BRIS - 9M23 earnings grew strong by 31.0% yoy

BRIS - 9M23 earnings grew strong by 31.0% yoy Bank Syariah Indonesia (BRIS) earnings grew by 31.0% yoy in 9M23, on the back of solid growth from top to bottom. Loan grew grew strong by 15.9% yoy, backed by consumer loan growth at 17.6% yoy. TPF grew tolerably at 6.9% yoy amid the tightening environment, while CASA managed at around 60% of the total third-party fund. Key metrics performance showed another solid figure, with NIM at 5.93%, while NPF 2.21%. CoC also recorded an improvement to 1.35%. (Source: Company). Comment: BRIS 9M23 earnings beating ours and street expectation by 82%/78% (hist average at 75%) and we believe the growth to continue backed by shariah market strong prospects. The bank should continue to enjoy high yield loan from its consumer segment and thus will overall supporting NIM expansion to remain intact. Maintain BUY with GGM TP of IDR1,950 (2.4x ‘23F P/B).