KUALA LUMPUR, July 31 — PT Bank CIMB Niaga Tbk recorded a consolidated pre-tax profit of 4.2 trillion rupiah (1 million rupiah=RM298.6) for the first half of 2023 (1H 2023), up 25.8 per cent year-on-year (y-o-y), which translated to earnings per share of 129.67 rupiah.

CIMB Niaga is a 92.5 per cent indirectly-owned subsidiary of CIMB Group Holdings Bhd.

CIMB Niaga president director Lani Darmawan said the bank recorded an outstanding performance in 1H 2023 attributed to strong cost controls, improved asset quality and lower cost of credit.

"Our unwavering confidence propels us towards the successful realisation of our 2023 goals,” she said in a statement today.

She said the bank’s prudent strategies and customer-centric approach allowed it to deliver resilient results despite the challenging economic conditions.

"We will continue to focus on providing innovative, sustainable and accessible financial solutions to our stakeholders, supporting their financial aspirations and contributing to the growth of the economy,” she said.

CIMB Niaga’s key profitability indicator, return on equity (ROE), improved to 15.4 per cent.

It maintains a solid capital and liquidity position with a capital adequacy ratio (CAR) and loan to deposit ratio (LDR) of 23.2 per cent and 86 per cent, respectively.

Total consolidated assets stood at 329.7 trillion rupiah as of June 30, 2023, solidifying the bank’s position as Indonesia’s second largest privately owned bank.

Total deposits reached 235.8 trillion rupiah with current accounts savings accounts (CASA) ratio at 64.3 per cent attributed to efforts in deepening customer relationships and customer experience through digital touchpoints.

Total loans/financing grew 8.6 per cent y-o-y to 206 trillion rupiah, or 205.1 trillion rupiah excluding Salam financing, contributed mainly by growth in corporate banking (13.2 per cent y-o-y) and consumer banking (eight per cent y-o-y).

Mortgages grew by 4.8 per cent y-o-y while auto loans rose 14.6 per cent y-o-y, including contributions from the bank’s subsidiary, PT CIMB Niaga Auto Finance (CNAF).

In Shariah banking, CIMB Niaga’s Islamic Business Unit (CIMB Niaga Syariah) maintains its position as the largest Islamic Business Unit in Indonesia with total financing valued at 53 trillion rupiah (up 25.3 per cent) and deposits of 44.5 trillion rupiah (up 20.4 per cent) as at June 30, 2023.

Lani said CIMB Niaga Syariah also continued to provide the best services for prospective Hajj pilgrims.

"One of the ways is by improving the system to facilitate account openings and Hajj registration through digital channels,” she said.

She said through the bank’s internet banking OCTO Clicks, the Hajj registration process became more seamless without the need to visit the bank and the Ministry of Religious Affairs offices.

"The entire process, from registration to obtaining validation and Hajj quota, can now be done online,” she said.

She said said the bank continued to prioritise digital transformation initiatives, enhancing its digital channels and introducing innovative solutions to improve customer experience and convenience.

She added that CIMB Niaga continued to improve customer experience by offering a comprehensive suite of products and services through its 412 branches and networks, including 36 digital lounges, to support its business growth.

As of June 30,2023, the bank’s nationwide network operated 3,996 Automated Teller Machine (ATMs) and 453,483 electronic data capture (EDCs) and quick-response code (QR) terminals. — Bernama