PT Bank Central Asia Tbk (BBCA) posted a decrease in net profit throughout 2020 of around 5% YoY to Rp27.131 trillion compared to the previous year of Rp28.565 trillion.

"This decrease is due to high reserve costs in anticipation of 152% YoY to Rp. 11.6 trillion," said Director of BCA, Jahja Setiaatmadja, in a presentation on the 2020 earning result on Monday (8/2).

He added that BCA maintained positive growth in net interest income in 2020, which rose 7.3% YoY to Rp54.5 trillion. On the other hand, non-interest income edged down 0.5% YoY to Rp20.2 trillion.

In total, it recorded operating income at Rp74.8 trillion, or an increase of 5.1% YoY. Operational expenses were successfully reduced by around 3.1% YoY to Rp.29.3 trillion due to partially obstructed operations during the pandemic.

"Therefore, PPOP will increase by 11.2% YoY to Rp45.4 trillion in 2020, so that it can be an adequate buffer to anticipate the need for backup costs," he added.

Meanwhile, total lending during 2020 decreased by 2.1% YoY to Rp575.6 trillion. However, third party funds increased by around 19.3% YoY to IDR 840.8 trillion in 2020.

"Thus, BCA's total assets were able to penetrate one thousand trillion rupiah for the first time, reaching Rp1,075.6 trillion or an increase of 17.0% YoY," he said.

He assessed that, despite various challenges in the past year, BCA's financial ratios remain in a strong position with a capital adequacy ratio (CAR) of 25.8%, higher than the regulator's stipulation, and it maintained a loan to deposit ratio (LDR) at a healthy level, namely at 65.8%.

The ratio of non-performing loans (NPL) was maintained at a tolerable level of 1.8%, compared to 2019 at 1.3%, supported by the relaxation of the restructuring policy.

The return on assets (ROA) ratio was at 3.3%, and the return on equity (ROE) ratio was at 16.5% in 2020.