KONTAN.CO.ID - JAKARTA. PT Adira Dinamika Multi Finance Tbk (Adira Finance) recorded a decrease in net profit after tax to IDR 1.4 trillion throughout 2024.

Head of Investor Relations & Research Adira Finance Sartika Lubis explained that the decrease in profit was due to challenging economic conditions and weakening public purchasing power. For information, in the same period the previous year, the company's profit was recorded at IDR 1.94 trillion.

"This sentiment ultimately affects the public's payment capacity, the price of basic necessities has increased, while the increase in salaries is also smaller than the increase in basic necessities," Sartika told Kontan, Wednesday (26/2).

Meanwhile, Adira Finance recorded revenues reaching IDR 10 trillion in 2024, a growth of 5% compared to the same period the previous year.

On the other hand, Adira Finance's total expenses increased by 17% year on year (YoY) to IDR 8.2 trillion. According to Sartika, this increase was due to high funding costs and credit costs.

As a result, net profit after tax was corrected. Meanwhile, Return on Asset (ROA) and Return on Equity (ROE) were recorded at 5.3% and 12.7%, respectively.

In terms of funding, Adira Finance continues to diversify funding sources through ongoing support from joint financing with its parent company, Bank Danamon, and obtaining external loans from banks (both domestic and foreign banks) and the capital market (local bonds and sukuk mudharabah).

Furthermore, Sartika said that joint financing represents around 48% of managed receivables. Meanwhile, Adira Finance's total loans in 2024 increased by 11% YoY to IDR 17.9 trillion.