Jakarta: PT Bank Central Asia (BCA) and its subsidiaries recorded a net profit of Rp25.9 trillion in 2018, rising by 10.9 percent compared to the previous year.
According to BCA president director Jahja Setiaadmadja, the bank and its subsidiary recorded an operating income of Rp63 trillion in 2018. It increased by 10 percent compared to the previous year.
The bank's net interest income stood at Rp45.3 trillion in 2018. It grew by 8.3 percent compared to the previous year.
The bank's non-interest income stood at Rp17.7 trillion in 2018. It was up by 17 percent compared to the previous year.
“BCA and its subsidiaries recorded a positive growth in its 2018 financial performance in the midst of tighter liquidity and rising interest rates in the banking sector. Our liquidity is supported by sticky CASA funds, backed by continuous development of our transaction banking franchise. We emphasize prudent lending to capture opportunities that arose from higher loan demand throughout the year," the BCA president director said here on Thursday.
The bank's loan portfolio increased 15.1% to Rp538 trillion in 2018. It was mainly supported by strong business loan demand.
At the end of 2018, corporate loans grew 20.4% to Rp213.3 trillion. In the meantime, commercial and SME loans increased 13.4% to Rp183.8 trillion.
On the other hand, consumer loans increased 9.7% to Rp140.8 trillion. Within the consumer segment, mortgages grew 12.0% to Rp87.9 trillion.
"We have to adapt in the dynamic business environment and growing technology-based non-bank institutions. We continue to develop our products and services leveraging on digital technology, and undertake e-channels and branches investments. Digital products and services offer new opportunities to meet customer needs and satisfaction," the BCA CEO added.
At the end of last year, the Non-Performing Loans (NPL) ratio came in at a tolerable level of 1.4%, while the ratio of total allowance to NPL (loan loss coverage) stood at an adequate level of 178.7%.
Furthermore, the Capital Adequacy Ratio (CAR) were recorded at healthy levels 23.4%, while the Loan to Funding Ratio (LFR) 81.6%.