensus forecasts (27.3%/26.9%). Robust loan continued, buoyed by solid corporate segment growth (29.2% YoY). Ample liquidity remains (TPF: 21.0% YoY), strongly supported by CASA growth of 13.0% YoY.

* Key ratios perform well, with healthier risk metrics and credit costs staying at a low level of 0.58% vs. 0.83% in 1Q25. A flattish NIM amid the ongoing declining loan yield trend sounds acceptable. RoE expansion should be translated as a strong argument to support BMRI valuation.

* The bottom line is we expect steady stronger lending growth tied with continuing milder funding costs to support better ‘26F NIM. Cost discipline and managing CoC to stay soft will become a vital ‘26F earnings cushion.

* Maintain BUY GGM-based TP of IDR5,660 (1.8x '26F P/B), currently trading at 1.5x, or slightly above -1SD of 1.4x ‘26F P/B.

Regards,
Akhmad Nurcahyadi - KBVS Research