- BBNI optimistic to achieve 10-12% credit growth by the end of 2024
Bank Negara Indonesia (BBNI) is confident that it can achieve credit growth in the range of 10-12% by the end of 2024. For credit growth, the company remains focused on healthy business segments, namely corporate and consumer. In 9M24, BBNI’s credit distribution grew 9.5% yoy to IDR 735B, driven by the corporate segment which increased to IDR 409.2T (+15.1% yoy) along with the consumer segment of IDR 137T (+14.6% yoy). This year, the medium and small segments are still focused on improving credit underwriting so that these two segments will be ready to support BBNI’s credit growth next year. The company expects better credit growth in 2025 along with the improvement in GDP, in line with the vision of the new government of focusing on priority sectors, such as downstreaming, energy, food security, and supporting housing programs. (Kontan) - HEAL booked IDR 468.18B net profit in 9M24
Medikaloka Hermina (HEAL) posted a net profit of IDR 468.16B in 9M24 (+34.20% yoy). This was in line with the increase in revenue by 18.83% yoy to IDR 5.03T. This revenue was supported by inpatient services of IDR 1.11T (+21.3% yoy), sales of medicines and inpatient medical equipment of IDR 803.04B (+21.6% yoy), revenue from inpatient medical services of IDR 611.85B (+20.7% yoy), inpatient medical and diagnostic support services of IDR 386.77B, and income from outpatient services of IDR 1.86T (+11.8% yoy). (Bisnis Indonesia) - INCO has not met
Investment Commitments The Indonesian Audit Board (BPK) found that PT Vale Indonesia (INCO) has not fully met its investment commitments per its Contract of Work (KK) amendment, especially in developing nickel smelters in Sulawesi. The government’s evaluation was incomplete, potentially impacting state revenues from mining operations. Vale’s investment obligations increased to USD 11.2 billion after a recent 14% stake divestment to MIND ID. The projects must be completed between 2026 and 2029, or the government may revoke permits. This could affect Vale’s ability to secure future mining licenses. (Emitennews) - KDSI will do a 1:4 stock split
Kedawung Setia Industrial (KDSI) received shareholder approval for a 1:4 stock split, reducing the nominal share value from Rp500 to Rp125. This move will increase the total outstanding shares to 1.62 billion, while the authorized capital will rise to 2.4 billion shares. The stock split aims to improve liquidity and make the shares more accessible to retail investors. The company’s largest shareholder, Kita Subur Bersama, will own approximately 1.27 billion shares, while the public holds the remaining 348.43 million shares. (Emiten news) - UNVR making drastic changes amidst boycotts
Unilever is making significant changes in Indonesia due to ongoing boycotts related to geopolitical tensions in the Middle East. The company’s Indonesia unit reported an 18% revenue decline in Q3 2024, driven by reduced sales. These changes include overhauling its distribution strategy, such as adjusting pricing to be more competitive and providing higher discounts to retailers to regain market share. Additionally, Unilever is expanding local partnerships to enhance product availability and stabilize its supply chain. Despite recent setbacks, management expects improvements over the next six months. This turnaround effort is crucial given Indonesia’s historical underperformance and long-standing market challenges. (Channel News Asia)