BMRI - Earns IDR42tn profit in Q324, grows 7.56%

BMRI - Earns IDR42tn profit in Q324, grows 7.56% Bank Mandiri (BMRI) recorded a consolidated net profit of IDR42 tn in Q3/2024. The profit grew by 7.56% yoy compared to the third quarter of last year, which was valued at IDR39.1 tn. The President Director of Bank Mandiri, Darmawan Junaidi, stated that by the end of Q3/2024 or until September 2024, credit grew by 22.1% yoy to a value of IDR1,590 tn. This figure exceeds the national industry average, which is around 11%. Darmawan also emphasized the strategic role of Bank Mandiri in supporting economic growth, as reflected in the positive financial performance in the third quarter of 2024, which grew in strategic sectors across all regions of Indonesia. "The acceleration driven by the right strategy has propelled Bank Mandiri's strong and quality growth," he said in a performance presentation on Wednesday. (Source : Bisnis Indonesia). Comment : BMRI reported a 7.6% yoy increase in 9M24 earnings, driven by solid performance across all key financial metrics. The bank's 9M24 net profit was in line with both our and consensus forecasts (72.1%/71.8%). The bank robust loan growth, expanding by 20.8% yoy. The corporate segment led the way, expanding by 29.4% yoy, followed by the commercial segment, which grew by 23.6% yoy. On the liability side, total TPF grew strongly by 14.9% yoy, despite the tight liquidity environment. Maintain BUY BMRI GGM based-TP of IDR8,100 (‘24F P/B of 2.6x) while currently traded at 2.1x’24F P/B, or slightly above +1SD historical mean of 2.0x.