BANK-JAKARTA. PT Bank Danamon Indonesia Tbk (BDMN) recorded a consolidated net profit of IDR 3.5 trillion in 2023, an increase of 6% annually (year on year/yoy).
The net profit is in line with the net interest margin (NIM) which grew by 20 bps annually to 8.2% despite higher interest rates.
Meanwhile, operational income increased by 7% YoY to IDR 18.2 trillion.
Danamon's impressive business performance is due to the credit growth which grew 19% YoY in 2023. Danamon has disbursed credit and Trade Finance reaching IDR 174.9 trillion.
Danamon's Finance Director Muljono Tjandara said this is the highest credit record supported by healthy Asset quality strong growth across all segments.
Danamon's highest credit growth was achieved by consumer credit by 41% yoy reaching IDR 17.7 trillion.
"This is supported by a partnership with a Japanese real estate company and the acquisition of Standard Chartered Bank Indonesia's consumer credit portfolio," said Muljono in Danamon's performance presentation, Monday (19/2).
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Meanwhile, the enterprise banking and financial institution segment of Bank Danamon contributed the highest portfolio reaching IDR 78.78 trillion, growing 15% yoy.
Bank Danamon continues to focus on productivity and process improvement, where the small and medium business credit segment grew by 9% yoy.
Automotive and multipurpose financing from Adira Finance, a subsidiary of Danamon, grew 25% yoy reaching IDR 55.7 trillion.
Through increased collaboration with Danamon and MUFG, Adira Finance managed to increase its new financing by 31% yoy in 2023.
From the funding side, Danamon also successfully recorded third-party funds (DPK) growth of 10% yoy reaching IDR 144 trillion.
Then in terms of asset quality, Danamon also managed to maintain healthy asset quality, reflected from the LAR ratio including the ongoing Covid restructuring program, which improved 100 bps yoy to 11.6%.
Danamon also balances high credit growth with a strong NPL reserve adequacy ratio at 265.9%.
