PT Bank Negara Indonesia (BBNI) Q2 2025 earnings summary

Executive summary

• Consolidated assets reached IDR 1,201.7 trillion as of June 30, 2025, up 12% year-over-year, with loans up 7.1% and third-party funds up 16.5%.

• Net profit for H1 2025 was IDR 10.57 trillion, down 5.6% year-over-year due to margin pressure and higher provisioning.

• CASA ratio improved to 72%, with balances up 18.7% year-over-year, driven by digital initiatives.

• Asset quality remained strong, with LAR at 11%, NPL stable at 1.9%, and improved loan-at-risk ratio.

• Digital platforms (wondr, BNIdirect) saw robust user and transaction growth, supporting low-cost funding and customer engagement.

Financial highlights

• Net interest income rose 2.3% year-over-year, but NIM declined to 3.8% from 4.0% due to intense deposit competition.

• Operating expenses increased 3% year-over-year, mainly from personnel and digitalization costs, with PPOP down 1.7%.

• Fee-based income grew 4% year-over-year, led by trading and e-channel fees, while non-interest income declined 3% due to IFRS 17 impact.

• Provisioning charges rose 7.9% year-over-year, reflecting prudent risk management and loan growth.

• Basic earnings per share for H1 2025 was IDR 287, compared to IDR 271 in H1 2024.

Outlook and guidance

• Full-year NIM guidance revised downward by 20 basis points to 3.8% for 2025.

• Loan growth guidance maintained at 8%-10% year-over-year, with expectations for balanced segment contributions.

• Credit cost guidance remains at approximately 1%, with stable asset quality trends.

• Fiscal and monetary policy expected to support liquidity and loan growth in H2 2025.

• ROE aspiration remains at 18%, but current macro conditions and NIM pressures keep it below target.