PT Bank Negara Indonesia (BBNI) Q2 2024 earnings summary

Executive summary

• Launched 'wondr' mobile banking app, reaching 1.2 million users and 65% active usage within a month, boosting digital engagement and transaction frequency.

• Achieved strong loan growth of 11.7% YoY in H1 2024, with total loans at IDR 726.98 trillion, driven by corporate and consumer segments.

• Net profit rose 3.8% YoY to IDR 10.7 trillion, supported by improved asset quality and lower provisioning charges.

• Operating environment improved in Q2 2024, with declining funding costs and enhanced customer engagement.

• Total assets as of June 30, 2024 stood at IDR 1,072.5 trillion.

Financial highlights

• Loan growth reached 11.7% YoY, with Q2 up 4.6% sequentially, exceeding initial guidance.

• Net interest margin stabilized at 4.0% in H1 2024.

• Net profit for H1 2024 was IDR 10.69 trillion, up from IDR 10.40 trillion in H1 2023.

• Net interest income for H1 2024 was IDR 20.60 trillion, up from IDR 19.07 trillion in H1 2023.

• Cost to income ratio increased to 43.7% as of June 2024.

Outlook and guidance

• Full-year loan growth guidance raised to 10%-12%, driven by corporate and consumer segments.

• NIM for 2024 expected to be at least 4%, with potential upside in H2 if rate cuts materialize.

• Credit cost guidance maintained at ±1% for 2024.

• Strong capital position with CAR at 20.67% as of June 30, 2024.

• LDR increased to 93.99% from 85.21% YoY, indicating robust lending activity.