Tuesday, 18 June 2019 | 13:39 WIB

Bank DKI Obtains Net Profit Growth of 12.4 Percent to IDR 712.2 Billion

Bank DKI Obtains Net Profit Growth of 12.4 Percent to IDR 712.2 Billion (bankdki)

JAKARTA, NETRALNEWS.COM - Closing 2018, the financial performance of Bank DKI showed a positive trend with the achievement of net profit per December 2018 of IDR 800.3 billion, a rise of 12.4 percent compared to net income in the same period of 2017 of IDR712.2 billion.

"The achievement of net income was driven by an increase in bank operating income which was dominated by the growth of 'fee based income' by 26.2 percent in line with the increase in product and service activities that occurred throughout 2018," said Bank DKI Finance Director Sigit Prastowo on Friday (22 / 3/2019).

In the presentation of financial performance in 2018, Sigit Prastowo stated in general, in 2018 Bank DKI was able to record good performance achievements as expected.

Positive performance was also reflected in the realization of lending that exceeded the company's target. Throughout 2018 Bank DKI's credit growth reached 27.9 percent, from IDR 27.1 trillion in 2017 to IDR 34.7 trillion at the end of last year. This growth is far above the national banking average growth which was recorded at 12.9 percent in 2018.

"This growth is a reflection of the main theme of the strategic policy carried out by Bank DKI in 2018, which is Quality Growth Acceleration," said Sigit Prastowo.

Sigit said the increase in lending and financing was mainly focused on the micro segment which increased significantly in 2018 by 49.7 percent.

In the midst of the rate of credit growth, the quality of assets held can also be maintained properly, as indicated by the improvement in the ratio of non-performing loans (NPL). The gross NPL ratio and net NPL in 2018 were 2.7 percent and 1.6 percent respectively from 3.8 percent and 2.3 percent in 2017.

"This achievement is certainly the result of various remedial efforts carried out throughout 2018," Sigit said.

In the activities of collecting Third Party Funds (TPF) throughout 2018, Bank DKI prioritizes the optimization of the intermediation function by increasing the ratio of deposits with loans or loan to deposit ratio (LDR) at an optimal point, thus maintaining the level of company profitability.

Deposits as of December 2018 were recorded at IDR 37.3 trillion, driven by savings growth of 34.4 percent. "Going forward, an increase in low-cost funds, both savings and demand deposits, will continue to be the main focus of Bank DKI in conducting deposits collection activities," Sigit added.

With a number of these developments, as of December 2018, Bank DKI's total assets were recorded at IDR 53.0 trillion, an increase of 3.1 percent from IDR 51.4 trillion in 2017.

As reported by Antara, the achievement of total assets is supported by improvements in the funding structure and optimization of funds owned so as to encourage an increase in net income in 2018, Sigit Prastowo added.