Maybank Indonesia Booked 24% Increase in PBT to Rp944 Billion in the First Half of 2022

29 July 2022

16-min read

Consolidated Financial Highlights as of 30 June 2022
 (All percentages noted are on year on year (Y-o-Y) basis unless otherwise stated)

Y-o-Y Overview

  • Profit before Tax (PBT) rose 23.9% to Rp944 billion;
  • Profit after Tax and Minority Interest (PATAMI) rose 30.0% to Rp663 billion;
  • Fee-based income excluding Global Market fees increased 5.2% to Rp818 billion, derived from loan and retail business related fees and fee from subsidiaries;
  • Global Market fees declined 69.2% on the back of global interest rate environment and volatile markets;
  • Total outstanding loans grew 8.1% to Rp106.81 trillion backed by:
    • Growth in Global Banking loans by 16.7%;
    • Community Financial Services (CFS) Retail loans which grew by 9.0%.
  • Total deposits increased 3.9% to Rp111.66 trillion with growth in Current Accounts and Savings Accounts (CASA) by 22.3%:
    • CASA ratio grew strongly to 49.4% in June 2022.
  • Loan to Deposit Ratio (LDR Bank Only) increased to 84.0%;
  • Capital remains strong with Capital Adequacy Ratio (CAR) at 25.9% and total capital of Rp28.21 trillion;
  • Growth in Shariah Banking Unit as:
    • Share of Shariah Banking Unit’s total assets to the Bank’s assets improved to 26.2% from 23.9%;
    • Assets grew 13.2% to Rp41.14 trillion;
    • Financing grew 5.3% to Rp26.04 trillion;
    • CASA grew significantly by 43.7% to Rp11.91 trillion.
  • Growth in digital banking:
    • Financial transactions from retail customers using M2U increased 18.2% to over 8.6 million transactions;
    • Financial transactions from corporate customers using M2E increased 42.7% to over 2.0 million transactions;
    • Value of transaction grew 23.7% to Rp44.95 trillion.


Maybank Indonesia announced its Consolidated Financial Results for the first half ended 30 June 2022, with Profit before Tax (PBT) of Rp944 billion, an increase of 23.9% from Rp762 billion, and Profit after Tax and Minority Interest (PATAMI) of Rp663 billion, up 30.0% from Rp510 billion in the previous year.


The rise in both PBT and PATAMI came from a gradual improvement in the economy in the first half of 2022, contributing to the loan demand increase. The results were mainly from reduced loan provisions due to improved loan quality and supported by loan growth, lower cost of funds and well-maintained overheads.


The Bank’s Net Interest Income (NII) stood at Rp3.48 trillion, backed by growth in retail and corporate loans, lower cost of funds, and strong growth in CASA, resulting in the Bank’s Net Interest Margin (NIM) expanding 18 bps to 4.6% in the first half 2022.


The Bank registered fee-based income, excluding Global Market fees, at Rp818 billion, which rose 5.2% from Rp777 billion in the previous year, attributed to  loan and retail business related fees and fees from subsidiaries. However, the Bank's Global Market fees declined 69.2% due to global interest rate environment and volatile markets, resulting in a decrease in total fee income by 8.4% Y-o-Y.


As business and trade activities resumed in the first half of 2022, the Bank's total outstanding loans grew 8.1% to Rp106.81 trillion from Rp98.80 trillion in the previous year. This is the first increase in loans since the pandemic, led by the Global Banking segment, which grew 16.7% to Rp42.09 trillion from Rp36.07 trillion in the previous year. In addition, the Global Banking segment also grew 19.4% Q-o-Q.


The total outstanding loan in the Community Financial Services (CFS) segment grew 3.2% to Rp64.73 trillion from Rp62.73 trillion in the previous year. The CFS Retail loan segment grew 9.0% across all retail segments to Rp35.95 trillion from Rp32.98 trillion, following improvements in the consumers' purchasing power in the first half of 2022. The Mortgage segment continued to grow 8.5% to Rp15.65 trillion from Rp14.42 trillion, and the subsidiaries’ automotive financing also grew 10.8%.


Non-retail loan specifically for retail small and medium enterprises, RSME grew 5.0% to Rp12.65 trillion from Rp12.04 trillion, backed by the improvement in the economy. However, the CFS Non-retail segment declined 3.3%, as the Bank took steps to rebalance its non-retail loan portfolio and implemented measures when disbursing loans, ensuring the loans are effective for business continuity and maintaining customer commitments.


The Bank's total customer deposits grew 3.9% to Rp111.66 trillion from Rp107.43 trillion in the previous year. The Bank's CASA grew 22.3%, of which Current Account increased 34.6% while Savings Account increased 8.6%. Time Deposits, however, declined 9.3% to Rp56.53 trillion from Rp62.36 trillion in line with the Bank's strategy to focus on low-cost funding by leveraging the Bank's digital services to acquire customer deposits. The Bank's CASA ratio continued to improve and was higher at 49.4% in June 2022 compared to 41.9% in June 2021.


The Bank remained conservative in its approach to ensure asset quality remained sound by setting aside pre-emptive provisioning across all business segments, including for Shariah financing, whilst continuing to monitor its loan portfolios.


Following the improvements in the overall economic outlook, the Bank saw a decrease in provisions for impairment losses by 32.6% to Rp534 billion, resulting from the Bank's continued success in its restructuring efforts in particular, for customers’ loans impacted by the pandemic.


These efforts have resulted in improved Bank's consolidated Non-Performing Loan (NPL) ratio, which stood at 3.5% (gross) and 2.6% (net) in June 2022 from 4.4% (gross) and 2.7% (net) in June 2021 and a decrease in NPL balance by 12.5%. The Bank maintained a prudent banking approach and continued to apply a conservative risk posture.


Overhead cost remained under control at Rp2.86 trillion, even as business activities start to return to normal. The Bank continued to implement sustainable cost management across the entire Bank's operations and its business initiatives to ensure every expense incurred contributed to an increase in the Bank's revenue.


The Bank's liquidity remains strong with Loan to Deposit (LDR) ratio (Bank only) at a healthy level of 84.0%, while its Liquidity Coverage (LCR) ratio (Bank only) stood at 165.3% in June 2022, exceeding the regulator's minimum level of 100%.


The Bank's capital position remains strong, with Capital Adequacy Ratio (CAR) standing at 25.9% in June 2022, compared with 26.3% in June 2021. The Bank's total capital also increased to Rp28.21 trillion in June 2022 from Rp27.16 trillion in June 2021.


Growth in Digital Platform
The Bank's digital banking platform, M2U, registered an increase in transactions of 18.2% to approximately 8.6 million in the first half of 2022, from more than 7.3 million transactions in the previous year. The transaction value grew 23.7% to Rp44.95 trillion from Rp36.33 trillion in the previous year, followed by a 600% growth in new customer acquisitions through the digital platform.


Meanwhile, M2E transactions increased by 42.7% to more than two million transactions in the first half of 2022. The total value of financial transactions made through M2E was at Rp348.18 trillion in the first half of 2022, a growth of 42.9% from Rp243.71 trillion in the previous year. M2E also recorded growth in number of active users by 14.5% to 2,827 users from 2,469 users in first half 2021. This led to a growth in corporate funding through M2E by 1.4% to Rp24.36 trillion.


The Bank introduced new features in M2U, including Digital Wealth, allowing customers to manage assets, from deposits, loans to investments. Recently, the Bank also introduced other features such as mutual funds switching, transfer funds in foreign currency, and e-commerce payment. Meanwhile, for corporate customers, M2E is now equipped with bill payment functions, allowing corporate customers to pay utility bills.



Shariah Banking Unit
Maybank Indonesia Shariah Banking Unit's operating profit before provision increased 11.1% to Rp382 billion as financing grew 5.3% to Rp26.04 trillion from Rp24.74 trillion, and lower cost of funds as CASA grew significantly.


Total Shariah Banking Unit’s assets grew 13.2% to Rp41.14 trillion from Rp36.35 trillion, accounting for 26.2% of the Bank’s individual assets.


Non-Performing Financing (NPF) ratio improved at 2.9% (gross) and 2.3% (net) in June 2022 from 3.8% (gross) and 2.6% (net) in June 2021 as total Shariah financing grew. Financing-to-Deposit Ratio (FDR) stood at a healthy level of 82.0%.


Shariah Banking Unit’s CASA grew significantly by 43.7% to Rp11.91 trillion in the first half 2022 from Rp8.29 trillion in previous year. The increase in CASA is in line with the Bank’s strategy in maintaining strong liquidity by optimising low-cost funding.


The Shariah Banking Unit continued to take conservative measures to safeguard its asset quality by setting aside higher provisioning for specific accounts, which led to a drop in PBT to Rp124 billion in the first half of 2022 from Rp294 billion in the previous year.


Bank’s continued support to customers and the community
During Ramadan, Maybank Indonesia Shariah Banking Unit distributed assistance to orphans and underprivileged communities. Sourced and managed through Shariah Banking Unit's benevolence funds, the assistance was distributed through Shariah branch offices throughout Indonesia, targeting more than 2,000 beneficiaries.


To commemorate Earth Day in April, Maybank Indonesia carried out its corporate responsibility program in collaboration with Alam Sehat Lestari Foundation (ASRI). The program aimed to support the Government's efforts in tropical rainforests conservation through a reforestation program in West Kalimantan, as well as to provide support for health services for the community as an incentive in return for conserving protected forests.


As part of the Bank's commitment to support financial inclusion and economic independence, Maybank Indonesia continued to host entrepreneurship training through its Reach, Independence & Sustainable Entrepreneurship (RISE) 2.0 programme for people with disabilities. In 2022, the programme has trained more than 800 participants across Java, Sumatera, Kalimantan and East Nusa Tenggara. Since its introduction in 2016, RISE 2.0 has trained more than 6,800 participants by the end of the first half of 2022. The programme aims to train up to 7,500 participants by 2023.


In the first half of 2022, Maybank Indonesia has won a number of awards namely the 'Asia Top 15 In-House Teams 2022' by the Asian Legal Business (ALB), 'Best Retail Bank for Digital CX – Indonesia' by Digital Banker, and 'Best Responsibility of the Board’ during the 13th IICD Corporate Governance Award session by Indonesia Institute for Corporate Directorship (IICD) just to name a few. In addition, the Bank was also awarded the 'Digital Banking Awards 2022' by the Investor Magazine.


President Director Maybank Indonesia, Taswin Zakaria said, "We are pleased to announce our strong growth in revenue as the market continued to regain its momentum in the first half of 2022 and we were able to chart loan growth across most segments. We will continue with our strategies and initiatives in ensuring sustained growth in our loan portfolios.”


"Given the uncertainties arising from geopolitical and recent market conditions, we will remain prudent in managing our business, and emplace necessary precautions to safeguard our assets, as well as maintain risk posture to withstand any unforeseen global threats. At the same time, we will focus on sustainable businesses by taking into account the environmental, social and governance aspects in every course of our business, in line with the Bank's mission, Humanising Financial Services."


Group President and Chief Executive Officer of Maybank, Dato' Khairussaleh Ramli, said, "Maybank Indonesia has delivered a commendable performance for the first half of 2022, despite the market volatility seen globally. The Bank was able to capture business opportunities across its various segments and drive growth as economic momentum started to return in 2022. Backed by strong fundamentals and supported by effective risk management, I am confident that Maybank Indonesia will be able to navigate through potential market volatilities it may experience in the coming quarters."


“It is an honour to once again join Maybank Group and be part of Maybank Indonesia, especially given my past experience with this Bank. I look forward to working with the team in Maybank Indonesia on executing its long-term strategy and growth plans in achieving greater success.”




PT Maybank Indonesia Finance (Maybank Finance)
Maybank Finance recorded positive growth in PBT, which increased 19.0% to Rp272 billion from Rp229 billion in the previous year, as four-wheeled financing continued to grow.


The total outstanding four-wheeled financing grew 4.1% to Rp5.97 trillion from Rp5.74 trillion in the previous year, as NPL improved to 0.2% (gross) and 0.1% (net) in June 2022 from 0.7% (gross) and 0.3%  (net) in June 2021.


PT Wahana Ottomitra Multiartha Tbk (WOM)
In the first half of 2022, WOM registered a PBT of Rp112 billion, rising 76.6% from Rp63 billion in the previous year, as consumer purchasing power improved, leading to rising demands for two-wheeled vehicles financing.

WOM's financing grew 8.7% to Rp4.62 trillion from Rp4.26 trillion in the previous year. WOM’s NPL ratio stood at 1.7% (gross) and 0.7% (net) in June 2022 from 2.2% (gross) and 1.0% (net) in June 2021