20250424_SMMF_Laporan Hasil Pemeringkatan_31877784_lamp4.pdf

RATING RATIONALE

@KRI

In terms of profitability, SMMF remains under pressure. The Net Interest Margin (excluding insurance
underwriting) declined to 4.014 in 2024, from 6.90Y4 in 2023 and 5.10 in 2022. The return on assets
(ROA) stood at -8.70Y6 in 2024, compared to -5.33Yb in 2023 and -3.46Y in 2022. The deterioration in
profitability was largely driven by increased insurance underwriting expenses from its subsidiary and
rising general and administrative expenses. However, early results in A1 2025 indicate a return to
profitability at the pre-tax level, which-if sustained-may lead to meaningful improvement in full-year
performance.

Looking ahead, a rating upgrade may be considered if the Company demonstrates sustained
improvements in profitability, a reduction in NPF ratio, and lower credit losses. Conversely, any
deterioration in asset guality, particularly a significant rise in NPF, may exert downward pressure on the

ratings.
SMMF Financial Result Highlights (Consolidated)
Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020
Rorthe-yesirs ended (Audited) | (Audited) | (Audited) | (Auditea) | (Audited)
Total Assets (IDR, Bn) 6,227.86 6,436.27 6,652.63 7,122.85 7,997.85
Total Debt (IDR, Bn) 4,915.04 4,978.79 5,204.25 5,303.33 6,329.89
Total Eguity (IDR, Bn) 115112 1,306.63 1,325.89 1,562.68 1,431.07
Total Adj. Revenue (IDR, Bn) 843.59 1,224.14 1,195.46 2,285.58 1,347.04
Net Income (IDR, Bn) -550.769 349.065 -238.63 128.73 -524.362
Debt to Eguity (x) 427 3.81 3.93 3.39 442
Eguity/Assets (Y6) 18.48 20.30 19.93 21.94 17.89
Adj. Net Interest Margin (96) 401 6.90 5.10 2.01 7.44
Cost/Income (Yo) 167.69 116.82 131.70 96.39 142.68
Return On Asset (96) -8.70 -5.33 -3.46 1.70 -6.13
Return On Eguity (90) -44.82 -26.52 16.52 8.60 -30.27
Gross NPF (96) 3.45 3.31 3.64 1.87 2.36
Analysts : Rizky Fajri Nursahadi (rizky.nursahadi@kreditratingindonesia.com)

Gromy Pilipi Pranata Purba (gromy.purba@kreditratingindonesia.com)

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