Bank Rakyat Indonesia (BBRI) Q3 2025 earnings summary

Executive summary

• Asset growth reached 8.2% year-on-year as of September 2025, with loan growth at 6.3% and deposit growth at 8.2%, driven by strong CASA performance and digital initiatives.

• Consolidated net income for the nine months ended September 30, 2025, was Rp41.2 trillion, down from Rp45.4 trillion year-on-year, with total comprehensive income at Rp45.9 trillion.

• Profitability faced headwinds: net profit declined 9.1% year-on-year due to one-off provision reversals in 2024, but rebounded 15.5% quarter-on-quarter in Q3 2025, supported by resilient core earnings and cost discipline.

• Strategic focus on digital transformation, micro and consumer lending, and ecosystem synergies, especially through subsidiaries Pegadaian and PNM.

• The group maintained a strong capital position, with a consolidated CAR of 23.01% and Tier 1 ratio of 21.88% as of September 30, 2025.

Financial highlights

• Net interest and sharia income for the period was Rp110.99 trillion, up from Rp107.86 trillion year-over-year.

• Net interest income grew 2.9% year-on-year, supported by stable loan yields and higher contributions from subsidiaries.

• NIM stood at 7.75% in Q3 2025, down 10 bps quarter-on-quarter, but adjusted NIM improved by 2 bps excluding one-off write-offs.

• Fee and commission income rose 2.6% year-on-year, with net gold fee income surging to IDR 1.3 trillion.

• Operating expenses increased 5.1% year-on-year, with cost-to-income ratio at 42.8%.

Outlook and guidance

• Micro loan growth expected to remain subdued in the short term due to stricter underwriting and challenging environment, with normalization targeted from 2027 at 9-10% annual growth.

• Cost of credit guidance for 2025 is 2.2%-3.3%, with 2026 expected at 2.9%-3.2%.

• Loan at risk (LAR) is expected to remain within the 10%-11% range through year-end 2025.

• Optimism for improved funding costs and liquidity in 2026, supported by accommodative monetary policy and government fiscal measures.