Bank Mandiri Press NPL raising Profit 25.4 Percent

By : Ahmad Fadli Dan Aldo Bella Putra | Tuesday, October 24 2017 - 22:00 IWST

Direktur Utama PT Bank Mandiri (Persero) Tbk Kartika Wirjoatmodjo (Foto Ist)
Direktur Utama PT Bank Mandiri (Persero) Tbk Kartika Wirjoatmodjo (Foto Ist)

INDUSTRY.co.id - Jakarta - PT. Bank Mandiri Persero Tbk boosted net profit growth of 25.4 percent to Rp15.1 trillion in the third quarter of 2017 following a cut in the provisioning cost as the non-performing loan (NPL) ratio improved.

Mandiri's non-performing loan (NPL) ratio in the third quarter of 2017 fell six basis points to 3.75 percent, while reserve costs improved Rp3.6 trillion, down 23 percent to Rp12.2 trillion.

"Profits rise because of our success to press the NPL, we do 'collection' and the restructuring of problem loans, so our income increases," said President Director of Bank Mandiri Kartika Wirjoatmodojo in Jakarta, Tuesday (24/10/2017)

Tiko, the familiar greeting of Kartika, targets at the end of NPL year Mandiri gross can be at 3.5 percent.

The BMRI-coded issuer also suppresses NPLs, by shifting lending from the commercial sector that since early 2017 has contributed to a decline in asset quality.

Mandiri's loan portfolio is not too aggressive. Mandiri Credit at the end of September 2017 grew 9.8 percent (yoy) or Rp686.2 trillion. The net interest margin (NIM) of Mandiri dropped to 5.86 percent from 6.5 percent.

"But the NIM is still adequate," he said sepert dilansir Antara.

With credit disbursement, Mandiri's assets rose to Rp1,078.7 trillion, or grew 10.6 percent (yoy).

In line with asset improvements, Mandiri's operating income rose 4.1 percent to Rp57.5 trillion. The fee-based income rose 18.4 percent to Rp16.8 trillion with the majority of "wholesales" or upper-middle segment revenues.

Mandiri Liquidity is characterized by a growth of third party funds (DPK) of 10.3 percent to Rp761.5 trillion.

"The growth is mainly driven by the growth of low-cost funds of 12.6 percent (yoy), reaching Rp492.5 trillion," he said. Thus, the ratio of low-cost funds to total deposits reached 64.7 percent.

News Comment

Today's Industry

Grab (Ist)

Kamis, 11 Oktober 2018 - 12:36 WIB

Women Activists Criticize GRAB Indonesia on Victims Harassment Mediation

A number of women activists express their anger and regret at the GRAB Indonesia. The Malaysian applicator response to bring together between a driver partner who is allegedly harassed his passengers…

Panen Padi (Foto Dok Industry.co.id)

Senin, 08 Oktober 2018 - 03:30 WIB

Banten Lebak Farmers Harvest 55,622 Tons of Dry Grain

Lebak-Petani in Lebak Regency, Banten, during September 2018 harvests rice in an area of ​​9,347 hectares of paddy fields with a production of 55,622 tons of dried pungut (GKP) grain.

Bawang Merah (Ist)

Senin, 08 Oktober 2018 - 03:00 WIB

Kelompok Tani Sengingi Riau Panen Bawang Merah

Kuantan Singing - Beken Jaya Benai Farmer Group in Kuantan Singingi Regency, Riau Province harvesting shallots up to tens of tons managed on a quarter hectare of land, the results can improve…

Senin, 08 Oktober 2018 - 02:30 WIB

PT Pertamina Lubricants Wins Two TOP CSR 2018 Awards

Jakarta - PT Pertamina Lubricants managed to bring home two awards at the TOP CSR 2018 TOP CSR category on Lubricants Business, namely for the Corporate Social Responsibility (CSR) Enduro Student…

Listrik Ilustrasi

Senin, 08 Oktober 2018 - 02:00 WIB

Electrical System in Central Sulawesi is 75% Normal

Jakarta - Electricity, telecommunications, roads, airports and fuel supply (BBM) infrastructure have begun to recover in areas affected by the earthquake in Central Sulawesi. Assistance from…