ANALYST MEETING
PT Bank Tabungan Negara (Persero) Tbk.
Business & Financial Performances
as of September 30, 2015
2
Disclaimer
IMPORTANT: The following forms part of, and should be read in conjunction with, the other material in this presentation
This presentation contains privileged information and has been prepared solely for the recipient(s). By accepting a copy (or the contents) of this presentation, you are deemed to have acknowledged and agreed to the provisions appearing hereinafter. The existence of this presentation and the contents thereof should not be disclosed, reproduced, copied or otherwise disseminated to any other person or published, in whole or in part, without prior consent of PT Bank Tabungan Negara (Persero) Tbk. (“BTN” or the “Company”).
This presentation does not constitute or form part of any offer for sale or invitation, or solicitation of an offer, to subscribe for or purchase any securities and neither this document nor anything contained herein shall form the basis of or be relied on in connection with any contract or commitment whatsoever. Any decision to purchase or subscribe for securities should be made only on the basis of the information contained in a prospectus or offering circular issued by the Company in connection with any such offering.
Information and opinions contained in this presentation are provided for reference of the recipients only and are not to be relied upon as authoritative or without the
recipient’s own independent verification or taken in substitution for the exercise of the recipient’s own judgment. Any reference to past performance should not be taken as an indication of future performance. In furnishing the presentation, the Company has not undertaken to provide the recipient(s) with access to any additional information or updates. None of the Company warrant or guarantee whatsoever that this presentation will lead to the successful completion, or consummation, of any transactions whether or not under contemplation.
Macro Economy & Result Summary
4
Outline
Page
Performance Overview
9
Sharia Bussiness
32
4
Macro Economy &
Result Summary
• September 2015 recorded deflation of 0.05% (mtm), or inflation of 2.24% (ytd) and 6.83%
(yoy). FY 2015 target is 4±1%.
• The BI Rate was held at 7.50%. On Oct 6th, LPS
cut the maximum Rupiah and USD guaranteed deposit rates by 25 bps, to 7.5% and 1.25% respectively.
Updates on Macro Economy
• Economic growth is projected to pick up in
2H2015, as public spending gathers pace.
• The government has unveiled a series of
economic stimulus packages, aimed at attracting more investment and supporting Rupiah.
7.50% 7.50% 7.50% 7.50% 7.50% 7.50% 7.50% 7.50%
6
Updates on Banking System
• Loan growth was still restrained in August 2015 (10.96%), while deposit grew better at 13.24%.
• NPL jumped from 2.2% in December 2014 to 2.8% in August 2015, due to slow economic
growth, as well as the depreciation of Rupiah that affect the borrowers.
• OJK introduced 12 stimulus packages for the banking sector, including a reduction of the RWA
ratio for insured-credit programs and leniency for banks to restructure the loans.
Updates on Housing Industry
• The residential property price has shown
slower growth, from 1.44% (qtq) in 1Q15 to 1.38% (qtq) in 2Q2015. The sales growth also slowed from 26.62% (qtq) to 10.84% (qtq).
• Large houses were most affected by slower
rising prices. In contrast, rising prices of small residential properties accelerated from 1.98% (qtq) to 2.60% (qtq) in 2Q15.
• Weaker property sales were also evident from
a decreasing of mortgages for houses and apartments. Mortgages growth has slowed from 21.74% in 2013, to 12.78% in 2014 and 7.98% in August 2015.
Residential Property Index
Growth of Property Sales (% qtq)
8
Result Summary
• Despite of the economy slow down, BBTN recorded a satisfying result in 3Q2015.
• Total assets grew by 16.58% (yoy) to Rp166.04 trn, mainly driven by growth on loan and deposit.
• Total loans increased by 19.04% (yoy) to Rp131.58 trn, much higher than system’s growth of
10.96% (as of August 2015). Loan growth has been driven by Housing Loans: Subsidized and Non Subsidized Mortgages, as well as Construction Loans. As a result, we are still sustaining the leadership of mortgage in Indonesia by 29%.
• BBTN has been in a very good liquidity. Deposits rose by 22.22% to Rp124.47 trn. Current
accounts marked the biggest growth at 47.63%.
• Net profit increased by 61.80% (yoy) to Rp1.22 trn, due to lesser pressures on cosf of funds.
Interest income growth (15.73%) was exceeding interest expense (9.79%). Net interest income grew by 24.43%, while fee income also increased by 33.01%.
• NPL was 4.50%, improved from 4.85% in September 2014. Subsidized mortgage and construction
NPLs showed improvement.
Performance Overview
10
Financial Highlight
(IDR Billion)
Note : Reclassified
FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 3Q 2014 3Q 2015 y.o.y
Total Asset 68,386 89,121 111,749 131,170 144,576 142,428 166,038 16.58% Total Loan & Financing 51,550 63,564 81,411 100,467 115,916 110,538 131,580 19.04% Total Deposits 47,546 61,974 80,688 96,213 106,479 101,842 124,470 22.22% Equity 6,447 7,322 10,279 11,557 12,210.0 11,819 13,166 11.40% Net Profit 916 1,119 1,364 1,562 1,116 755 1,222 61.80% Earning per Share (IDR) 105 123 148 148 106 72 116 61.11%
CAR (Tier 1) 15.83% 14.20% 16.95% 14.91% 14.06% 13.57% 13.67%
CAR (BI) 16.74% 15.03% 17.69% 15.62% 14.64% 14.33% 15.78%
NPL (Gross) 3.26% 2.75% 4.09% 4.05% 4.01% 4.85% 4.50%
NPL (Net) 2.66% 2.23% 3.12% 3.04% 2.79% 3.63% 3.18%
N I M 5.99% 5.76% 5.83% 5.44% 4.47% 4.42% 4.77%
C I R *) 58.34% 51.66% 49.71% 50.86% 57.21% 59.94% 52.65%
COVERAGE RATIO 52.80% 54.11% 29.48% 27.97% 33.90% 27.55% 32.92%
ROE 16.56% 17.65% 18.23% 16.05% 10.66% 9.66% 15.13%
ROA 2.05% 2.03% 1.94% 1.79% 1.12% 1.02% 1.50%
Balance Sheet
IDR Billion
FY 2011 FY 2012 FY 2013 FY 2014 3Q 2014 3Q 2015 y.o.y
Total Assets 89,121 111,749 131,170 144,576 142,428 166,038 16.58%
Total Earning Assets 81,401 101,538 118,305 132,192 129,773 151,764 16.95%
- Term Deposit with BI 9,475 10,867 4,834 1,496 3,365 4,173 24.00%
- Loans and Financing 63,564 81,411 100,467 115,916 110,538 131,580 19.04%
- Securities 7,846 8,491 12,595 13,684 14,720 15,387 4.53%
- Other Earning Assets 517 769 408 1,095 1,149 624 -45.73%
Provision on Earning Asset (954) (997) (1,148) (1,588) (1,488) (1,962) 31.80%
Others 8,675 11,208 14,013 13,972 14,143 16,236 14.80%
Deposits 61,974 80,688 96,213 106,479 101,842 124,470 22.22%
Securities Issued 5,438 7,137 8,837 8,520 7,938 12,829 61.61%
Deposits from Other Banks 808 741 285 1,188 3,741 796 -78.72%
Repurchase Agreements 4,450 2,335 2,653 3,818 4,743 2,435 -48.65%
Borrowings 5,693 6,734 7,070 6,996 7,459 6,314 -15.35%
Others 3,436 3,834 4,556 5,365 4,886 6,028 23.39%
12
68.39
89.12
111.75
131.17
144.58 142.43
166.04
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Asset Composition
Total Assets
(IDR Trillion)
Assets Composition
(%)
89.11% 90.27% 89.97% 89.32% 90.34% 90.07% 90.22%
10.89% 9.73% 10.03% 10.68% 9.66% 9.93% 9.78%
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Non Earning Asset
Earning Asset Composition
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
14
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Loans Composition
Gross Loan
(IDR Trillion)
Housing and Non-Housing Loans
(%)
Note : Figures on all graphs Include Sharia financing
9
9.39% 12.21% 13.74% 13.40% 11.48% 11.39% 10.39%
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15 Non Housing Loans Housing Loans
85.00%
Rp. Bn Shares Rp. Bn Shares Rp. Bn Shares Rp. Bn Shares Rp. Bn Shares
Housing Loans 70,223 86.26% 87,005 86.60% 102,614 88.52% 97,944 88.61% 117,911 89.61%
1
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
2
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
37,580 44,415
54,692
67,977
79,948 76,443
91,610
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Growth in Mortgages
16
Loan Disbursement
IDR Trillion
Note : Figures on graph and table Include Sharia financing
IDR Billion
2010 2011 2012 2013 2014 2015
2014 2015
FY 2011 FY 2012 FY 2013 FY 2014 y.o.y
18
Loan Quality (2/2)
Note : Figures on all tables Include Sharia financing
Rp. Bn Share Rp. Bn Share Rp. Bn Share Rp. Bn Share Rp. Bn Share
Current 68,420 84.04% 84,301 83.91% 95,262 82.18% 88,631 80.18% 106,870 81.22% Special Mentioned 9,665 11.87% 12,101 12.04% 16,004 13.81% 16,546 14.97% 18,793 14.28% PL 78,085 95.91% 96,402 95.95% 111,266 95.99% 105,176 95.15% 125,663 95.50% Substandard 686 0.84% 458 0.46% 338 0.29% 717 0.65% 760 0.58% Doubtful 542 0.67% 457 0.45% 454 0.39% 668 0.60% 611 0.46% Loss 2,098 2.58% 3,151 3.14% 3,859 3.33% 3,976 3.60% 4,547 3.46% NPL 3,326 4.09% 4,066 4.05% 4,650 4.01% 5,362 4.85% 5,917 4.50% PL + NPL 81,411 100.00% 100,467 100.00% 115,916 100.00% 110,538 100.00% 131,580 100.00%
NPL Gross 4.09% 4.05% 4.01% 4.85% 4.50%
NPL Netto 3.12% 3.04% 2.79% 3.63% 3.18%
Collectibility 31-Dec-12 31-Dec-13 31-Dec-14 30-Sep-14 30-Sep-15
31-Dec 31-Dec 31-Dec 31-Dec 31-Dec
Portofolio 3Q2015 (Gross) 2010 2011 2012 2013 2014 2014 2015 Shares
3.14% 2.74% 3.93% 3.80% 3.43% 4.19% 3.76% 89.61%
3.75% 2.37% 5.00% 5.24% 3.96% 4.99% 3.55% 30.46% 2.64% 2.88% 2.90% 2.61% 2.51% 2.98% 3.31% 39.16% Other Housing Loans 2.53% 2.78% 3.08% 3.17% 3.47% 4.47% 4.44% 6.74% 2.60% 3.66% 4.74% 4.75% 5.13% 6.24% 5.26% 13.25%
4.22% 3.14% 5.08% 5.60% 8.51% 9.95% 10.80% 10.39%
Consumer Loan 0.81% 1.30% 2.00% 2.03% 2.55% 3.02% 2.69% 2.42% Commercial Loan 5.26% 3.60% 5.72% 6.63% 10.16% 11.58% 13.24% 7.97%
3.26% 2.75% 4.09% 4.05% 4.01% 4.85% 4.50% 100.00%
Loan Type 30 Sept
Total Loans
Housing Loans
Subsidized Mortgage Non-Subsidized Mortgage
Construction Loan
61.94
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Liabilities
20
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Savings Account Current Account
Time Deposit Total Deposits
Deposits
Total Deposits Mix
(IDR Trillion)
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
TD CASA
Deposits FY 2012 FY 2013 FY 2014 3Q 2014 3Q 2015 y.o.y
Current Account 13.27 19.12 23.42 20.78 30.68 47.63%
Savings Account 21.54 24.24 26.17 25.82 27.25 5.55%
Time Deposits 45.88 52.86 56.89 55.24 66.54 20.45%
6.45 7.32
10.28
11.56 12.21 11.82
13.17
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Equity (1/2)
Total Equity (IDR Trillion)
CAR - BI (%)
16.74%
15.03%
17.69%
15.62%
14.64% 14.33% 15.78%
22
Equity (2/2)
2010 2011 2012 2013 2014 Sep-14 *) Sep-15 *)
Tier - 1 Capital 5,739 6,584 9,038 9,879 10,736 10,127 11,031 Tier - 2 Capital 416 512 582 722 797 564 1,704 Capital on B/S 6,447 7,322 10,279 11,557 12,210 11,819 13,166 Securitization exposure 127 187 247 362 - -RWA - Credit Risk 33,283 40,940 46,582 57,749 66,251 64,566 69,116 RWA - Market Risk 208 150 182 284 226 179 403 RWA - Operational Risk 2,774 5,284 6,557 8,229 9,856 9,856 11,185 RWA - Total 36,265 46,374 53,321 66,262 76,333 74,600 80,704
CAR Tier – 1/(RWA Credit + Market Risk) 17.14% 16.02% 19.33% 17.02% 16.15% 15.64% 15.87%
CAR Tier – 1/(RWA Credit + Market + Ops
Risk) 15.83% 14.20% 16.95% 14.91% 14.06% 13.57% 13.67%
CAR B/S/(RWA Credit + Market Risk) 19.25% 17.82% 21.98% 19.91% 18.37% 18.25% 18.94% CAR B/S/(RWA Credit + Market + Ops Risk) 17.78% 15.79% 19.28% 17.44% 16.00% 15.84% 16.31%
CAR BI ((Tier 1+2)/(RWA Credit + Market Risk)) 18.12% 16.96% 20.17% 17.84% 16.81% 16.51% 18.32%
CAR BI ((Tier 1+2)/(RWA Credit + Ops Risk)) 16.83% 15.08% 17.75% 15.69% 14.68% 14.37% 15.86% CAR BI ((Tier 1+2)/(RWA Credit + Market +
Ops Risk)) 16.74% 15.03% 17.69% 15.62% 14.64% 14.33% 15.78%
FY 2012 FY 2013 FY 2014 3Q 2014 3Q 2015 y.o.y
Interest Income 9,106 11,197 13,373 9,816 11,361 15.73%
Interest Expense (4,379) (5,558) (7,893) (5,832) (6,403) 9.79%
Net Interest Income 4,726 5,639 5,480 3,984 4,958 24.43%
Other Operating Income 577 798 926 591 785 33.01%
Other Operating Expense (3,438) (4,301) (4,860) (3,525) (4,024) 14.15%
Profit From Operating 1,865 2,136 1,546 1,050 1,720 63.77%
Non Operating Income (Expense) (8) 5 2 (1) 15 -1412.60%
Profit Before Tax 1,857 2,141 1,548 1,049 1,735 65.39%
Net Profit 1,364 1,562 1,116 755 1,222 61.80%
Income Statement
24
Interest Income Composition
(IDR Billion)
0.65% 0.20%
5.21%
87.22%
6.52%
Placement with Bank Indonesia Placement with other bank Securities
Loan
Income from Syariah
FY2012 FY2013 FY2014 Sep-14 Sep-15 Y.o.Y
Placement with Bank Indonesia 46 74 81 56 74 33.16% Placement with other bank 52 63 40 32 23 -28.79%
Securities 534 726 982 738 592 -19.82%
Loan 7,901 9,605 11,352 8,339 9,909 18.83%
Income from Syariah 573 729 918 652 763 17.06%
Interest Expense Composition
(IDR Billion)
0.01% 2.04%
77.56%
11.85%
5.77% 2.76%
Bank Indonesia
Deposits from other Banks Deposits from Non Banks Securities Issued
Fund Borowings Others
FY2012 FY2013 FY2014 Sep-14 Sep-15 Y.o.Y
Bank Indonesia 8 5 2 2 1 -48.53% Deposits from other Banks 20 39 83 20 130 548.41% Deposits from Non Banks 3,118 4,082 6,291 4,696 4,966 5.76% Securities Issued 674 826 787 599 759 26.71% Fund Borowings 400 450 529 393 370 -5.90% Others 159 157 201 123 177 44.09%
26
Other Operating Income Composition
(IDR Billion)
*) Reclassified
5.89%
15.47% 0.05%
53.08% 25.52%
Mark to market
Gain
Reversal on Provisions
Commissions, Services & Admin Fee
FY2012 FY2013 FY2014 Sep-14 Sep-15 Y.o.Y
Mark to market 9 17 7 12 46 280.6%
Gain 17 32 115 54 122 124.4%
Reversal on Provisions - 8 5 5 0 -92.6% Commissions, Services & Admin Fee *) 11 31 30 325 417 28.4%
Others *) 541 709 770 195 200 3.0%
Other Operating Expense Composition
Provisions Salaries & Employee Benefit
Electricity, Telp, Office Supp. Others *)
Rent, Service & Maintenance Depreciation
Promotion Collector Fees & Consultan
Insurance Premium Training
Research & Development Other Taxes FY2012 FY2013 FY2014 Sep-14 Sep-15 Y.o.Y
Provisions 214 441 777 505 658 30.22%
28
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Key Financial Ratios (1/4)
Net Income
(IDR Billion)
Net Interest Margin Cost Income Ratio *)
5.99% 5.76% 5.83%
5.44%
4.47% 4.42% 4.77%
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
Key Financial Ratios (2/4)
ROA1– before tax
1Calculated based on income before income tax (include tax benefit and extraordinary item)/ average total assets based on Bank Indonesia regulation
ROA2– after tax
2.05% 2.03% 1.94%
1.79%
1.12% 1.02%
1.50%
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
1.50% 1.49% 1.42%
1.30%
0.81% 0.74%
1.05%
30
Key Financial Ratios (3/4)
ROE3 – tier 1 capital
ROE4 – balance sheet
3Calculated based on net profit/average Tier 1 capital based on Bank Indonesia regulation
4Calculated based on net profit/total stakeholder’s equity
15.28%
13.52% 16.56% 17.65%
18.23%
16.05%
10.66%
9.66%
15.13%
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
14.07% 15.28% 13.27% 13.52%
9.14% 8.52%
12.38%
Key Financial Ratios (4/4)
Loan-to-Deposit Ratio
Loan-to-Funding Ratio
108.42%
102.56%
100.90%
104.42%
108.86% 108.54%
105.71%
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
87.21%
81.11% 83.38% 87.32%
91.27% 100.07% 98.83%
32
Sharia Business
35.34
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
2,847
Dec10 Dec11 Dec12 Dec13 Dec14 Sep14 Sep15
34
5 2009 at IDR800 per share
• Rights issue successfully done in November 2012 by issuing additional 1.512.857.500 new shares
• Market cap as of 30 Sep 2015 was IDR 10.53 trillion (USD 0.72 billion)
Shares Information
30-Sep-2014 Rp. 1.170,-
30-Sep 2015 Rp. 995,-
Ownership # of Shares %
G O I 6,354,000,000 60.04%
Public 4,228,337,724 39.96%
- Domestic 1,866,979,367 44.15% - Foreign 2,361,358,357 55.85%
36
2009 2010 2011 2012 2013 2014 Sep-15
THANK YOU
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Investor Relations
PT Bank Tabungan Negara (Persero) Tbk Menara BTN Lt. 20 - Jl Gajah Mada No. 1 Jakarta Pusat 10130
Telp : +62 21 63870142 / +62 21 63870107 Facs: +62 21 63870104