Jerry Ng, the CEO of Bank Tabungan Pensionan Nasional (BTPN IJ, not rated, market Cap Rp 8.0 trn, US$886m), hosted an informal breakfast this morning. BTPN is a niche bank, focused on administering civil service pensions and now cross-selling loans to that customer base. Overlaid on this, they are building out a micro lending operation. Total assets - Rp28 trn, total loans Rp19 trn - Loans-to-pensioners 78%, Micro loans 20%. LDR 88%, gross NPLs 0.9%, RoE 35.7%. The bank is making excellent progress:
* Strong loans growth: In 2Q, BTPN grew loans by 25% YTD and 64% y/y. Rolling out of the pension loans and benefits of the network expansion for its micro lending business helped. We have expected strong showing on the growth of BTPN’s micro loans book as they expand reach.
* But unexpectedly, pension loans grew strongly as well: They disbursed Rp6.2 trn in pension loans in 1H, vs. 9.2trn in all of FY09. BTPN says that the rate of retirement from the civil services seems to have increased this year. From an average annual retiree rate of 100,000 people per year, this year there seems to be double the number of new retirees. This is a growth opportunity for them and driving new loans too. They have added 30% to their capacity to service the pension administration business.
The stock trades on 3.4x Jun-10 price-to-book multiple, with 36% RoE. Has been my personal favourite for the last two years.
Tidak ada komentar:
Posting Komentar