PT Bank Negara Indonesia (Persero) Tbk posted a decrease in net profit for the year attributable to the parent company owners throughout 2020 of around 81.14% to Rp2.755 trillion from the previous year Rp14.612 trillion.

Based on the BNI financial report released on Monday (1/2), following the low net profit, the lender's net profit margin shrunk to 4.50% from 4.92% previously.

The decrease in net income was due to high operating expenses other than the interest of around 95.65%, from Rp15.092 trillion to Rp29.528 trillion.

Also, BNI recorded a five-fold decrease in profits from fixed assets and inventory, or Rp36,528 billion to only Rp7,390 billion. Other non-operating expenses also increased by about four times to Rp20.8 billion from Rp5.663 billion.

Interest income and net premium income only slightly increased by around 1.71% to Rp33.892 trillion by the end of December 2020 from the previous year, recorded at Rp.33.322 trillion.

Financial ratios, allowance for impairment losses (CKPN) of financial assets to production assets jumped to 6.22% from 2.27% previously, non-performing productive assets and non-productive assets against productive and non-productive assets also jumped from 1.75% to 3.05% throughout 2020.

Operating expenses to operating income (BOPO) also increased to 93.31% from 73.16%, the ratio of expenses to income also increased from 43.85% to 44.17%, ROE dropped dramatically to 2.85% from 14%, and ROA was in the position of 0.95% from the previous 1.25%.

Nevertheless, BNI could still reduce the debt to deposit ratio (LDR) from 91.54% to 87.28%, and net NPL fell from 1.25% to 0.95%.

BNI's total assets throughout 2020 were recorded at Rp818.227 trillion, with total cash and cash equivalents of Rp126.907 trillion.