BCA surpassed Bank Mandiri in terms of profits

JAKARTA. Some of private banks have released the reports on their performances during the third quarter of 2016. Bank Central Asia (BCA) booked the highest profits among other private banks during the period.

BCA, which is owned by Djarum Group, succeeded to book a 13.2% increase in net profits to Rp 15.1 trillion during the third period of 2016. The profit is only lower than the profit of the state owned Bank Rakyat Indonesia (BRI) that amounted to Rp 18.62 trillion.

BCA reaped higher profit than Bank Mandiri, which experienced 17.6% decrease in its profit to Rp 12.01 trillion.

BCA has surpassed Bank Mandiri in terms of profits since the second quarter of 2016. During that time, BCA secured an Rp 9.57 trillion of profits, while Bank Mandiri only recorded an Rp 7.08 trillion of profit.

The performance of BCA during the nine months of 2016 was driven by a 14% increase in net interest income to Rp 29.93 trillion. At the same time, the bank succeeded to maintain operational cost at around 9.2% to Rp 17.5 trillion.

The profit rise was also generated by the decrease in BCA’s reserves ratio. “As of September 2016, the reserves ratio dropped from 285.4% to 201.0%”, said President Director of BCA Jahja Setiaatmadja on Wednesday (26/10).

However, as of September 2016, total credit allocation of BCA only grew by 5.8% to Rp 386.24 trillion. The increase in credit allocation was mainly generated by consumer credit rise that grew by 8.1% and a 5.7% increase in corporate credit to Rp 133.3 trillion.

Another private bank that released the performance during the third quarter of 2016 is PT Bank OCBC NISP Tbk. During that period, the bank, which is owned by Singaporean investor, booked a 28.23% of profit growth to Rp 1.35 trillion.

The OCBC’s profit increased despite credit allocation of the bank only grew by 9.68% to Rp 86.94 trillion. “Operational costs increased by 15.84% on year on year basis, but not as high as net profit said President Director of OCBC NISP Parwati Surjaudaja.

Meanwhile, the profit of PT Bank Tabungan Pensiunan Nasional Tbk (BTPN) only slightly increased by 2% to Rp 1.39 trillion in the third quarter of 2016. The low profit growth was caused by the higher increase in operational costs rather than the net interest income rise.

(Muhammad Farid/Translator)