BBCA - Credit Card transaction values reaches IDR58 tn in June 2024

BBCA - Credit Card transaction values reaches IDR58 tn in June 2024 Bank Central Asia (BBCA) recorded that the value of credit card transactions grew 15% year over year to IDR58 tn in June 2024. EVP Corporate Communication and Social Responsibility, BCA Hera F. Haryn said this growth was supported by the recovery of community economic activity, one of which was in the tourism, entertainment, and food and beverage (F&B) sectors. Hera also said that in the midst of high public interest in PayLater products, BCA still sees the high level of customer interest in using credit cards. (Source : Kontan) Comment : Albeit contributing far below loan business, we like the overall credit card transaction. The growth confirmed the continuing preference to use the BCA credit card as one of the best cards, which has various added values compared to others. Trust is one of the keys crucial in banking business, in our view. Thus, we believe credit card transactions and other BCA transactional banking will overall underpin earnings growth. Maintain BUY, GGM TP of IDR11,070 (pegged at 4.8x ‘24F P/B).