Heaptalk, Jakarta – PT Bank BTPN Tbk made a record in an increase net interest income in 2023. According to the 2023 financial results report, BTPN Banks’s net interest income raised to 3% year-on-year (yoy) to USD773 million from USD750 million from the year before (USD1 equals to Rp15,593). This interest increase help maintain the Net Interest Margin (NIM) at the level of 6,45%, higher than the same period from last year which was 6,32%.
The main contributor of net interest income from the given credit also boosts BTPN Bank’s operational income for 3% yoy which then results in pre-provision operating profit (PPOP) development to USD417 thousand from the previous USD416 thousand (USD1 equals to Rp15,593).
On Wednesday (07/03), Henoch Mundandar, CEO of BTPN Bank stated on his written press release, “The support of our clients through the excellent programs, including Daya, becomes the key factor of the success of BTPN Bank in 2023 in creating growth that brings positive change for our clients.”
“Alongside with the BTPN Bank’s 66th Anniversary to accelerate growth, we continue to promote optimism in economy through sustainable financial service solutions for all segments, supported by the advanced digital technology and integrated with sustainable values in every step we take,” added Henoch.
Starting from a bank founded 66 years ago in Bandung, West Java, to help retirement clients be more independent, BTPN Bank is now developed and adapted to become an established organization, experienced in the industry, and pioneered the development of digital banking in Indonesia.
As for the performance in 2023, BTPN Bank recorded an increase in total credit distribution by 7% yoy to USD10 billion from USD9,3 billion by the end of 2022 (USD1 equals to Rp15,593). The increased credit is mainly caused by distribution of loans to corporate customers, small and medium businesses, and Jenius. As a commitment to empower MSMEs, BTPN Bank recorded a growth of macro porudential inclusive financing ratio (RPIM) to 29,14% in December 2023 from 24,57% in 2022.
BTPN Bank also able to maintain a good credit quality. The Gross non-performing loan (NPL) ratio decreased to 1,36% level by the end of 2023 from 1,43% at the same period in the previous year. This ration is lower compared to the industry average that recorded for 2,2% in December 2023.
The balance of Current Account & Saving Account (CASA) BTPN Bank was amplified for 10% yoy from USD2,5 billion to USD2,8 billion by the end of 2023. The CASA ration also enhanced from 35,0% to 40,8%. Meanwhile, the total deposit experienced a diminish for 14% yoy to USD4,1 billion which affected the total third party funds (DPK) diminish of BPTN Bank’s for 6% yoy from USD7,3 billion by the end of December 2022 to USD6,9 billion by the end of 2023 (USD1 equals to Rp15,593). This cut back was related of BTPN Bank’s attempt to optimize cost of funds.
The net profit after BTPN Bank’s tax (consolidation) attributed to the the owner of the parent entity is recorded at USD151 hundred thousand by the end of 2023, lower by 24% yoy. This subside is caused by company’s decision to add credit reserves amounting to USD77 thousand (USD1 equals to Rp15,593). Company adding its credit reserves is a form of anticipation for the end of the POJK restructuring credit relaxation on March 31 2024.
p;Nevertheless, BTPN Bank is still able to maintain liquidity ratio and funding ratios at healthy levels, with liquidity coverage ration (LCR) reached 199,7% and net stable funding ratio (NSFR) 113,8% in December 31 2023. The company recorded a strong capital adequacy ratio (CAR) at 29,9%.
BTPN Provide Benefits for 5,5 Million Individuals
One of the programs by BTPN Bank with real benefits for public is the Daya program that aims to improve clients’ capacity in all segments to attain a better ife. With the four main pillars, which is financial literacy, self-capacity development, increased business capacity, and sustainable living, the Daya program in BTPN Bank has given advantages to more that 5,5 individuals in 2023 through the 11.359 activities that are community-centered
BTPN Bank also carries a commitment to a sustainable environment in doing company’s responsibility. With the commitment to achieve the net zero emissions target by 2030, BTPN Bank has implemented several strategies through products, namely green financing, ESG Deposit, and social funding.
BTPN Bank’s sustainable vision is also showed through Jenius’ evolution that becomes financial solution to assist client’s lifestyle, especially the digital-savvy clients. Since it was launched 7 years ago, Jenius has provided more than 40 innovative features for clients across the country.
Until the end of 2023, Jenius recorded the total of registered user growth by 19% becomes 5,2 million from 4,4 million in the previous period. The total credit distribution (Flexi Cash, Digital Macro, Jenius Credit Card Visa, PayLater) showed an increased for 121% became USD128 million from last year. The third party funds also grew to 8& became USD1,6 billion (USD1 equals to Rp15,593)
“The BTPN Bank’s sustainable initiatives are the reflective from the core values that are held firmly in each operational aspect, including integrity, focus on clients, proactive and innovative, speed and quality, as well as synergy. We believe that sustainability is not only about financial growth, but also how our sustainable financial services give real impact for public,” Henoch concluded.
