Wednesday, November 5, 2014

PT Bank Central Asia Tbk - A Little Smudge in Asset Quality

BBCA registered firm 3Q14 net profit of Rp4.3 tn, improved 3.8% qoq and 7.7% yoy, on the back of favorable funding cost since special time deposit rate (below Rp2 bn) decrease to 8.25% in August-October 2014. However, gross NPL worsened 20bps qoq, due to Rp400 bn troubled loan in one corporate borrower. The latter brought down the coverage ratio to 295% in 3Q14 (2Q14: 386.1%). We reiterated our HOLD rating with maintained TP of Rp12,800.

No comments:

Post a Comment

Blog Archive