BINAARTHA SEKURITAS
  • Home
  • Company
  • Research
  • Online Trading
  • E-IPO
  • NEWS
  • FAQ
BBRI
Contact our analyst achmadi

28% UPSIDE, BUY
14th October 2022
Price Rp4,270
Target price Rp5480

​98.72% Net Income Growth
In 1H2022, BBRI reported very strong net income growth, up by +98.72% yoy from IDR 12,473 trillion in 1H21 to IDR 24,786 trillion in 1H22. This makes BBRI the fastest growing among the big banks in terms of net income growth. The growth was driven by the high interest income and premium income which grew by 28.37% and 49.03% yoy respectively. We forecast BBRI will continue to improve net income with growth  of +55.94% yoy from IDR 31.07 trillion in FY21 to IDR 48.45 in FY22.
 
Solid Loan Growth
In the first semester of 2022, BBRI recorded solid gross loan growth of +10.04% yoy (Bank Only). Micro loans had the fastest loan growth at +16.01% due to digitalization and  BBRI’s strategy to “Go Smaller, Go Shorter, and Go Faster”. Small, Corporate, and Consumer loans grew 7.29%, 6.13 and 5.41%, respectively, while medium loans had negative growth of -2.38%. We project BBRI will continue to grow its gross loans by 11.07% yoy in FY22.

Slightly higher NPLs
In 1H2022, BBRI’s NPL ratio was higher than 1H2021 up by +5 bps to 3.32%. Consumer loans are the best performing with a 2.00% NPL ratio, although this was higher than 1H202, an increase of +21 bps. Micro, Medium, Small, and Corporate loans had NPL ratios of 2.21%, 3.83%, 4.71%, and 5.25% respectively. We forecast that BBRI will improve its NPL ratio by -18bps to 2.90% in FY2022.

Valuation: 28%, Upside, Buy
Based on our DDM Valuation, we have a target price within one year of IDR 5,480 or trading at 2.6x PBV which gives 28% potential upside, Buy.


Download full report here
Previously
​BBRI Jul2022
​BBRI Feb2022
​​BBRI Jan2022
​BBRI Nov2021
​BBRI Aug2021
​BBRI Jun2021
​BBRI Feb2021
​BBRI Nov2020
​BBRI Aug2020
​BBRI May2020
​BBRI Jan2020
​BBRI Sep2019
PT. Binaartha Sekuritas

Setiabudi Atrium, Jl. HR Rasuna Said No.62, RT.18/RW.2, Karet Kuningan, Setia Budi, Jakarta Selatan, DKI Jakarta 12920
+62215206678 | email: kyc.online@binaartha.com

Follow Our Social Media
Picture
binaarthasekuritas
Picture
​binaartha sekuritas​
Picture
Linkedin
Picture
@binaarthasekuritas
Picture
Binaartha research
  • Home
  • Company
  • Research
  • Online Trading
  • E-IPO
  • NEWS
  • FAQ