Bank BRI (Rp4,625 - Buy)
Surprising CoF, but Mostly Inline
BBRI reported 1Q06 a mild Net Interest Income (NII) growth of 9.5% from
Rp3.0tr to Rp3.3tr despite a 23.0% growth in interest income.
The surprise in 1Q06 result is from a stronger than expected interest
expense growth despite only posting 18% TPF growth.
As loan growth exceeded growth in TPF, BBRI's Loan to Deposit Ratio (LDR)
increased to 78.2% for 1Q06 from 76.5% a year earlier.
(Research Division, PT. Trimegah Securities, Tbk.)



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