BBNI - BNI Finance targets 20% growth in 2025 with digital push

BBNI - BNI Finance targets 20% growth in 2025 with digital push BNI Multifinance (BNI Finance) is gearing up for a 20% growth in financing disbursement in 2025, fueled by a strategic combination of digital transformation and expanded physical presence. Recognizing the evolving needs of the market, BNI Finance is prioritizing digital initiatives across marketing, credit, and collections to enhance operational efficiency and customer experience. However, the company acknowledges the enduring importance of its physical network, particularly for maintaining strong relationships with vehicle dealers. To achieve its ambitious growth target, BNI Finance will leverage its expanded network of 52 marketing offices, building upon the success of its 2024 expansion. Additionally, the company will capitalize on synergies with its parent company, PT Bank Negara Indonesia (Persero) Tbk. (BBNI), to tap into new opportunities in both retail and corporate segments. This strategic approach aims to solidify BNI Finance's position in the market while adapting to the changing landscape of the financial services industry. (Source : Bisnis Indonesia) Comment : BNI Finance's strategy of combining digital innovation with a strong physical presence reflects the evolving needs of the Indonesian market. Digitalization allows for greater efficiency, faster service delivery, and improved customer engagement. However, maintaining a physical presence is crucial for building and maintaining relationships with key dealers, which are essential for driving business in the automotive financing sector. The company's ambitious growth target of 20% highlights its confidence in its ability to capitalize on market opportunities. The focus on new vehicle financing, which constitutes the majority of its portfolio, reflects the strong demand for new vehicles in the Indonesian market. Maintain BUY BBNI, GGM-based TP of IDR6,300 (1.3x ‘25F P/B).