JAKARTA (TheInsiderStories) - Net profit of PT Bank Rakyat Indonesia Tbk (IDX: BBRI) slightly up to Rp18.62 trillion in nine months of 2016 from same period in 2015 Rp18.29 trillion after set aside part of the profit for provision. The bank lifted the provision from Rp6.89 trillion in Sept. 2015 to Rp11.12 trillion in Sept. 2016.
In other hand, the operating expenses exceed 31.55 percent while the net interest income only rose 16.84 percent year on year (yoy). Total outstanding loan recorded Rp603.46 trillion or growth 16.3 percent from last year worth of Rp518.95 trillion.
President Director of BBRI Asmawi Syam said in press conference, until the third quarter of 2016, fee based income and other operating income rose 19.3 percent from Rp 8.35 trillion to Rp11.00 trillion contributed from digital banking and e-channel business.
He sees by the end of this year, the credit could growth up to 14 percent. In Sept. 2016 total outstanding loan of the bank rose 16.3 percent to Rp 603.47 trillion
BBRI’s capital adequacy ratio as of September is still maintained at 21.88 percent, net interest margin 8.41 percent, loan to deposit ratio 90.68 percent and non performing loan (gross) 2.22 percent.
Bond Issuance
To support the loan expansion, the bank plans to offer local bond with total amount Rp 7 trillion in Nov. 2016. In the prospectus issued by the company, the bank offered five series of series A with 370 days, series B, C, D and E respectively with a tenor of 3 years, 5 years, 7 years and 10 years.
The continuous bonds rated by PEFINDO with idAAA results. The joint lead underwriter fort the bonds PT Bahana Securities, PT BCA Securities, PT Danareksa Sekuritas, PT DBS Vickers Sekurities and PT Indopremier Securities Indonesia.
The bank estimates the effective date of the bond on Nov. 21, public offering Nov. 22 to 23 and the pricing on Nov. 24.