Profits reported by major Indonesian retail banks year to date have generally witnessed respectable gains on last year's performance.
Bank Central Asia (BCA), Indonesia's largest bank, posted a net profit of 3.1 trillion rupiah in the first nine months of 2006, up 18.63% from the previous year (2.6 trillion).
The healthy increase was driven by interest income, which rose to 12.8 trillion rupiah, up from 9.5 trillion in the same period last year. Net interest income rose to 7 trillion from 5.6 trillion in 2005. Business profits also increased to 4.4 trillion up from 3.6 trillion. Earnings per share went up to 253 rupiah from 213. (Detik)
BCA's third party funds rose 10% to become 140 trillion rupiah. The proportion of non-performing loans in its portfolio declined to 1.6%, from 1.7 last year.
PT Bank Rakyat Indonesia (BRI) saw a 23.6% year-on-year increase in profits, to 3.1 trillion rupiah as against 2.5 trillion a year earlier, again driven by higher interest income. Interest income in the first nine months of 2006 rose 23% to 15.57 trillion rupiah, up from 12.6 trillion a year earlier, while net interest income also rose 9.2% to 10.2 trillion, compared to 9.34 trillion previously.
As of the end of September, BRI's third party funds, or savings and time deposits, stood at 112 trillion rupiah as compared to 90 trillion a year earlier, and its ratio of non-performing loans improved to 1.9%, from 2.1 in 2005. (Antara)
Bank Mandiri, a state owned concern, saw its after tax profit by the third quarter of 2006 drop 3% to 1.187 trillion rupiah from Rp1.227 trillion in the same period last year. Pahala Mansyuri, the executive vice president of Mandiri, said:
One of the main factors that caused the decline was a hike in the bank's reserves to 2.938 trillion over the first nine months this year from 2.254 trillion over the same period last year.
Net income from interest however rose from 6.68 trillion in the third quarter last year to 7.47 this year. Fee-based income rose to 1.88 trillion from Rp1.78 trillion in the same period last year.
Mandiri's non-performing loans ration this year stood at 24.6%. (Antara)
At the smaller end of the scale Bank Bumiputera, which is majority owned by ICB Financial Group of Switzerland, saw its net profit in the first nine months of 2006 double to 5.08 billion rupiah.
Interest income rose to 469 billion from 317 billion, pushing up net interest income to 168 billion from 131 billion. Operational profits however fell to 3.9 billion down from 5.9 billion and non-operational income dropped to 3.3 billion from 10.6 billion. (Antara)