Equity Daily Market Highlights
Bank Tabungan Negara (TRADING SELL): Posted Rp188b profit in 1Q10▪ Bank Tabungan Negara (BTN) posted Rp188b net profit in 1Q10. The annualized figure is inline with consensus estimates.▪ The bank keeps its 27% loan growth target for 2010, for which it plans to issue Rp2t bond in May. As of 1Q10 it managed to expand loan book by 6% YTD.▪ LDR remains as the biggest concern for BTN as it reached 114% in 1Q10. Analyst comment: ▪ Although the 20% CAR is sufficient to support growth, BTN will need to come up with effective approach to increase deposit book, otherwise loan growth will be impeded.▪ With 13.9% ROE, BTN’s recent price rally is excessive. TRADING SELL. KE Indonesia Research resea...@kimeng.co.idp: (62 21) 2557 1132 F: (62 21) 2557 1186
