BMRI - To distribute dividends of IDR33.06tn

BMRI - To distribute dividends of IDR33.06tn Bank Mandiri (BMRI) will distribute dividends worth IDR33.03 tn from the total profits earned in 2023. This decision was taken at the Annual General Meeting of Shareholders (AGMS), which was held on March 7, 2024. Meanwhile, the number of dividends distributed is equivalent to 60% of the total 2023 profit of IDR55.1 tn. It is worth noting that the dividend payout ratio is similar to last year. In detail, dividends worth IDR17.18 tn will be distributed to the state that holds 60% of the shares in the bank with the gold logo. The remainder was distributed to public shareholders in the amount of IDR 353.95 per share. (Source: Kontan) Comment : We like the BMRI dividend payout ratio, which arrives in line with our ‘23F DPO expectation for BMRI. The high payout will continue this year, and we expect the same rate for ‘24F at 60%. Our ‘24F earnings growth for the bank will be supported by net interest income, which is continuing to improve. It is worth noting that we expect the absence of cost of fund adjustments to underpin better NII growth, while slightly lower provisions are likely to remain due to steady AQ improvement.