BMRI - Mandiri utama finance new car financing distribution grows 29.5% in Jul24

BMRI - Mandiri utama finance new car financing distribution grows 29.5% in Jul24 Mandiri Utama Finance (MUF) said that the highest figures was financing for the new car segment. This value increased by 29.5% yoy in July 2024. President Director of PT Mandiri Utama Finance Stanley Setia Atmadja said the financing value of the new car segment in that period reached IDR 5.7 trillion. In terms of units, there were 25,670 units or a growth of 24.3% compared to last year's 20,648 units. As a total, MUF's car financing distribution was recorded at IDR10.3 tn in July 2024 or grew 12.7% yoy. MUF implemented a number of strategies at a time when the purchasing power of the middle class was decreasing, one of which was innovating financing products adapted to market developments. (Source : Kontan) Comment : We believe MUF will continue to play important role to the overall BMRI’s financing growth. The solid Jul24 result also align with our forecast. In the remaining months of this year, consumer segment financing demand should remain strong and likely to arrive above mortgage and others consumer related financing segment. Maintain BUY BMRI with GGM-based TP of IDR8,100 (2.6x ’24F P/B).