Datuk Seri Khairussaleh Ramli
KUALA LUMPUR: Malayan Banking Bhd
’s (Maybank) 98.52%-owned PT Bank Maybank Indonesia Tbk (Maybank Indonesia) saw its pretax profit (PBT) grow 11.8% to 1.66 trillion rupiah for the nine months ended Sept 30 (9M23) from 1.48 trillion rupiah in the same period last year.
In a statement, Maybank Indonesia said the positive growth in PBT was derived from better earnings in the bank’s loan composition, particularly from the retail and retail small-medium enterprise (RSME) loans following a continual lift in public consumption.
The bank also registered better asset quality as the economy continued to stabilise, leading to lower loan loss provisions.
Its net interest income (NII) improved by 4.8% backed by better earnings in line with an increase in average loan balances of 4.0%.
Net interest margin (NIM) improved by 23 basis points (bps) to 5.0% in September 2023 and the bank’s profit after tax and minority interest (Patami) was at 1.25 trillion rupiah, up 17.1% from 1.06 trillion rupiah last year.
Maybank Indonesia said the growth in fee-based income for the bank was driven by global markets which increased by 60.4% to 139 billion rupiah from 86 billion rupiah during the first nine months of 2023.
Additionally, the bank also recorded fee-based income growth from its non-global markets business by 4.7% to 1.29 trillion rupiah against 1.23 trillion rupiah previously deriving from asset recovery fees (bank only), which increased by more than five times to 261 billion rupiah.
Its credit card-related fees improved by 18.8% concurrently lifted by loan and retail business-related fees. The bank’s total fee-based income grew 8.3% to 1.43 trillion rupiah.
Maybank Indonesia’s asset growth, rose 3.2% to 170.05 trillion rupiah in 9M23 backed by financial investments which rose 16.7% to 35.74 trillion rupiah from 30.63 trillion rupiah.
The bank’s community financial services (CFS) comprising retail and non-retail loans grew 8.9% to 71.70 trillion rupiah from 65.81 trillion rupiah year-on-year (YoY).
Its small to medium business portfolios were able to leverage the growth momentum under the bank’s CFS non-retail loans, recording an improvement of 3.1% to 28.95 trillion rupiah from 28.07 trillion rupiah.
RSME loans booked higher growth of 6.2% to 13.39 trillion rupiah from 12.61 trillion rupiah and high-tier commercial loans (classified by the bank as business banking) grew 2.6% to 10.58 trillion rupiah from 10.31 trillion rupiah.
Maybank Indonesia’s total customer deposits grew 7.0% to 114.50 trillion rupiah from 107.00 trillion as time deposits increased by 12.9% continuing its trends from the previous quarter.
The bank said its current account and savings account (CASA) registered a growth of 1.5% with current accounts up by 4.5%, while savings accounts eased by 2.8%. The bank’s CASA ratio was at 49.1% in September 2023.
It said the loan to deposit (LDR) ratio (bank only) was at 83.9% in September 2023 compared with 90.2% in September 2022 and the liquidity coverage (LCR) ratio (bank only) remained healthy at 222.3% in September 2023.
The bank’s capital adequacy ratio (CAR) remained strong at 28.2% with total capital of 29.13 trillion rupiah at the end of September 2023.
Meanwhile, Maybank Indonesia’s Shariah banking unit recorded a significant increase in PBT, surging by 66.7% to 369 billion rupiah from 221 billion rupiah.
President Commissioner Datuk Seri Khairussaleh Ramli said Maybank Indonesia continued to deliver positive growth across its wide business portfolio while ensuring sustainable long-term growth for all its stakeholders.
“In our quest to strengthen our position in Asean, we will actively support our operations in Indonesia as it is a key home market for the Maybank Group. This will be implemented meticulously by driving enhanced customer centricity and accelerating our digital capabilities to truly uplift our customers’ banking experience while championing sustainability initiatives and serving the communities through our ESG (Environment, Social and Governance) goals.”
