BBRI - Earnings at IDR15 tn in the first 3 month of 2023

BBRI - Earnings at IDR15 tn in the first 3 month of 2023 Bank Rakyat Indonesia (BBRI) recorded solid net profit growth by 27.37% yoy ini 1Q23. On key performance metrics, NPL stood at 2.86% or improves compared to 3.09% in the previous year, CoC from 2.39% also improves from 2.78%. Loan channeled grew at healthy level at 9.7% with TPF grew strong at 11.4% yoy mainly by stronger CASA. (Source : detikfinance.com). Comment : We like BBRI 1Q23 results, whereas PATMI of IDR15.5 tn was beats our and streets estimates at 26.7%/27.0% (historically 1Q figures formed around 23.7% to its full year (5yr average). Solid earnings in 1Q23. PATMI 27.4% yoy and 29.0% qoq higher on the back of solid net interest income growth, PPOP and manageable provisions and opex as well. The bank maintains its 2023 guidance, whereas loan expected to grow within 10%-12% and NIM is forecasted to arrive between 7.7%-7.9%, while also eyeing for continuous NPL improvement (2.6%-2.8%).