BRIS - Solid 1H25 earnings; inline

KBVS Update
Friday, 26 September 2025

BRIS - Solid 1H25 earnings; inline
(Maintain BUY; TP: IDR3,670)

* BRIS reported a robust 10.4% yoy earnings growth in 1H25 (fueled by double-digit expansion across its entire profit and loss), aligning with our '25F and cons. expectation (47.2%/47.8%).

* Total financing expanded by a robust 13.9% yoy, outpacing the broader industry and most peers. The consumer segment was the primary engine. The gold business was a standout, growing 88.3% yoy. Total TPF expanded by a healthy 8.83% yoy, driven by stable CASA growth of 8.35% yoy.

* NIM increased by 22 basis points (bps) to 5.7% in 1H25 (vs. 5.5% in 1H24), falling within the management's '25G expectation range of 5.5%-5.9%. Gross NPF consistently narrowed. The CoC remains exceptionally contained at 0.95% in 2Q25 (and 0.99% in 2Q24), perfectly aligning with the stringent ‘25F guidance of less than 1%.

* Foreign investors drive BRIS to 'Most-Owned' status (YTD: to 5.9% vs 4.6%). Steady 9M25 results needed to justify the average hist mean position. Maintain BUY GGM-based TP of IDR 3,670 (3.3x ‘25F P/B), currently trades at 2.4x ‘25F P/B or slightly above its avg. hist. mean.

Regards,
Akhmad Nurcahyadi - KBVS Research team