Profit Prints IDR 2.31 Trillion, BTN Boss Disburses Support

Illustration (Photo: Doc. BTN)

PT Bank Tabungan Negara Tbk (BBTN) recorded a net profit in the third quarter of 2023 of IDR 2.31 trillion or around 1.67 percent year on year (yoy) to IDR 2.3 trillion.

President Director of Bank BTN Nixon LP Napitupulu said that the proceeds were supported by positive businesses ranging from mortgages, high yield loans, fee-based income spikes, to sharia businesses and optimistic that they would record performance according to the target by the end of 2023.

"The enthusiasm of the housing sector and incentives The government will further encourage the housing sector financing business to grow positively until 2024. We continue to take advantage of this momentum with various business initiatives that we continue to carry out," Nixon said in a public expose statement 2023, Wednesday 29 November.

Until the third quarter of 2023, BTN, which focuses on housing financing, recorded total credit and financing of IDR 318.30 trillion, an increase of 9.87 percent on an annual basis (yoy).

The increase was driven by growth in Subsidized Home Ownership Loans (KPR) which rose 11.87 percent (yoy) from Rp140.97 trillion to Rp157.71 trillion in the third quarter of 2023.

In addition, various BTN Bank initiatives continue to show positive performance.

The high yield loan segment, for example, shows a steady performance. Light Credit (Kring) for employees rose 17.59 percent (yoy) to IDR 4.32 trillion as of the third quarter of 2023.

Furthermore, in the same period, Agunan Rumah Credit (KAR) grew 10.63 percent (yoy) to Rp7.34 trillion. People's Business Credit (KUR) also jumped 162.82 percent (yoy) to Rp1.60 trillion in the third quarter of 2023.

The digital transaction ecosystem of BBTN also contributed a significant increase in fee-based income.

In this ecosystem, Bank BTN offers complete services ranging from transactions to wholesale to retail through BTN Mobile.

With these various performances, Bank BTN recorded a total fee-based income as of the third quarter of 2023, increasing by 67.32 percent (yoy) to Rp2.36 trillion.

On the other hand, Bank BTN has also raised third party funds (DPK) worth IDR 323.90 trillion, an increase of 3.54 percent (yoy) from IDR 312.84 trillion in the third quarter of 2022. Bank BTN's initiative to maintain cost funds (cost of funds/CoF) also increased the portion of low-cost funds.

The portion of low-cost (current account savings account/CASA) of Bank BTN recorded an increase of 358 basis points (bps) to 49.48 percent as of the third quarter of 2023.

With this overall performance, as of the third quarter of 2023, Bank BTN's total assets reached IDR 409.68 trillion, an increase of 5.24 percent (yoy).

Meanwhile, the Islamic business owned by Bank BTN also shows good performance.

The net profit of the Sharia Business Unit (UUS) BTN jumped by 70.40 percent (yoy) to Rp400.89 billion as of the third quarter of 2023 from Rp235.27 billion.

Nixon said that the positive performance of BTN Syariah was in line with the growing interest of the Indonesian people to buy a house through a sharia financing scheme.

The majority of Indonesia is a Muslim who is a strong customer base for the housing financing business with a sharia scheme. We are optimistic that BTN Syariah has a large space to continue to grow so that it can serve the housing financing needs of the Indonesian people," explained Nixon.

The net profit of BTN Syariah was contributed by the distribution of financing which rose to 17.94 percent yoy from Rp30.35 trillion to Rp35.79 trillion in the third quarter of 2023.

Until the third quarter of 2023, housing financing was recorded to still dominate the distribution of financing in BTN Syariah or 97.43 percent.

BTN Syariah has also collected DPK worth IDR 36.25 trillion in the third quarter of 2023, an increase of 16.76 percent (yoy) from IDR 31.05 trillion in the third quarter of 2022.

With this performance, Islamic assets recorded an increase of 17.26 percent (yoy) from IDR 41.29 trillion in the third quarter of 2022 to IDR 48.41 trillion in the third quarter of 2023.