BANK BUKOPIN
OVERVIEW
As of March 31, 2013
BANK BUKOPIN
Disclaimer
IMPORTANT: The following forms part of, and should be read in conjunction with, this presentation.
This report is prepared by PT. Bank Bukopin Tbk independently and is circulated for the purpose of general information only. It is not intended to the specific person who may receive this report. No warranty (expressed or implied) is made to the accuracy or completeness of the information. Some of the statements contained in this document contain “forward looking” statements with respect to the financial conditions, results of operations and businesses, and related plans and objectives. These Statements do not directly or exclusively relate to historical facts and reflect the Company’s current intentions, plans, expectations, assumptions and beliefs about future events. The Statements involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those in the statements as originally made. Such statements are not, and should not be construed as a representation to future performance of the Company. Readers are urged to view all forward-looking statements contained herein with caution.
2 BANK BUKOPIN
Table of Contents
Overview
Business Activity
Competitive Strengths
Financial Summary
Strategic Plan
3 BANK BUKOPIN
Overview
4 BANK BUKOPIN
Financial Highlight
R:250 G:250 B:0
R:0 G:111 B:192
R:63 G:173 B:92
Total Assets (Rp. Tn)
Total Loans (Rp. Tn)
Total Third Party Deposits (Rp. Tn)
Earning (Rp. Bn)
Earning After Tax
* Unaudited
5
Earning Before Tax
54.0 48.1
31.8
8.4 9.8
11.1 13.8
Mar-12* Dec-12 Mar-13*
61.4
39.4
8.8
13.2
27.2
65.7 57.9
72.3
Mar-12* Dec-12 Mar-13* Mar-12* Dec-12 Mar-13*
830.5 1,059.4
240.4 181.3 286.3 223.7
47.5
36.6
45.5
Mar-12* Dec-12 Mar-13*
Saving Currenct Account Time Deposit
BANK BUKOPIN
Shareholders Structure as of 31 March 2013
Koperasi Pegawai Bulog Seluruh
Indonesia (KOPELINDO)/ Cooperative of
Bulog Employees
Public
Koperasi Perkayuan
APKINDO MPI (KOPKAPINDO)/ Cooperative of
Indonesia Timber
Government of
Republic of Indonesia
PT Bank Syariah Bukopin PT Bukopin Finance
31.72% 13.04% 9.40% 5.05% 40.79%
88.26% 77.57%
Yayasan Bina Sejahtera Warga
Bulog (YABINSTRA)/ Foundation of
Bulog Employees
6 BANK BUKOPIN
Industry Position
In billion Rp
Source: Bank’s Publication as of Dec 2012, Bank Only 7
Deposit Rank 13th
Asset Rank 15th
Loan Rank 13th
51,208
59,090
59,368
61,762
62,764
64,524
66,159
67,069
79,142
111,161
111,749
130,475
132,130
141,789
192,613
321,534
436,795
547,592
563,105
STANCHART
BTPN
UOB INDONESIA
CITIBANK
BUKOPIN
HSBC
MEGA
BANK JABAR BANTEN
OCBC NISP
BII
BTN
DANAMON
PERMATA
PANIN
NIAGA
BNI
BCA
BRI
MANDIRI
26,408
42,025
43,324
44,477
46,483
47,548
51,114
51,308
60,168
75,783
85,470
90,605
97,885
101,503
144,144
248,993
370,278
435,459
436,084
STANCHART
CITIBANK
HSBC
BTPN
UOB INDONESIA
BANK JABAR BANTEN
BUKOPIN
MEGA
OCBC NISP
BTN
BII
DANAMON
PERMATA
PANIN
NIAGA
BNI
BCA
MANDIRI
BRI
26,986
31,035
31,131
35,054
38,340
38,470
42,840
45,000
52,085
74,319
75,411
86,955
91,533
91,766
133,708
193,017
256,714
339,974
347,953
MEGA
CITIBANK
STANCHART
BANK JABAR BANTEN
BTPN
HSBC
BUKOPIN
UOB INDONESIA
OCBC NISP
BII
BTN
PERMATA
DANAMON
PANIN
NIAGA
BNI
BCA
MANDIRI
BRI
BANK BUKOPIN
History and Key Milestone
1989 1993 2003 2006 2008 2009 2011 1970 2012
8 BANK BUKOPIN
Business Activity
9 BANK BUKOPIN
Core Business
Supported by Treasury Business, International Banking and Fee-Based Services
Objective:
To become a top bank through focusing on value
CONSUMER
“To be a Preferred Partner for Mass, Mass Affluent Customers and
Business Owners ”
SME
“To be a key player in SME Banking”
COMMERCIAL
“Sustain Current Market Position”
MAIN BUSINESS PILLARS
MICRO
“To be a market leader in business to business
Micro and a prime player for Rural Micro Banking”
Bank Bukopin’s business activities of lending and funding includes four pillars which are Small and Medium Enterprises (SME), Micro Business, Consumer Business and Commercial Business.
10 BANK BUKOPIN
Competitive Strenghts
11 BANK BUKOPIN
Positioned for Growth
Leading Sophisticated
Mid-Sized Bank
Experienced and
Competent in SMEs and
Micro Business
Strategic Partnerships
Satisfying and Compatible
Services
Extensive Branch and Electronic Network
Established Control and
Risk Management
Experienced Management
12 BANK BUKOPIN
Strategic Partnerships
Bukopin’s Strategic Partners
BULOG
• National Food Logistic Agency
Perusahaan Listrik Negara (PLN)
• Indonesia state-owned electricity company
Swamitra
• Community-based cooperative
Jamsostek
• State-owned social security company for private sector workers
Pertamina
• Indonesia state-owned oil extraction company
Taspen
• State-owned pension company for civil servants
13 BANK BUKOPIN
• Responsible for the maintenance of rice security, rice distribution and price control.
• Bank Bukopin is the major bank (60%) in financing Bulog and the other bank is BRI (40%).
• Bank Bukopin has a long-standing partnership with Bulog. Around 30.99% of Bank Bukopin’s Commercial loan portfolio comprises loans to Bulog.
• Bank Bukopin provides financing to Bulog’s food distribution supply chain from end-to-end.
• Bank Bukopin also assists Bulog with logistics information and accounting system management
• Bank Bukopin provides full serviced financing to 6 areas of regional division of Perum Bulog : West Java, East Java, DKI Jakarta, Bali, South Sulawesi & South Kalimantan
• Since the late 1990s, Bank Bukopin has developed Swamitra model. We provide Management Assistance, System and Procedure and IT System.
• Today, Bank Bukopin partners with 631 Swamitra with more than 463.000 members across Indonesia. Cooperative members are mostly in the micro-business segment.
• Bank Bukopin provides loans to Swamitra, which then channels the loan to its members (two step loan).
• In Swamitra lending, members of the cooperative keep an eye on one another, to ensure repayments so as to protect the profitability of the cooperative. This leads to a low NPL ratio for Swamitra loans.
Savings and loan cooperative
Strategic Partnership
Bulog’s network:
26 Regional Divisions
101 Sub-Regional Divisions
30 Logistic Offices
463 Warehouses
14 BANK BUKOPIN
• Jamsostek manages social security for over 40 million private sector workers, of which over 11 million are active members, with total assets of over Rp. 137 trillion (US$ 14.1 Tn).
• Bank Bukopin has 38 outlets co-located at Jamsostek’s offices. These outlets enable the deposit of contributions by and payment of Jamsostek claims to its members.
• Jamsostek owns a 6.14% stake in PT Bank Syariah Bukopin, in which Bank Bukopin controls 77.57% (the remaining shareholders are local funds).
• In line with Jamsostek’s ongoing transformation – from providing merely financial benefit to “total benefit” for its members (including housing and health benefits) – Bank Bukopin is collaborating with Jamsostek to provide financing and cash management for the housing.
Social security for private sector workers
Pension scheme for civil servants
• Appointed as one of 16 institutions as pension fund payment agent.
• Bank Bukopin implemented personal financing to Taspen pensioners in 2Q 2010, under its micro financing segment.
• Repayments are through deduction from pension payments.
• Outstanding loans under the Taspen program have grown, to around Rp. 1,46 trillion by March 2013.
Strategic Partnership
15 BANK BUKOPIN
• Bank Bukopin is one of 5 banks given exclusive right by Pertamina to receive payment for Pertamina’s products (fuel and non-fuel). This arrangement commenced in April 2009.
• Bank Bukopin provides banking facilities (letters-of-credit/trade financing) and cash management services for Pertamina’s operations.
• Pertamina-related transactions via Bank Bukopin currently average Rp. 2.3 trillion per month.
State-owned oil extraction company
Strategic Partnership
• Bank Bukopin currently serves 11 million out of 42 million PLN customers who pay their bills through around 56 banks.
• Bank Bukopin was the first commercial bank in Indonesia to establish the Payment Point On-line Bukopin (PPOB). It now has more than 18.000 PPOBs across Indonesia.
• PPOBs can provide services to PLN customers such as billing payment, new PLN installation and PLN prepaid card for electricity.
• The PLN partnership has provided a boost to Bank Bukopin’s fee-based income, cash management services, CASA accumulation and loan portfolio (note: As of 31 Mar 2013 fee-based income contributes around 22.14 % of Bank Bukopin’s total income).
State-owned electricity company
16 BANK BUKOPIN
Satisfying and Compatible Services
Providing arrays of products and services to fulfill customer needs
Using technology as a strategic means to deliver services
Improving human resources competencies as a key factor
17 BANK BUKOPIN
Extensive Branch and Electronic Network
Lampung
Nanggroe Aceh Darussalam
Riau
Jambi
South Sumatera
West Sumatera
West Kalimantan
East Kalimantan
South Kalimantan
Banten
North Sulawesi
South Sulawesi
Bali
West Nusa Tenggara
East Nusa Tenggara
East Java
West Java
D.I.Yogyakarta
DKI Jakarta
Central Java
North Sumatera
Riau Island
As of Mar 31, 2013
Branches 36
Sub Branches 107
Cash Offices 141
Micro-Service Offices 87
Payment Point 42
Pickup Service 8
Total outlet 421
ATMs 389
Mini ATMs 1.162
• Bank Bukopin’s network is in 22 out of 33 provinces in Indonesia.
• Bank Bukopin’s ATM card gives its holder access to all major ATM networks in Indonesia (including ATM BCA Prima, ATM Bersama and ATM Plus), comprising more than 30.000 ATMs.
• Bank Bukopin’s 18.000 PPOB outlets across Indonesia reaches out to the urban and rural population.
• Our IT system provides real-time monitoring of each branch’s transactions and positions.
18 BANK BUKOPIN
Established Controls and Risk Management
• Implementation of risk management in Bank Bukopin covered 8 main risks
* credit risk * legal risk
* market risk * reputational risk
* liquidity risk * strategic risk
* operational risk * compliance risk
• Bank Bukopin has developed models and systems for risk management
• Bank Bukopin also regularly conduct stress testing, to forecast the impact of any external shock to the Bank’s performance
• The Risk Management Division is independent from risk taking units
• Beside the internal audit activity, there’s also internal control units embedded to the risk taking units and an independent unit of compliance, all to establish comprehensive internal control system
Active observation by Boards through
Committee
• Risk Management Systems is executed according to internal and external rules
• All transactional execution had to go through checker and approval system.
• There’s also clear segregation between business and operational units
Risk management executed by each related
unit (risk taking units)
Bank-wide risk management by Risk
Management Division
Internal control process
• Bank Bukopin has set and continously review various internal policies and guidance for controlling all risks faced
19 BANK BUKOPIN
Experienced Management Glen Glenardi, President Director
Agus Hernawan, Services & Distribution Director
Tri Joko Prihanto, Finance & Planning Director
Sunaryono, Risk Management, Compliance and Human Resources Development Director
Sulistyohadi DS, SME and Cooperatives Director
Lamira S. Parwedi, Consumer Director
Mikrowa Kirana, Commercial Director
27 years of experience Past experiences include: - Director of Micro and SME (2000-2005) - Director of Cooperatives and Small Enterprises (1999) - Head of Credit for Cooperatives and Small Enterprises (1992-1999) - Head of Cirebon Branch (1989-1992)
27 years of experience Past experiences include: - Director of Operations (2000-2006) - Corporate Secretary (1996-2000) - Group Business Head (1995-1996) - Head of Human Resources (1993-1995) - Head of Business Development for Cooperatives (1991-1993)
27 years of experience Past experiences include: - Director of Consumer Banking (2000-2006) - Group Business Head (1997-2000) - Head of Bukopin branches (1988-1997)
24 years of experience Past experiences include: - Director of Risk Management and Compliance (2003-2006) - Head of Business Development for Cooperatives and Small Enterprises (2000-2003) - Group Head of Central Java Province (1997-2000) - Head of Commercial Branches Supervision (1996-1997)
25 years of experience Past experiences include: - Group Head for Institutional Business (1999-2005) - Various positions within Bank Bukopin since 1988
27 years of experience Past experiences include: - Group Head for Commercial Business (2000-2006) - Group Business Head (1995-2000) - Head of Commercial Business Segment (1993-1995)
27 years of experience Past experiences include: - Group Head for Commercial Business (2001-2006) - Group Head for Commercial Business in West and Central Java (2000-2001) - Group Business Head (1997-2000) - Head of Kupang and Denpasar Branches (1992-1996)
20 BANK BUKOPIN
Experienced Management
Mulia P. Nasution, President Commissioner
Deddy S.A. Kodir, Commissioner
Syamsul Effendi, Independent Commissioner
Yoyok Sunaryo, Independent Commissioner
Margustienny, Independent Commissioner
Currently Chairman of The Supervisory Board of State`s Accounting School (Aug 2011 – present) Past experience sinclude: - Secretary General of Finance Ministry (2006- Aug 2011) - Director General Treasury of Finance Department (2004) - Head of National Financial Accounting Body (2001) - Head of Data Processing and Budget Information (1999) - Director of Government Treasury and Cash (1998) - Director of Budget Development II (1995)
Currently Chairman of Kopelindo (2008-present) Past experiences include : - Director of Human Resources & General Affair of Bulog (2011-2012) - Director of Planning and Business Development of Bulog (2009-2011) - Head of Human Resources Department of Bulog (2008-2011) - Over 30 years experience at Bulog Institution
Currently Advisor of PT Wana Subur Lestari (2011-present) Past experiences include : - Secretary of Kopkapindo - Associate Director of General Affair Manager at PT Kutai Timber Indonesia (2007-2011) - Manager General Affair at PT Kutai Timber Indonesia (2001-2006)
Currently Entrepreneur in Agro Business. Past experiences include : - Head of Milk Cooperatives Indonesia (1997-2002) - PUSKUD facilitator (1999-2000) - Head Coordinator at Milk Cooperative Indonesia Mojosongo (1986-1993) - Manager at Milk Cooperative of Indonesia Cirebon (1984-1986)
Currently Civil Servant of Finance Ministry (Feb 2012-present) Past experiences include : - Head of Public Service Agency Housing - Finance Centre of State Ministry of Housing (2010-Feb 2012) - Over 30 years experience at Finance Ministry
21 BANK BUKOPIN
Financial Summaries
22 BANK BUKOPIN
45.5
36.6
Mar-12* Dec-12 Mar-13*
47.5
65.7 57.9
Mar-12* Dec-12 Mar-13*
72.3
Key Financial – Balance Sheet
23
Total Assets (Rp. Tn)
Asset increase due to an increase
of customer deposit by 24.87%
from Rp57.9 trillion to Rp72.3
trillion.
Total Loans (Rp. Tn)
Period Percentage
% Y o Y 24.87%
% Y to D 10.04%
Period Percentage
% Y o Y 29.78%
% Y to D 4.40%
* Unaudited
Loan increase from commercial
and SME loan.
BANK BUKOPIN
Period Percentage
% Y o Y 27.65%
% Y to D 13.70%
Period Percentage
% Y o Y 15.56%
% Y to D 4.00%
Key Financial – Balance Sheet
24
Total Third Party Deposits (Rp. Tn)
Total Shareholders’ Equity (Rp. Tn)
Deposits increased year-on-year by 27.65% from Rp48.1 trillion to Rp61.4 trillion. Increases came from time deposit and savings.
Savings Currenct Account Time Deposit
48.1
11.1
9.8
27.2
54.0
13.8
8.4
31.8
61.4
13.2
8.8
39.4
4.5
5.0 5.2
Mar-12* Dec-12 Mar-13*
Mar-12* Dec-12 Mar-13*
* Unaudited BANK BUKOPIN
Overview of Loan Portofolio
25
Consumer
Commercial, including Bulog
Micro
Small and Medium Enterprise (SME)
Loan segment Loan size
Micro < Rp.500 M
SME Rp.500 M – Rp.25 Bn
Commercial > Rp.25 Bn
Bulog 9.61% * Bulog 16.66% *
Rp.36.6 Tn Rp. 47.5 Tn
11.14%
6.83%
33.70% 32.51%
8.00%
53.76%
Mar-12 Mar-13
• From Total Loan. Since 2013 we shifted loan to Bulog from SME segment to Commercial segment
48.33%
5.73%
BANK BUKOPIN
Funding Composition
26
Funding Composition (by product) Funding Composition (by segment)
SME 32.47%
Consumer 32.99%
Commercial 34.54%
SME 22.42%
Consumer 28.10%
Commercial 49.48%
56.49%
Rp. 48.1Tn Rp. 61.4 Tn
Mar-13 Mar-12
23.12%
20.39%
21.54%
14.38 %
64.08 %
Savings Current Time Deposit
Mar-13 Mar-12
BANK BUKOPIN
Core & Supplementary Capital
27
• Our CAR level is sufficient enough for loan expansion
13.47%
4.82%
12.84
4.12%
Core Capital
Supplementary Capital
CAR 18.29% CAR 16.96%
Mar-13* Mar-12*
12.09%
4.25%
CAR 16.34%
Dec-12
* Unaudited BANK BUKOPIN
Key Financial – Earning
28
Earning Before Tax Earning After Tax
Periode % EBT % EAT
%Y o Y 19.12% 23.37%
Earning Before and After Tax (Rp. Bn)
Net profit year-on-year increased by 23.37%
from Rp181.3 billion to Rp223.7 billion. This
was due to an increase of net interest income
181.3 240.4 286.3
223.7
Mar-13* Mar-12*
1,059.4
830.5
Des-12
* Unaudited BANK BUKOPIN
Key Financial – Balance Sheet
29
Mar-13* Mar-12*
519 590
Net Interest Income (Rp. Bn)
Net Interest Margin (NIM) (%)
Net Interest Income year-on-year increased by 13.68% from Rp 519 billion to Rp590 billion due to loan expansion.
Period Procentage
% Y o Y 13.68%
Fee Based Income
Public Service Credit Card Treasury Others
35.59%
35.38% 27.55%
12.39%
54.36%
16.64%
9.28%
8.81%
Rp. 172.3 Rp. 161.6 3.64
4.12
Des-12
2,462
Mar-13* Mar-12* Des-12
4.56
34.87%
46.22%
8.44%
10.47%
Rp. 663.7
Mar-13* Mar-12* Des-12
* Unaudited BANK BUKOPIN
Key Ratio
30
Cost-to-Income Ratio (CIR) (%) Loan-to-Deposit Ratio (LDR) (%)
• LDR year-on-year increased by 1.47 % from 75.21% to 76.68%.
76.68 75.21
65.72 61.93
83.81 60.50
Mar-13* Mar-12* Des-12 Mar-13* Mar-12* Des-12
* Unaudited BANK BUKOPIN
Key Ratio
31
Gross Non-Performing Loan (NPL) (%)
• Our gross NPL stood at level 2.38% and net NPL at 1.49% on March 2013.
2.38 3.46
1.49
2.55
* Net Non-Performing Loan (NPL) (%)
Mar-13* Mar-12* Des-12 Mar-13* Mar-12* Des-12
1.56
2.66
* Unaudited BANK BUKOPIN
Key Ratio
32
61.59
18.29 17.21
• We target to maintain ROE around 20% by
the end of 2013
• We target to maintain CAR above 12%
Return-on-Equity (ROE) (%) Return-on-Assets (ROA) (%)
Capital Adequacy Ratio (CAR) (%)
1.64 1.75
16.96 18.29
19.47
16.34
1.83
Mar-13* Mar-12* Des-12 Mar-13* Mar-12* Des-12
Mar-13* Mar-12* Des-12
* Unaudited BANK BUKOPIN
Award 2013
“Indonesian Bank Loyalty Index (IBLI)” Awarded for Saving Account Conventional Banking (Asset > 75 T) from InfoBank Magazine and MarkPlus Insight.
33
“Indonesian Bank Loyalty Index (IBLI)” Awarded for Top 10 Credit Card for Loyalty Program from InfoBank Magazine and MarkPlus Insight.
BANK BUKOPIN
Strategic Plan
34 BANK BUKOPIN
Strategic Plan
Become a Trusted Bank for Financial
Services
Strenghtening the Structure
of Capital Enlarge the
Composition of SME`s, Micro
and Consumer Business
Focus on Excelling in
Business Segments
Improvements of value chain
and cross selling
Enhances Strategic
Partnership
Inprovement of Information
Systems, Technology and
Procedures
Strenghtening of Corporate
Culture
Enhance the Role of Risk
Management and
Compliance Aspects
35 BANK BUKOPIN
Thank You
36 BANK BUKOPIN
Q & A
37 BANK BUKOPIN