Latest news with #CIMBNiaga
The Star
31-07-2025
- Business
- The Star
CIMB remains an attractive defensive play
HLIB Research said CIMB remains the least expensive banking stock in its coverage. PETALING JAYA: CIMB Group Holdings Bhd continues to be a favoured banking stock following the within-expectations financial performance of its Indonesian subsidiary, PT Bank CIMB Niaga Tbk, which released its financial results for the second quarter ended June 30 (2Q) on Wednesday. Hong Leong Investment Bank (HLIB) Research said CIMB Niaga's 1.4% growth in net profit for the first half of financial year ending Dec 31, 2025 (1H25) compared to 1H24 was within expectations and accounted for 49% of both its and the market's full-year forecasts. CIMB Niaga contributes around 20% to 25% of CIMB Group's pre-tax profit. The research house has maintained a 'buy' call on CIMB with an unchanged target price (TP) of RM8.80. Noting that the risk-reward profile for the stock skews favourable, it said CIMB remains the least expensive banking stock in its coverage, trading at an attractive 0.91 times financial year 2026 (FY26) price-to-book while offering a solid 6% dividend yield. TA Research noted that CIMB Niaga continues to demonstrate strong cost discipline in 1H25, with a controlled increase in personnel expenses, up 3.6% in 2Q compared to the same quarter a year ago and 4.3% reduction in other expenses. There was broad-based loan growth led by auto loans as well as unsecured loans and loans to small medium enterprises. Deposit growth was also strong, driven by current and savings accounts. It has reiterated a 'buy' call on parent CIMB with an unchanged TP of RM8.86 pending the release of its 2Q results soon.
The Star
30-07-2025
- Business
- The Star
CIMB Niaga posts 1H25 pre-tax profit of RM1.13bil
CIMB Niaga president director Lani Darmawan. PETALING JAYA: PT Bank CIMB Niaga Tbk (CIMB Niaga) has reported a consolidated profit before tax of 4.4 trillion rupiah or about RM1.13bil for the first half of 2025 (1H25), supported by consistent loan growth, a healthy funding profile, as well as strong capital and liquidity positions. Earnings per share stood at 137.43 rupiah, reflecting solid profitability in a competitive operating environment. 'In 1H25, CIMB Niaga delivered a balanced performance, reflecting the resilience of our strategy and the discipline of our execution,' said Lani Darmawan, the bank's president-director. 'We recorded healthy and prudent loan growth in line with our risk appetite and market dynamics, while maintaining stable asset quality, robust capital and liquidity, and a well-diversified revenue base, all of which reinforce the strength of our franchise,' Lani said. CIMB Niaga is an indirect 91.44% subsidiary of CIMB Group Holdings Bhd . As of June 30, the bank's total consolidated assets reached 357.9 trillion rupiah, solidifying its position as Indonesia's second-largest privately owned bank. Total loans increased by 6.8% year-on-year (y-o-y) to 231.8 trillion rupiah, driven by broad-based growth across key segments. Corporate banking led with a 9.3% increase, while small and medium enterprises expanded by 7.3% and consumer banking grew 4.7%. Within retail lending, auto loans stood out, surging 26.7% y-o-y. At the same time, the lender also reported strong performance on the funding side, as total deposits rose to 261.9 trillion rupiah, an increase of 4.8% y-o-y, while current accounts and savings accounts (Casa) grew by 10.9% to 180.6 trillion rupiah, boosting the Casa ratio to 69%. 'This growth reflects stronger customer relationships and enhanced digital touchpoints,' CIMB Niaga stated. Capital and liquidity indicators remain robust, with a capital adequacy ratio of 24% and a loan-to-deposit ratio of 87.3%, supporting ongoing lending capacity and operational resilience. CIMB Niaga's Islamic banking arm, CIMB Niaga Syariah, retained its position as the largest syariah business unit in Indonesia. As of June, syariah financing reached 59.6 trillion rupiah, up 2.5% y-o-y, largely due to growth in the wholesale and commercial segments. Total third-party deposits under the syariah unit stood at 48.2 trillion rupiah. The bank highlighted its focus on expanding low-cost funding through strategic Islamic partnerships and deeper community engagement. Lani said sustainability also remained a strategic focus for the bank in 1H25.
Barnama
30-07-2025
- Business
- Barnama
PT Bank CIMB Niaga Reports Consolidated Pre-Tax Profit Of IDR4.4 Trillion In 1H2025
BUSINESS KUALA LUMPUR, July 30 (Bernama) -- PT Bank CIMB Niaga Tbk has reported an unaudited consolidated pre-tax profit of IDR4.4 trillion in the first half of 2025 ended June 30, 2025 (1H2025), translating to an earnings per share of IDR137.43. CIMB Niaga president director Lani Darmawan said the bank delivered a balanced performance in 1H2025, reflecting the resilience of its strategy and the discipline of its execution. She added that CIMB Niaga recorded healthy and prudent loan growth in line with the bank's risk appetite and market dynamics, while maintaining stable asset quality, robust capital and liquidity as well as a well-diversified revenue base -- all of which reinforce the strength of its franchise. 'Looking ahead, we will continue to allocate capital strategically to drive sustainable growth and stronger risk-adjusted returns. 'As we stay true to our purpose of 'Advancing Customers and Society', our focus remains on providing banking solutions that are simpler, better, and faster, enabling customers to thrive and supporting inclusive progress for the communities we serve,' she said in a statement today. CIMB Niaga maintained a solid capital and liquidity position with a capital adequacy ratio and a loan-to-deposit ratio of 24.0 per cent and 87.3 per cent, respectively, while total consolidated assets stood at IDR357.9 trillion as of June 30, 2025. Total deposits increased by 4.8 per cent year-on-year (y-o-y) to IDR261.9 trillion, showcasing a robust current account and savings account (CASA) ratio of 69.0 per cent. Meanwhile, CASA grew by 10.9 per cent y-o-y, driven by stronger customer relationships and enhanced digital touchpoints. Total loans grew 6.8 per cent y-o-y to IDR231.8 trillion, driven by strong performance across key segments.
The Star
30-07-2025
- Business
- The Star
CIMB Niaga posts 1H25 pre-tax profit of IDR4.4 trillion
PETALING JAYA: PT Bank CIMB Niaga Tbk (CIMB Niaga) has reported a consolidated profit before tax of 4.4 trillion rupiah for the first half of 2025 (1H25), supported by consistent loan growth, a healthy funding profile, as well as strong capital and liquidity positions. Earnings per share stood at 137.43 rupiah, reflecting solid profitability in a competitive operating environment. 'In 1H25, CIMB Niaga delivered a balanced performance, reflecting the resilience of our strategy and the discipline of our execution,' said Lani Darmawan, the bank's president director. 'We recorded healthy and prudent loan growth in line with our risk appetite and market dynamics, while maintaining stable asset quality, robust capital and liquidity, and a well-diversified revenue base, all of which reinforce the strength of our franchise.' CIMB Niaga is an indirect, 91.44% subsidiary of CIMB Group Holdings Bhd . As of June 30, the bank's total consolidated assets reached 357.9 trillion rupiah, solidifying its position as Indonesia's second largest privately owned bank. Total loans increased by 6.8% year-on-year (y-o-y) to 231.8 trillion rupiah, driven by broad-based growth across key segments. Corporate banking led with a 9.3% increase, while small and medium enterprises (SMEs) expanded by 7.3% and consumer banking grew 4.7%. Within retail lending, auto loans stood out, surging 26.7% y-o-y. At the same time, the lender also reported strong performance on the funding side, as total deposits rose to 261.9 trillion rupiah, an increase of 4.8% y-o-y, while current account-savings account (CASA) grew by 10.9% to 180.6 trillion rupiah, boosting the CASA ratio to 69.0%. 'This growth reflects stronger customer relationships and enhanced digital touchpoints,' CIMB Niaga stated. Capital and liquidity indicators remain robust, with a capital adequacy ratio of 24% and a loan-to-deposit ratio of 87.3%, supporting ongoing lending capacity and operational resilience. CIMB Niaga's Islamic banking arm, CIMB Niaga Syariah, retained its position as the largest Sharia business unit in Indonesia. As of June, Sharia financing reached 59.6 trillion rupiah, up 2.5% y-o-y, largely due to growth in the wholesale and commercial segments. Total third-party deposits under the Sharia unit stood at 48.2 trillion rupiah. The bank highlighted its focus on expanding low-cost funding through strategic Islamic partnerships and deeper community engagement. Notably, Lani said sustainability remained a strategic focus in 1H25. 'With sustainability being a key priority, nearly 25% of the bank's total financing, or equivalent to 57.6 trillion rupiah, supports a just transition, low-carbon economy, and the United Nations Sustainable Development Goals,' she pointed out. CIMB Niaga also participated in the launch of the Indonesia Carbon Exchange in January and took steps to reduce its operational carbon footprint, including the installation of solar panels at one of its Yogyakarta branches in June 2025. Looking ahead, Lani said the bank will continue to allocate capital strategically to drive sustainable growth and stronger risk-adjusted returns. 'As we stay true to our purpose of advancing customers and society, our focus remains clear to provide banking solutions that are simpler, better, and faster, enabling customers to thrive and supporting inclusive progress for the communities we serve,' said Lani.
New Straits Times
30-04-2025
- Business
- New Straits Times
CIMB credit costs to normalise amid portfolio rebalancing
KUALA LUMPUR: CIMB Group Holdings Bhd's credit costs are projected to normalise to around one percentage point (ppt) over the coming quarters, in line with typical business-as-usual levels—provided there are no major writebacks. Credit costs represent the provisions banks allocate to cover potential loan defaults or non-performing loans. Hong Leong Investment Bank Bhd (HLIB Research) noted that with liquidity conditions remaining tight, funding costs are expected to remain under pressure. "However, management continues to highlight efforts to rebalance its loan portfolio towards higher-yield assets and to grow its fixed-rate loan book, including hire purchase, unsecured, and personal financing, taking into account the possibility of further benchmark rate cuts by Bank Indonesia. "Separately, loan exposure to tariffs remains insignificant, accounting for less than 1.5 per cent of Niaga's loan portfolio. "Therefore, we do not foresee any major deterioration in asset quality. "Loans at risk (LAR) remained stable quarter-on-quarter, and large buffers are in place to cushion any potential spike in the gross impaired loan (GIL) ratio," it said in a note. Meanwhile, HLIB Research also noted that CIMB Niaga posted commendable 1Q25 results, which came in within estimates despite prevailing market conditions. It said the earnings growth of 7.4 per cent year-on-year (YoY) was supported by lower credit costs and a reduced tax rate. "Additionally, loan growth momentum remains robust, bringing the reported loan-to-deposit ratio (LDR) to 89.3 per cent. "Furthermore, CIMB Niaga continues to focus on higher-yielding products while strategically rebalancing its loan portfolio to capitalise on potential rate cuts by Bank Indonesia," it noted. Overall, HLIB Research has maintained a "Buy" call on CIMB Group with a target price of RM9.20.
