PT Bank Mandiri (Persero) Tbk 1Q 2017 Results Presentation. April 25, 2017

Transcription

1 PT Bank Mandiri (Persero) Tbk 1Q 2017 Results Presentation April 25, 2017

2 Sep-03 Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09 Mar-10 Sep-10 Mar-11 Sep-11 Mar-12 Sep-12 Mar-13 Sep-13 Mar-14 Sep-14 Mar-15 Sep-15 Mar-16 Sep-16 Mar-17 Share Information 1800% 1600% 1400% 1200% 1000% 800% 600% 400% BMRI JCI No. Description By 31 March 2017 No. of Investor % No. of shares % I DOMESTIC 1. Government of RI % 14,000,000, % 2. Retail 10, % 187,122, % 3. Employees 1, % 10,437, % 4. Cooperatives % 363, % 5. Foundation % 15,184, % 6. Pension Funds % 146,080, % 7. Insurance % 524,892, % 8. Banks % 150, % 9. Corporations % 306,893, % 10. Mutual Funds % 501,154, % Total 12, % 15,692,279, % 200% 0% -200% II INTERNATIONAL 1. Retail % 1,075, % 2. Institutional 1, % 7,639,978, % Total 1, % 7,641,053, % III TOTAL 14, % 23,333,333, % from: IPO Dec 31, 2016 BMRI 1,662.05% 1.08% JCI % 5.12%

3 2 Table of Contents Results Overview Page # Corporate Strategy 3 4 Indonesia s Economic Condition 5 Key Indicators + Financial Highlights 6 7 SBU Performance Highlights 8 Bank s Performance 9 11 Loan Performance ROE, Forex Loan & NIM Fee-Based & CIR Wholesale Business Retail Business Non-Performing Loan & Restructured Loan Subsidiaries Corporate Guidance 35 Additional Information Operating Performance Highlights Supporting Materials

4 Corporate Plan Realigning Our 2020 Initiatives Indonesia s Top Financial Institution: Grow above the market, portfolio quality focused, employer of choice in Indonesia Accelerate in Growth Segments Integrate The Group Deepen Client Relationship Become the first choice in consumer banking, especially in the middleincome class Focus on micro fixed income earners and asset-backed consumer lending Selectively grow SME segment and productive micro by focusing on asset quality Drive subsidiaries performance by increasing synergies within the Mandiri Group. Increase distribution network productivity Strengthen presence in ASEAN countries Strengthen Bank Mandiri s position as the No. 1 Corporate Bank Grow in-line with the market in the Commercial Banking segment Offering sector specific solution and integrated product packages. Current Achievements (1Q 2017) Current Achievements (1Q 2017) Current Achievements (1Q 2017) Consumer Loans Rp87.3Tn (+18.8% YoY) Micro Loans Rp52.2Tn (+18.0% YoY) SME Loans Rp57.5Tn (+2.5% YoY) Total income from subsidiaries Rp544Bn (13.3% of EAT) Average CASA per branch grew by 7.9% Obtained Singapore Capital Market License Corporate Loans Rp235.4Tn (+26.3% YoY) Wholesale Fee Income Rp2.0Tn (28.1% of wholesale income) 3

5 Bank Mandiri Corporate Plan How We Plan To Get There Strategic Initiatives Description Focus on Core Business Grow corporate lending above the market growth rate and deepen relationships with existing clients Increase fee based income & wholesale current accounts Expanding into Underpenerated Low-Risk Segments Accelerate consumer lending growth: mortgages, auto loan and salary based loans Push retail CASA growth through Defend market share in SME Strengthen The Foundation Lower cost to income ratio through digitalization and productivity enhancements Reduce NPL ratio by improving the loan underwriting process Increase utilization and sophistication of data analytics to enhance insights and cross-selling. 4

6 Inflation Starts to Pick Up Decreasing inflation gave room to monetary policy easing Current account balance in 4Q16 was quite stable 4Q16 GDP Growth 10 9 Headline inflation (% YoY) Core inflation (% YoY) BI Rate 7 Days RR 20 Capital and Financial Account Current Account (CA) BoP (5) (10) (5) Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 (15) 4Q16 3Q16 2Q16 1Q16 4Q15 3Q15 2Q15 1Q15 4Q14 3Q14 2Q14 1Q14 4Q13 3Q13 2Q13 1Q13 4Q12 3Q12 2Q12 1Q12 4Q11 3Q11 2Q11 1Q11 4Q10 3Q10 2Q10 1Q10 (10) 4.5 4Q16 2Q16 4Q15 2Q15 4Q14 2Q14 4Q13 2Q13 4Q12 2Q12 4Q11 2Q11 4Q10 2Q10 4Q09 Source : CEIC, Bloomberg 5

7 Fee Income & Cost Savings Support 11.9% PPOP Growth Return on Equity (%) PPOP (Rp Bn) Earning After Tax (Rp Bn) YoY (16.5%) YoY 11.9% YoY 6.9% 4,079 3,817 13,807 20,335 19,872 18,204 15,504 12,246 9,218 7,155 1Q17 1Q Total CASA (Rp Bn) Non Performing Loan (%) Net Interest Margin (%) YoY 14.5% YoY 25.1% YoY (8.1%) 3.98% 3.18% 4.00% 2.60% 2.15% 1.90% 1.87% 2.21% 2.42% 2.79% 465, , , , , , , , , ,492 1Q17 1Q Q17 1Q

8 Key Financial Highlights Bank Mandiri s 1Q 2017 performance showing improvements: 1Q Q 2017 % Loans Rp 574.7Tn Rp 656.2Tn 14.18% Gross NPL Ratio 3.18% 3.98% 25.12% Net NPL Ratio 1.16% 1.33% 14.46% Low Cost Funds Ratio 62.1% 63.7% 2.63% [Low Cost Funds (Rp)] Rp Tn Rp 465.6Tn 14.54% NIM 6.42% 5.90% (8.13)% Efficiency Ratio 44.46% 42.68% 3.99% PPOP Rp 9,667Bn Rp 10,822Bn 11.9% Earnings After Tax Rp 3,817 Bn Rp 4,079Bn 6.86% 7

9 Balanced Earnings from All Business Units Net Interest Income Analysis 1Q 2017 (YTD) Fee Based Income 1Q 2017 (YTD) (Rp Bn) 4,253 (Rp Bn) 3,264 3,607 3,174 Treasury & Markets 766 1,117 1, ,271 1,161 1, , , ,224 2,292 1,994 1,466 Corporate Commercial , ,110 1,115 1,024 1,136 1, ,613 1,708 Consumer 1,296 1,222 * 1Q'17 1Q'16 Treasury & Markets 1Q'17 1Q'16 Corporate Banking 1Q'17 1Q'16 Commercial Banking 1Q'17 1Q'16 Consumer Banking 1Q'17 1Q'16 Micro & Business Banking Micro & Business Banking Q '17 1Q '16 *) Excluding AXA Dividend Rp 612 Bn 8

10 Maintaining Momentum for Growth Loans by SBU + Subsidiaries (Rp Tn) Y-o-Y Deposits by Product Consolidated (Rp Tn) Y-o-Y Total Q' Q'10 Subsidiaries Small Comm Corp + SAM Q' Q' Q' Q'14 Micro Cons Int'l Q' Q' Q' Q' Tn Q' Q' Q' Q' Tn Q' % 16.9% 18.0% 2.5% 18.8% (0.6%) (39.3%) 26.8% Total Q'09 FX Time FX Demand FX Savings Q' Q' Q' Q' Q'14 Rp Time Rp Demand Rp Savings Q' Q' Q' Q' Q' Q' Tn Q' Q' Q' Q' Tn Q' Q' % 11.4% 6.3% (3.0%) 23.3% 15.7% 15.6% 9

11 Strong and Liquid Balance Sheet Assets 1Q Q 2016 Liabilities 1Q Q 2016 Cash 21,213 18,440 Current Account 178, ,769 Current Acc w/ BI & Other Banks 62,665 57,414 Savings 287, ,757 Placement w/ BI & Other Banks 73,767 58,048 Time Deposits 265, ,538 Advances (Other) 30,376 26,542 Marketable Securities 58,695 45,787 Total Deposits 731, ,063 Government Bonds 102,537 98,607 Loans (Gross) 656, ,704 Securities Issued 9,026 2,396 Provisions of Loans (34,755) (24,099) Deposits from other banks 33,893 26,332 Net Loans 621, ,605 Subordinated Debt 195 3,712 Reverse Repo 2,309 16,339 Borrowings 34,536 33,945 Other Provisions (1,723) (2,312) Other Int. Bearing Liabilities 15,783 14,102 Deferred Tax Assets 5,514 4,318 Non Int. Bearing Liabilities 57,935 53,142 Other Assets 57,499 32,952 Equity incl. Minority Interest 151, ,047 Total 1,034, ,739 Total 1,034, ,739 10

12 Revenue Growth Driven by Strong Fee Income Summary P&L (Rp Bn) 1Q Q 2016 Y-o-Y (%) 4Q 2016 Interest Income 19,443 18, % 19, % Interest Expense 6,627 5, % 6, % Net Interest Income 12,816 12, % 13, % Net Premium Income % % Net Interest Income & Premium Income 13,430 13, % 13, % Other Non Interest Income * Other Fees and Commissions 2,996 2, % 3, % * Foreign Exchange Gains - Net % % * Gain fr. sale & Incr. in Val & Sale of Bonds % % * Others 1,345 1, % 1, % Total Non Interest Income 5,256 4, % 5, % Total Operating Income 18,686 17, % 19, % Provisions, Net (5,401) (4,596) 17.5% (8,734) -38.2% Personnel Expenses (3,498) (3,406) 2.7% (3,435) 1.8% G&A Expenses (3,401) (3,305) 2.9% (3,517) -3.3% Loss from decr. in value of Sec & Gov Bonds Other Expenses (965) (862) 12.0% (1,011) -4.5% Total Expense (7,864) (7,572) 3.9% (7,963) -1.2% Profit from Operations 5,421 5, % 2, % Non Operating Income (24) (5) 391.4% (17) 39.4% Net Income Before Tax 5,397 5, % 2, % Net Income After Tax 4,079 3, % 1, % Q-o-Q (%) 11

13 LDR Increased to 89.5%, Bank Only Loan Growth of 13.9% Quarterly Loan Data (Consolidated) Quarterly Loan Segment Details (Bank Only) Y-o-Y Break down 74.1% 80.7% 83.4% 84.4% 80.1% Loans (Rp Tn) LDR (%) 83.5% 85.0% 88.0% 87.0% 87.3% 85.3% 84.5% 82.9% 87.7% 84.4% 88.1% 85.3% 87.4% 90.2% 86.5% 89.5% Total 13.9% 18.8% 14.9% 4Q'11 1Q' % 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14 1Q'15 2Q'15 3Q'15 4Q'15 1Q'16 2Q'16 3Q'16 4Q'16 1Q'17 QoQ Growth (%) YoY Growth (%) % 2.5% -0.7% 8.9% 9.8% 26.1% 27.7% 5.7% 4Q'11 4.1% 1Q' % 7.1% 2Q' % 22.3% 22.8% 4.2% 3Q'12 6.5% 4Q' % 1Q'13 9.5% 0.7% 2Q' % 5.1% 4.8% 3Q' % 20.1% 4Q'13 1Q' % 13.3% 12.4% 12.4% 13.8% 12.2% 10.7% 6.2% 4.6% 3.7% 3.3% 1.4% 4.2% -0.4% 2Q'14 3Q'14 4Q'14 0.5% 1Q'15 2Q'15 3Q'15 4Q' % 11.5% 7.9% 11.2% 0.0% 1Q'16 6.3% 2Q'16 2.3% 3Q'16 5.9% 4Q' % -0.9% 1Q'17 1Q'11 2Q'11 3Q'11 4Q'11 1Q'12 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 Corporate Commercial Small Micro Consumer 2Q'14 As of March 2017; Non-consolidated numbers 3Q'14 4Q'14 1Q'15 2Q'15 3Q'15 4Q'15 1Q'16 2Q'16 3Q'16 4Q'16 1Q' % 40.2% 12

14 Rp Tn in Loans Disbursed in 1Q 2017 Loan Movement 1Q 2017 Bank-Only Rp Tn Loan Disbursement by Segment 1Q 2017 Bank-Only Rp Tn Q'16 Disburs. Install. Payment Pay-off FX Impact Write- Offs 1Q '17 Corporate Commercial Small Micro Consumer Total 13

15 Post Asset Revaluation CAR 21.1%; ROE 10.6% Bank Only - Capital & RWA Movement Rp Bn Profit After Tax & ROE 23.2% 24.6% 20.8% 15.7% 15.4% 15.5% 15.3% 13.4% 14.9% 16.6% 18.6% % 21.1% % 15.8% 22.1% 24.2% 22.6% 22.2% 21.0% 22.0% 18.3% % 5,401 5,418 5, % 9.7% % 4,385 4,869 4,658 1, RWA (Rp Tn) Total Capital (Rp Tn) CAR Q 2017 Q4 PAT Q3 PAT Q2 PAT Q1 PAT 2,536 1,390 1,166 1, ,528 1,234 1,113 1,221 1,526 1, ,168 1,549 1, ,073 1,345 2,833 1,040 2,352 2,543 3,744 2,031 1,099 2,003 1,027 1,390 4,509 4,660 4,786 3,991 4,303 4,925 2,681 4,933 3,263 3,817 4,079 CAR inclusive of Credit and Market Risk started in December 2004 CAR inclusive of Credit, Market and Operational Risk started in January Tn from GIAA Recovery

16 Prudent Management of FX Balance Sheet FX Loans & LDR (Bank-Only) Rp Tn 91.5% 89.0% 82.9% 80.8% 80.3% 79.2% 76.0% 76.4% 74.3% 76.2% 75.8% 73.2% 75.4% 74.2% 73.1% 72.0% 72.6% 71.3% 69.0% 68.0% 66.8% 65.1% 64.3% 61.1% 61.0% 100% 95% 90% 85% 80% 75% 70% 65% 60% Breakdown of FX lending (Bank-Only) 1Q 17 (Total USD 6.69 Bn) Mfg Oil & Gas Soc Serv Mining Trading Agri Trans Bus Serv USD Bn % (YoY) 23% 34% 1% 0% -12% -36% -1% -33% Mar 11 June 11 Sep 11 Dec 11 Mar 12 Jun 12 Sep 12 Dec 12 Mar 13 Jun 13 Sep 13 Dec 13 Mar 14 June 14 Sep 14 Dec 14 Mar 15 Jun 15 Sep 15 Dec 15 Mar 16 Jun 16 Sep 16 Dec 16 Mar 17 55% 50% Utilities Constr Oth % -56% -71% Loan FX LDR FX 15

17 Q1 Consolidated NIM of 5.9% Yield on Assets (%) Cost of Funds (%) NIM Avg Loan Yield Avg Bond Yield Avg COF % 5.84% 5.44% 5.19% 5.54% 5.84% 5.67% 5.50% 5.34% 5.71% 6.08% 5.94% 5.90% 5.84% 5.92% 5.41% 5.79% 5.74% 6.74% 6.28% 6.00% 7.06% 6.03% 5.69% Q '09 4Q '10 4Q '11 1Q'12 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14* 1Q'15 2Q'15 3Q'15 4Q'15** 1Q'16 2Q'16 3Q'16** 4Q'16 * Starting on 4Q2014, we back out the LPS premium from the interest expense ** 4Q 15 / 3Q16, If we adjust the interest income from RGM, NIM would be 6.5% / 6.0%, YoA would be 9.5% / 8.9%, Average FX Loan Yield 4.2% / 4.2% 1Q'17 4Q '09 4Q'10 4Q'11 4Q'12 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14 1Q'15 2Q'15 3Q'15 4Q'15 1Q'16 2Q'16 3Q'16 4Q'16 1Q'17 16

18 Greater Detail On Fee-Based Income Non-Loan Related Fees & Commissions 1Q Q Q-2016 Y-o-Y Q-o-Q Δ% Δ% Administration Fees % (2.1%) Opening L/C, BG & Cap Market (custodian & trustee) % (4.4%) Subsidiaries % (1.4%) Transfer, Retail Transaction % (15.2%) Credit Cards (3.6%) (5.2%) Mutual Fund, ORI & Bancassurance % (14.2%) Syndications % 13.2% Payroll Package (0.4%) (8.8%) Others (72) (28) (66) 8.8% 153.9% Total 2,996 3,202 2, % (6.4%) Foreign Exchange Gains % 3.6% Gains Fr Sale & Incr. in Value of Sec. & Gov. Bonds % 192.0% Cash Recoveries 667 1, % (44.1%) Other Income % (4.0%) Total Fee Based Income (As Reported) 5,256 5,822 4, % (9.7%) % of Non Loan Related fees to total opr. income 28.1% 30.1% 24.4% 17

19 1Q 17 Cost to Income Ratio of 42.7% Quarterly Consolidated Operating Expenses & CIR Breakdown of 1Q 2017 Operating Expenses 32.4% (Rp Bn) CIR (%) 51.3% 48.4% 41.6% 44.0% 46.6% 43.2% 43.1% 43.2% 44.4% 45.2% 46.0% 44.5% 42.7% 42.7% 44.4% 39.0% 42.7% 41.1% 42.5% 41.8% 40.1% 37.3% 38.5% 41.3% 3,498 3,435 3,290 3,488 3,406 3,444 2,903 3,109 2,920 2,807 2,752 2,662 2,626 2,374 2,679 2,336 2,042 2,372 1,869 1,939 1,865 1,903 1,671 1,631 1,547 3,401 3,517 3,497 3,640 3,305 3,730 3,322 3,173 2,574 3,488 2,958 2,693 2,309 3,167 2,375 2,322 2,034 2,565 2,071 2,004 1,614 2,107 1,883 1,510 1,524 1Q'17 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 3Q'13 2Q'13 1Q'13 4Q'12 3Q'12 2Q'12 1Q'12 4Q'11 3Q'11 2Q'11 1Q'11 (Rp Bn) Q Q Q Growth QoQ YoY Personnel Expenses Base Salary % 6.3% Other Allowances 1,618 1,542 1, % (1.1%) Post Empl. Benefits % (13.6%) Training (66.0%) (25.8%) Subsidiaries % 12.3% Total Personnel Expenses 3,498 3,435 3, % 2.7% G&A Expenses IT & telecoms % 8.3% Occupancy Related (20.9%) 11.4% Promo & Sponsor (39.2%) (19.7%) Transport & Travel (19.7%) 1.2% Goods, Prof. Svcs. & Oth (32.2%) 3.7% Employee Related (2.8%) 4.5% Subsidiaries % (0.3%) Total G&A Expenses 3,401 3,517 3,305 (3.3%) 2.9% Other Expenses 965 1, (4.5%) 12.0% Total Operating Expenses 7,864 7,963 7,572 (1.2%) 3.9% G&A Expenses Personnel Expenses 18

20 Diversifying our Strength in Wholesale Lending Top 10 Industries in Corporate Lending Expansion 1Q 17 1Q 16 (Total Rp49.09 Tn) % Top 10 Industries in Commercial Lending Contraction 1Q 17 1Q 16 (Total Rp1.02 Tn) % Electricity 12, % 4 Wheels-Vehicles -2,885-62% Mfg-F&B 8,450 44% Mfg-P&P -1,294-26% Trad-Ret 6, % Trad-Distr -1,167-6% Roads & Bridge 5,004 94% Plantations % Trad-Exp 4, % Mining-Coal % Mining-Oil & Gas 4,611 43% Trad-Exp % Bus Serv 3,461 28% Mining-Oil & Gas % Mining-Metal Ore 3,161 52% Mfg-Text % Mfg-Chem 2,859 20% SocServ-Health % Mfg-NonM 2,365 Rp Bn 89% Mfg-Wood Rp Bn % 19

21 180, , , , ,000 80,000 60,000 40,000 20,000 - Wholesale Transactions Driving CASA Cash Management Users Wholesale CASA Deposits (Rp Bn) Average # of Cash Management Tx (000), total 25.3 Mn transactions in 1Q 2017 * 12.7% YoY Growth 8,439 7,563 7,392 7,085 5,704 5,384 5,266 5,123 4,832 4,484 3,989 3,598 2,657 2,201 1, , , , ,278 73,192 74,334 89,959 74,116 53,604 61,691 62,257 58,055 18,531 17,592 16,853 16,200 15,565 15,101 14,676 14,397 14,105 13,873 13,629 12,932 11,899 10,943 7,784 6,153 4,066 2, Q17 4Q16 3Q16 2Q16 1Q16 4Q15 3Q15 2Q15 1Q15 4Q14 3Q14 2Q14 1Q14 4Q13 4Q12 4Q11 4Q10 1Q17 1Q Q17 4Q16 3Q16 2Q16 1Q16 4Q15 3Q15 2Q15 1Q15 4Q14 3Q *) Excluding Mandiri Transaction System 20

22 5, , , , , , , , , , , , , , , , , , , , ,000-95,000 75,000 55,000 35,000 15,000 (5,000) (25,000) , , , , , , , , ,000 50, , , , , , , , ,000 - Strong Pickup in Forex, As Trade Transactions Remain Slow Mandiri Cash Management* Forex Value (Rp Tn) # of Trx (000) Value (USD Bn) # of Trx 2,503 24,543 7,668 13,676 44,184 61,599 82,075 17,869 25, , , , , , , , , ,186 Dec 10 Dec 11 Dec 12 Dec 13 Dec 14 Dec 15 Dec 16 Mar 16 Mar 17 Dec 10 Dec 11 Dec 12 Dec 13 Dec 14 Dec 15 Dec 16 Mar 16 Mar 17 Trade Transactions : Export, Import, Domestic Value (USD Bn) # of Trx 510, , , , , , , , ,866 Wholesale Remittance Value (USD Mn) 739, , , , ,585 # of Trx 101, , , ,920 Dec 10 Dec 11 Dec 12 Dec 13 Dec 14 Dec 15 Dec 16 Mar 16 Mar 17 Dec 10 Dec 11 Dec 12 Dec 13 Dec 14 Dec 15 Dec 16 Mar 16 Mar 17 *) Excluding Mandiri Transaction System 21

23 Retail Deposits Increased by 13.4% Year on Year Retail Deposit Analysis Bank Only Q'12 Rp Savings Deposits FX Savings Deposits Rp Demand Deposits FX Demand Deposits Rp Time Deposits FX Time Deposits 66.5% 70.1% 69.6% Q' Q' Q'12 CASA as % of total deposits 72.5% 73.0% 73.7% 71.9% 68.8% 69.9% 71.6% Q' Q' Q' Q' Q' Q' Q' Q' Q' Q' Q' % 68.4% 67.7% 67.6% 66.2% Q' % Q' % Q' % Q' Q' % 68.6% Q'17 10% 5% 0% 2.0% 1.5% 1.0% 0.5% 0.0% Average Quarterly Deposit Costs (%) Rp DD Rp Savings 8.3% 7.9% Rp TD 7.8% 7.3% 7.4% 7.5% 7.0% 7.2% 6.6% 6.9% 6.7% 6.6% 6.3% 6.4% 6.2% 5.1% 2.2% 1.7% 2.0% 2.0% 2.0% 2.0% 2.1% 1.9% 2.1% 2.1% 2.1% 2.3% 2.0% 1.8% 1.9% 2.1% 2.1% 1.5% 1.5% 1.6% 1.5% 1.5% 1.4% 1.3% 1.2% 1.2% 1.2% 1.3% 1.1% 1.1% 1.1% 1.1% 1Q'17 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 4Q'12 4Q'11 FX DD FX TD 1.8% 1.2% 1.3% 1.2% 1.2% 1.1% 0.8% 0.8% 0.8% 0.6% 0.6% 0.1% 0.2% 0.3% 0.3% 0.3% 0.3% 0.3% 0.3% 0.3% 0.4% 0.6% 0.7% 0.8% 0.7% 0.5% 0.7% 0.3% 0.5% 0.6% 0.6% 0.2% 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 4Q'12 4Q'11 1Q'17 22

24 63,323 66,851 73,324 81,046 84,675 91,504 96, , , , , , , , , , , , , , , , , , ,909 Consumer and Micro Are Key Retail Growth Drivers Retail to Total Loans Micro Credit (Rp Bn) 230, , , , , , , , , , , , , ,000 90,000 80,000 70,000 60,000 50,000 40,000 30, % 29.6% 28.3% 27.6% 32.6% 31.8% 32.7% 33.1% 33.3% 31.7% 31.8% 32.7% 30.9% 30.2% 31.3% 31.2% 29.8% 33.7% 33.8% 33.1% 33.1% 34% 32% 30% 28% 26% 24% 22% 20% 44,210 7,985 52,195 1Q2016 Growth 1Q ,413 YoY 18.1% Consumer (Rp Bn) 13,794 YoY 18.8% 87,206 1Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q Q2016 Growth 1Q2017 Retail to Total Loans Business Banking (Rp Bn) Micro Credit Business Banking Consumer 1,401 YoY 56, % 57,508 1Q2016 Growth 1Q

25 Strong Microfinance Growth Network Branch Unit Kiosk Cash Outlet Customers (000) 1,208 1,195 # Of New Customers , , ,127 1,427 1,718 1, , ,084 1, , , , , , ,828 97, , , , , , , , , , , , , , , , , ,000 74,037 94,855 76,325 79,500 73,566 1Q1'7 4Q1'6 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 4Q '11 3Q '11 2Q '11 1Q '11 4Q '10 3Q '10 2Q '10 1Q '10 1Q Q

26 as well as Consumer Lending, which Rose 18.8% Y-o-Y as Mortgages Grew 12.3% Quarterly Consumer Lending Balances by Type Consumer Lending Growth by Type 100,000 95,000 90,000 85,000 80,000 75,000 70,000 65,000 60,000 55,000 50,000 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5, ,454 3,575 6,398 3,964 14,268 3,492 3,761 6,708 3,979 15,523 Other Auto Credit Cards Payroll Loans Home Equity Loans Mortgages ,200 3,910 6,861 3,949 16,466 5,115 4,296 6,995 3,887 17,779 1,010 1,037 1,016 5,829 4,245 7,143 3,777 18,764 6,593 4,492 7,412 3,679 20,113 6,609 4,590 7,753 3,571 20,919 7,209 5,035 8,206 3,471 22, ,486 5,025 8,386 3,365 24,092 7,905 5,195 8,958 3,312 26,135 9,013 5,303 9,374 3,240 27,357 10,218 5,620 9,781 3,181 26,995 11,083 5,557 10,030 3,172 26, ,260 6,855 10,642 3,198 26,505 13,271 7,568 11,253 3,240 26, ,983 8,288 11,880 3,310 26,495 14,890 8,343 12,201 3,326 26,207 15,630 8,751 12,838 3,432 26,340 16,641 8,683 13,408 3,534 26,369 17,608 8,970 14,103 3,739 26,832 Rp 87.2 Tn 1,133 1, , ,344 8,768 14,497 3,892 26,869 18,981 8,761 15,279 4,313 27,651 1,194 1,199 1Q'17 4Q'16 3Q'16 2Q'16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 4Q '11 3Q '11 2Q '11 1Q '11 20,001 8,674 16,160 4,914 28,001 21,124 9,128 17,441 5,881 29,994 22,555 9,048 17,986 6,246 30,172 Loan Type Y-o-Y Growth (%) Q-o-Q Other 14.97% 0.47% Auto Loans 22.96% 6.77% Credit Cards 3.20% -0.88% Payroll Loans 24.07% 3.12% Home Equity Loans 60.49% 6.21% Mortgages 12.29% 0.59% Total Consumer 18.79% 2.88% *Auto & Motorcycle Loans channeled or executed through finance companies = Rp 10.1 Tn in our Commercial Portfolio 25

27 Transaction Capabilities Growth Driven By Mobile Banking Transaction Volume Quarterly Transaction Volume (Mn) ATM Branch Mobile Banking Internet Banking Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q'12 4Q '11 3Q '11 2Q '11 1Q '11 4Q '10 4Q ' Quarterly Transaction Value (Rp Tn) ATM Mobile Banking Internet Banking Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 4Q '11 3Q '11 2Q '11 1Q '11 4Q '10 4Q ' Quarterly Users (Mn) Debit Cards Mobile Banking Internet Banking Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 4Q '11 3Q '11 2Q '11 1Q '11 4Q '10 4Q '09 26

28 Retail Payment System Gaining Traction Fee Income from e-channel Tx (Rp Bn) Volume Mandiri Business Saving Account (Rp Tn) Numbers of EDC Q4 Q3 Q2 Q1 286, , , , , , % YoY Growth % YoY Growth 27,611 23,690 47,127 33,732 92,903 1Q Q'17 1Q'

29 Making Inroads into SME and Retail Payments # SME Business w/ Mandiri Acc # MTB Transaction & Volume 543, , , , , , , , , , , , , ,000 50,000-20,357 20,186 20,187 20,329 18,373 17,444 18,974 15,996 14,508 17,101 12,773 16,052 11,385 9,235 14,068 12,616 10, , , , , , , , , , , , , , , , , ,288 21,000 18,000 15,000 12,000 9,000 6,000 3, Q17 1Q '13 2Q '13 3Q '13 4Q '13 1Q '14 2Q '14 3Q '14 4Q '14 1Q '15 2Q '15 3Q '15 4Q '15 1Q '16 2Q '16 3Q '16 # of Volume # of Transactions (000) 4Q '16 1Q '17 Fiesta Point Program A program to get points based on savings average balance and # of transactions through e-channel or branch, so that customer has the opportunity to earn immediate prizes. Mandiri Belanja Untung Program Prizes for buyers who do the transactions in the merchant (as a participants), or using Mandiri EDC. For sellers, they have the opportunity to be included into the national lucky draw. Belanja Hoki/ Dagang Hoki Program Co-promotion with the ITC Group for the merchants and the buyers who transact in ITC using Mandiri Debit and also a reward program for the building management. 40,285 37,059 39,025 28,122 29,040 29,967 34,251 26,441 27,591 24,676 22,570 18,216 13,542 15,312 15,971 17,802 11,535 18,528 1Q '13 25,857 2Q '13 32,273 3Q '13 # MIB Transaction Value & Users 42,582 4Q '13 47,304 53,124 57,447 73,666 79,970 88,013 1Q '14 2Q '14 3Q '14 4Q '14 1Q '15 Transaction Value (Rp Bn) 2Q '15 79,173 3Q '15 89,389 4Q '15 89, , ,781 1Q '16 2Q '16 3Q '16 # of Active Users 126,857 4Q '16 126,545 1Q '17 28

30 Gross NPLs 3.98%, Coverage at 133.2%, Category 2 at 4.3% NPL Movement - Consolidated Category 2 Loans 206.0% 34, % 191.7% 155.2% 138.9% 127.1% 122.5% 136.1% 116.6% 116.0% 192.4% 193.4% 189.6% 187.6% 185.3% 185.1% 185.5% 185.1% 170.3% 157.1% 157.4% 155.5% 150.5% 145.5% 137.7% 133.2% 131.9% 136.2% 126.6% 112.7% 124.5% 32,000 30,000 28,000 26,000 24,000 22,000 20,000 18,000 16, % 11.5% 9.1% 9.5% 6.9% 5.9% 5.2% 4.5% 4.1% 4.3% 3.9% 3.8% 3.9% 4.1% 5.1% 4.3% 5.5% 5.0% 4.3% 4.5% 3.9% 14,000 12,000 10,000 8,000 6, % 4.00% 3.81% 3.86% 3.18% 2.60% 2.81% 2.43% 2.27% 2.15% 2.16% 2.23% 2.07% 1.90% 1.90% 1.89% 2.08% 1.87% 2.04% 2.07% 2.22% 2.21% 2.56% 2.42% 2.60% 2.42% 2.60% 2.54% 2.56% 2.79% 3.79% 4.78% 5.85% 4.73% 4.44% 4.74% 5.14% 1Q'17 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 3Q'13 2Q'13 1Q'13 4Q'12 3Q'12 2Q'12 1Q'12 4Q'11 3Q'11 2Q'11 1Q'11 4Q '10 3Q '10 2Q '10 1Q '10 4Q '09 3Q '09 2Q '09 1Q '09 4Q '08 3Q '08 2Q '08 1Q '08 4,000 2,000-28,271 25,823 31,122 30,255 31,458 27,078 28,547 29,549 27,116 22,958 23,825 21,586 19,272 17,755 17,672 16,989 15,626 14,856 15,676 13,606 13,944 12,986 13,336 14,292 14,846 16,924 18,838 15,918 15,909 17,501 13,442 1Q'16 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 3Q'13 2Q'13 1Q'13 4Q'12 3Q'12 2Q'12 1Q'12 4Q'11 3Q'11 2Q'11 1Q'11 4Q'10 4Q'09 4Q'08 4Q'07 4Q'06 4Q'05 Gross NPL Ratio Prov/NPL Special Mention Special Mention Ratio 29

31 Q Total NPLs of Rp Tn Non-Performing Loan Movements (Rp Tn) Bank-Only Movement by Customer Segment (Rp Bn) ,500 Corp Comm Small Micro Cons 3,000 2, Q' 2016 UG to PL DG to NPL Payment Write-Offs Other 1Q' , ,097 Non-Performing Loans by Segment NPLs 1Q NPLs (Rp tn) (Rp tn) (%) Corporate 2.30 (0.03) 0.98% Commercial % Small 2.04 (0.43) 3.54% Micro 1.09 (0.68) 2.09% Consumer % Total (0.30) 3.95%* 1,500 1, ,070 1, UG to PL DG to NPL W/O * Excluding loans to other banks 30

32 1Q17 Net Downgrades of 0.49% On Loans Originated since 2005 Total Loans originated since 2005 Net Upgrades(%)/Downgrades(%) # 1Q 2016 Details Loan Background 1Q 17 Balance (Rp Bn) 1Q Q Q Q Q Q Q Q Q 2017 DG to NPL % UG to PL % Corporate 229, Commercial 148, Small 55, Micro 52, Consumer 87, Total 572, # % downgrades and upgrades are quarterly % figures 31

33 Restructured Loans at Rp 47.3 Trillion Restructured Loans Downgrade to Non-Performing After being Restructured % % 30.0% 33.0% 33.7% % 20.0% 26.2% 23.6% % 10.0% 5.0% 0.0% 17.2% 17.6% 17.8% 16.2% 14.9% 13.0% 13.5% 11.7% 12.8% 0.8% 0.2% 3.9%0.2% 5.5% 5.7% 1.6% 3.4% 13.9% 2.3% 4.4% 1Q17 4Q16 3Q16 2Q16 1Q16 4Q15 3Q15 2Q15 1Q15 4Q14 3Q14 2Q14 1Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 4Q '11 3Q '11 2Q '11 1Q '11 4Q '10 4Q '09 % NPL in Restructured Loan % DG to NPL After Being Restructured 32

34 Enhancing Synergies & Value from Subsidiaries Syariah Banking Investment Banking Insurance Niche Banking Multi-Finance Total Assets Rp80.0Tn Bond Trading Volume Rp18.1Tn Total Assets Rp26.3Tn Total Loans Rp6.2Tn Total Financing Rp4.6Tn Total Financing Rp55.4Tn Equity & FI Underwriting Rp2.7Tn Annual FYP Rp0.8Tn Net Interest Margin 6.6% Net Interest Margin 2.9% Total Deposits Rp71.0Tn Equity Trading Volume Rp42.9Tn ROA 4.7% ROA 2.1% ROA 2.6% ROE 5.8% ROE 7.4% ROE 56.6% ROE 11.1% ROE 14.0% Remains the leader in syariah financing Capital injection program over 3 years Cross-selling syariah products to Mandiri customers Expansion of business to fully utilize current capital base Cross-sell capital market services to broad range of Mandiri customers Refocus business toward higher fee income Providing end-to-end bank assurance business Continue to build cross-sell opportunities in various segments Bancassurance products to complete our suite of consumer offerings Enhancing operating model Improving risk management systems and IT Improving productivity Penetrate Bank Mandiri s network and customer base to develop the multifinance segment with a strong focus on new 4 wheel vehicles. 33

35 AXA Mandiri Financial Services Performance Annual First Year Premium (AFYP) (Rp Bn) Net Profit After Tax (Rp Bn) # of Policy Holders ( 000) (0.5%) YoY Growth (9.3%) YoY Growth 2.6% YoY Growth 3,930 4,101 3,939 3,961 3,832 3,710 3,465 3,360 3,162 2,962 2,657 2,479 2,354 2,217 2,123 2,033 1,967 1,919 1,878 1,859 1,791 1,744 1,695 1,639 1, , Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 4Q '11 3Q '11 2Q '11 1Q '11 1Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 4Q '11 3Q '11 2Q '11 1Q '11 1Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 4Q '11 3Q '11 2Q '11 1Q '11 34

36 Bank Mandiri s 2017 Corporate Guidance 2017 Target 2017 Realization Gross Loan Growth (YoY) 11.0% % 14.2% Low Cost Deposits Rp Tn Rp Tn Net Interest Margins 5.7% - 5.8% 5.9% Efficiency Ratio 43.0% 42.7% Gross NPLs 3.5% - 4.0% 3.98% Cost of Credit 2.5% - 2.7% 3.32% # of New ATMs # of New EDCs 10,000 2,601 # of New Micro Network 34 (1) # of New Conventional Branches

37 Operating Performance Highlights 36

38 Corporate Banking: Generating Strong Asset Spread Performance to Date: 1Q2017 (Rp Bn) Strategies for ,715 2,771 1,161 1, Focusing on Anchor Clients and penetrating through using of Transaction Banking 2. Account Plan implementation for top 76 Corporate Banking Customers. 3. Provide one stop service solutions for customer s transactions and create new business process to accelerate the execution of Account Plan including effective and responsive Complaint Handling. 4. Strengthen business alliance with Mandiri InHealth & Mandiri DPLK to ease corporate customers to manage their needs in health insurance & pension fund / severance 37

39 InHealth Opportunity to Increase Fee Income and Contribute to the Insurance Portfolio 1,800 1,600 1,400 1,200 1, ,432 1,620 1,410 1,400 1,073 1, Q16 1Q Leveraging our institutional, corporate, & commercial customers We have over 700 institutional, 300 corporate, and 1,700 commercial customers with the potential to become members of InHealth Providing solutions through our banking products to InHealth healthcare provider 1,600,000 1,400,000 1,200,000 1,000,000 Profit (Rp Bn) GWP (Rp Bn) 7,072 7,018 6,870 6,242 6,314 6,262 6,094 6,189 5,501 8,000 6,000 InHealth has 6,870 healthcare providers and recorded over Rp 297 Bn in claims year to date 2017 Bank Mandiri will leverage the hospital network as InHealth s partner to increase transactions through enhanced cash management products Bank Mandiri also will provide retail packaged products for all the doctors as InHealth s partner 800, , , ,000-1,355,229 1,247, ,696 1,087,313 1,141,896 1,118,206 1,175,240 1,023, , Q17 Total Member # of Providers 4,000 2,000 - Cross-selling Mandiri products to InHealth members InHealth earned premium payments of Rp 398 Bn in 2017 year to date from clients. Going forward, Bank Mandiri will encourage the use of cash management products through Bank Mandiri s distribution channels and cross sell other products to over 1.4 Mn InHealth members. 38

40 Treasury & Market Performance to Date: 1Q2017 (Rp Bn) Strategies for ,279 1, , , Implement client segmentation strategy for Treasury anchor and nonanchor clients. 2. Increase retail coverage of fixed income and structured products. 3. Develop new FI client coverage model and implement segmentation strategy. 4. Revitalize overseas offices function as a distribution channel, and introduce new business models. 5. Enhance retail brokerage program in Mandiri Sekuritas. 6. Upgrade business license status of Mandiri Sekuritas Singapore Office. 39

41 Mandiri Sekuritas financial performance (Rp Bn) Q Q Y-o-Y (%) Revenues % Investment Banking % Capital Market % Proprietary % Investment Mgt % Operating Expenses % Earnings After Tax % Equity Transactions bn 42,904 25,864 66% SUN Transactions bn 18,057 19,934-9% Equity & Bonds Underwriting bn 2,663 1,537 73% ROA 6.2% 6.9% -0.7% ROE 7.0% 10.2% -3.2% 40

42 Commercial Banking: Strong revenues from Assets Performance to Date: 1Q2017 (Rp Bn) Strategies for , ,664 1, Support Bank Mandiri s Wholesale Banking vision as an Integrated Wholesale Bank through sophisticated, customized and complete services leading to increased revenue through Wholesale Deposit generation and Fee Income. 2.Increasing profit and market share through increasing existing customer s share of wallet, increasing revenue from new customer s and managing NPL s. 3.Provide the best total business solutions for commercial customers by developing products and services including quality bundling of products, quick service and competitive pricing. 4.Effective Alliance in units based on customer base in Commercial segment, especially in developing value chain business. 41

43 Commercial Banking : Stronger Platform & Improved Distribution Capability Expanding Scope of Distribution, 1Q 2017 Solid & Stable Source of Low Cost Funds Sumatera Loans = Rp 26.1 tn Funds = Rp 9.7 tn Kalimantan Loans = Rp 7.9 tn Funds = Rp 3.9 tn Eastern Loans = Rp 4.9 tn Funds = Rp 2.5 tn Product Demand Deposit 1Q Q 2016 Growth YoY % Rupiah % FX % Saving Deposit* % Total CASA % Total Funding % Java and Bali Loans = Rp tn Funds = Rp 40.8 tn CBC = 25 Unit, 2 Dept Floor = 23 Unit CASA Ratio = 68.65% Funding from Java & Bali = 72% of total funding * Business Savings Product 42

44 Micro & Business Banking: Rapidly growing our high margin business Performance to Date: 1Q2017 (Rp Bn) Strategies for , ,333 1, Remapping the featured products 2. Strengthening the collateral policy 3. Offering the effective rate to the customers 4. Deposit collateral loan program 5. Super deal of non-revolving investment and working capital loan 6. Cash back program for the utilized revolving working capital loan 7. Special rate for deposit collateral loan 1,613 1,720 43

45 Business Banking : Expanding Scope of Distribution, 1Q 2017 Solid & Stable Source of Low Cost Funds* Rp Tn Sumatera Loans = Rp 12.99tn Funds = Rp 17.3 tn Kalimantan Loans = Rp 8.6 tn Funds = Rp 6.03 tn Eastern Loans = Rp 7.2 tn Funds = Rp 7.6 tn Product 1Q Q 2016 Growth YoY Padang Medan Pematang siantar Pekanbaru Pontianak Batam Samarinda Palembang Balikpapan Jambi Banjarmas Tangerang B.Lampung Jakarta in Bekasi Solo Surabaya Makassar Bogor Bandung Semarang Java and Bali Loans = Rp 28.7 tn Funds = Rp 101 tn Denpasar Palu Manado Jayapura Branch Models that covered SME Customers M-1 Branch : 79 M-2 Branch : 68 M-3 Branch : 165 Demand Deposit Saving Deposit % % Total CASA % Total Funding % CASA Ratio = 87.4% Funding from Java & Bali = 76.5% of total funding * Numbers are restated after Resegmentation in Jul

46 BSM Addressing Asset Quality Issues Financial Performance (Rp bn) Net Interest Margin & Cost of Funds FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16 1Q 17 Financing 23,968 36,664 44,755 50,460 49,133 51,090 55,580 55,418 Deposits 28,999 42,618 47,409 56,461 59,821 62,113 69,950 71,036 Assets 32,482 48,672 54,229 63,965 66,942 70,369 78,832 80,012 EAT Ratios: ROA (%) YoA 11.1% 11.1% 10.9% 10.8% 10.9% 10.6% 10.0% 10.6% 10.9% 11.0% 11.1% 11.1% 12.0% 12.1% 12.4% 12.3% 12.4% 12.2% 12.0% 11.5% 13.0% 12.3% 12.7% 13.0% 12.4% ROE (%) Gross NPF 3.5% 2.4% 2.8% 4.3% 6.8% 6.1% 4.9% 4.9% 91.1% Syariah Financing (Rp tn) 89.1% 83.1% 82.7% 86.2% 87.2% 92.2% 93.9% 93.9% 95.6% 94.2% 91.3% 89.4% 90.3% 89.9% 85.7% 82.1% 81.7% 85.3% 84.5% 82.0% 80.1% 82.6% 80.4% 79.2% 79.5% CoF 5.4% 5.7% 5.6% 5.1% 5.2% 4.5% 4.7% 4.5% 4.5% 4.6% 4.0% 4.0% 4.1% 4.4% 4.5% 4.5% 4.4% 4.4% 4.3% 4.2% 4.2% 3.8% 3.7% 3.7% 3.6% FDR Financing NIM 6.7% 6.7% 7.2% 6.5% 6.5% 6.4% 6.3% 6.3% 6.2% 6.0% 6.2% 6.3% 7.3% 7.2% 7.3% 7.1% 7.3% 7.0% 6.9% 6.9% 7.5% 6.6% 6.6% 6.3% 6.3% 4Q '07 4Q '08 4Q '09 4Q'10 4Q '11 1Q '12 2Q '12 3Q'12 4Q'12 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14 1Q'15 2Q'15 3Q'15 4Q'15 1Q'16 2Q'16 3Q'16 4Q'16 1Q'17 4Q '07 4Q '08 4Q '09 4Q'10 4Q'11 1Q'12 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14 1Q'15 2Q'15 3Q'15 4Q'15 2Q'16 3Q'16 4Q'16 1Q'17 45

47 Consumer Banking: Significant growth in spread and fee income Performance to Date: 1Q2017 (Rp Bn) Strategies for ,253 1, , , Mortgage package 2. Mortgage priority 3. Mortgage for depositors 4. Instant approval for mortgage 5. Selco Xtra payroll loan 6. SOE synergy for payroll loan 7. Regular top up for payroll loan 8. Cross-sell payroll loan 9. Regular auto loan through branch referral 10. Improving the quality of new card holders acquisition 11. Raise the limit of credit card 12. Usage program with strategic partner 13. Mandiri Bonus Untung program 14. Regional marketing program for savings 15. Special program for drop fund depositors 16. Bundling program 17. Internal branch contest for saving 46

48 Mandiri Tunas Finance: Total Financing YTD of Rp4.6Tn Total Disbursement and the Breakdown for Joint Financing and Non JF Breakdown of Financing 1Q 2017 Performance JF Non JF 3,094 1,936 2,236 2,391 2,206 2,408 2,056 2,456 2,224 1,728 1,478 2,975 3,012 2,909 2,057 2,414 2, Motorcycle Used Car New Car ,467 5,216 3,636 4,727 4,761 5,062 3,975 3,732 3,549 3,824 3,398 3,374 3,290 2,678 2,871 2,416 2, Q1'17 Q4'16 Q3'16 Q2'16 Q1'16 Q4'15 Q3'15 Q2'15 Q1'15 Q4'14 Q3'14 Q2'14 Q1'14 Q4'13 Q3'13 Q2'13 Q1' Q Q 2016 Change Loans (Rp Bn) 31,874 28, % Net Income (Rp Bn) % Approval Rate (%) % Disbursement (Rp Bn) 4,572 4, % NIM (%) % ROA (%) % ROE (%) % CER (%) % NPL (%) % 1,849 1,694 1,261 1,908 1,858 2,217 1,020 1,909 1,454 1,600 1,409 1,199 1, ,016 1,110 1,054 Q1'17 Q4'16 Q3'16 Q2'16 Q1'16 Q4'15 Q3'15 Q2'15 Q1'15 Q4'14 Q3'14 Q2'14 Q1'14 Q4'13 Q3'13 Q2'13 Q1'13 47

49 Supporting Materials 48

50 Bank Mandiri Corporate Plan Accelerate In The Growth Segments Product Focus Key initiatives 1. Improve processing speed 1 Mortgage 2. Tapping higher ticket size 3. Target developer relationships Loan Growth Engine 2 Auto Loan 1. Streamline segment split between MTF and MUF 2. Utilize existing Mandiri branch network for growth 3 Personal Loan & Micro KSM 1. Combine consumer personal loans and micro salary-based loans 2. Leverage on micro s distribution footprint 3. Tap into our payroll customer base Funding Engine 1 2 Dominate payroll segment using Bank@Work for corporate and commercial customers Improve transaction banking offering to tap cash management for anchor clients value chain 49

51 Our Portfolio Mix Would Be More Retail-Focused Assets Composition Mix 1) Liabilities Composition Mix Consumer Micro Business Banking 15% 9% 10% 20% 10% 10% Time Deposits 35% 30% Commercial 26% 24% CASA 66% 70% Corporate 40% 36% 1Q Q ) Excluding TSM and Wholesale Credit Recovery Bank only figures 50

52 Bank Mandiri Remains on Track to Become Indonesia s Most Admired Financial Institution # of Accounts Deposit Mn Loan 1.71 Mn including mortgage accounts of 153,518 # of new Accounts (YTD) Deposit 1.15 Mn Loan 170,977 # of Outlets 2,601 Branches 3,423 Micro Outlets (3) 17,694 ATMs e-channel Tx 777.6Mn Trx YTD 28.1% YoY Growth # of Cards Issued Credit 4.49 Mn Debit Mn Prepaid 9.23 Mn Cash Management 18,531 Customers 25.3Mn Trx in 2016 (2) Retail Loans (1) Rp Tn 33.7% of Loans High yield loan amounting Rp Tn Subsidiary Income Total Rp 544 Bn Sum of income from 11 subsidiaries (13.3% of EAT) Alliances Bank Guarantee: Rp7.94 Tn ForEx: USD3.98 Bn Trade: USD1.80 Bn (1) Small Business, Micro and Consumers (2) Excluding Mandiri Transaction System (3) Incl. KSM Centre, MMU Cash outlet and MobilMU 51

53 We are Preparing For Our Next Transformation Market Cap: IDR 60 Tn Revenue Market Share: 8% Net Profit: IDR 2.41 Tn ROE: 10% Gross NPL: 16.3% st Transformation Building a winning organization Delivering tailored proposition for priority segments Building alliances Strengthening risk management Market Cap: IDR Tn Revenue Market Share: 13.4% Net Profit: IDR 9.22 Tn ROE: 24.24% Gross NPL: 2.42% nd Transformation Wholesale transaction banking Retail payment & deposits Retail financing Market Cap: IDR Tn Revenue Market Share: 12.8% ROE: 21.0% Gross NPL: 2.15% rd Transformation Business transformation Developing integrated Human Capital & IT Focusing on non-organic growth 2020 Top Bank In ASEAN 52

54 But We Need to Consider Growing Beyond the Bank Bank & Group Revenue YTD (Whole Group): Rp17.0Tn (16% YoY) Profit from Subsidiaries: Rp0.54Tn (13.3% of EAT) 1Q Revenue Wholesale vs Retail : Rp 7.1Tn vs Rp 9.8Tn Finding Business Partners JV with AXA (AMFS). Gross Written Premiums Rp1.5tn. +27% YoY JV with Tunas Ridean (MTF). Total Financing Rp4.1tn. 15% YoY InHealth partner BPJS M & A Our Deal size has continued to move higher BSHB Rp 40bn (2008) MTF Rp250 bn (2009) Inhealth Rp 1.3 tn (2013) 53

55 1Q17 PPOP increased by 11.9% YoY on strong fee income and cost control 1Q Q 2017 Rp Bn Rp Bn 4,203 5,256 7,864 7,572 Higher 11.9% 13,037 9,666 13,430 10,823 Net Interest Income Fee-Based Income Overhead Expenses & Others Pre-provision Operating Profit Notes : 1. Fee based income excluding gain on sale & increasing value GB & securities 2. Overhead expenses + others excluding provisions Net Interest Income Fee-Based Income Overhead Expenses & Others Pre-provision Operating Profit 54

56 Committed to Improving Shareholder Value Business Strategy Reduce Cost of Funds Improve Assets Yield Diversify into Fee Income Competitive. sustainable returns. with above-average rates of growth Support Strategy Reduce Provision/Loan Improve Cost Efficiency Strategic Alliances Leverage on cash generator (wholesale) to accelerate growth Diversity into fee income 55

57 and Offer Innovative Payment Solutions 846 1,412 1, Pre-Paid Card Volume (000s) Indomaret e-toll Gaz e-money 2,249 2,112 1,829 1,976 1,752 1,564 1,663 1,409 1,533 1,564 1,633 1,312 1,226 1,098 2,693 2,478 2,892 3,255 3,080 2,110 2,012 1, ,559 3,650 3,428 2,202 2,338 1,240 1,382 1, ,879 2,776 2,634 2,489 2,270 1,785 2,850 2,163 1, Mar-17 Dec-16 Sep-16 Jun-16 Mar-16 Dec-15 Sep-15 Jun-15 Mar-15 Dec-14 Sep-14 Jun-14 Mar-14 Dec-13 Sep-13 Jun-13 Mar-13 Dec-12 Sep-12 Jun-12 Mar-12 Pre-Paid Transaction Volume (000s)* 11,680 Indomaret e-toll Gaz e-money 9,578 13,662 41,450 39,691 36,704 36,457 36,018 35,923 33,826 30,698 30,058 27,260 30,466 27,455 24,644 27,205 24,508 22,741 23,864 21,752 22,777 24,163 20,679 21,156 22,079 18,012 20,211 20,502 20,981 19,460 16,802 14,874 8,332 44,169 6,421 7,891 5,282 4, ,748 5,275 2, , Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 3Q '12 2Q '12 1Q '12 *volume for quarter E-Money is the re-branding of prepaid Mandiri cards launched in October Can be used for Toll-road Transactions (Jabodatabek). Parking (ISS Parking). Bus (Trans Solo & Trans Jogja). Fuel (Pertamina Gas Stations). Retail Shops (Indomaret. Alfamart. Alfamidi. Lawson. Superindo). Restaurants (Solaria. Excelso. Es Teller 77). Can be owned by all customers & non customers with a maximum balance of Rp 1 million. Recharge available at Mandiri ATM. ATM Bersama. E-money machines. and E-money merchants. 56

58 ,195 4,208 5,764 5,136 7,057 5,187 6,877 5,689 8,527 7,039 7,732 5,974 5,945 4,005 6,337 6,153 6,379 8,497 12,534 10,089 Strong Microfinance Growth Outstanding Rp Tn Booking Volume Rp Bn Mandiri Microfinance Outstanding Booking Asset Spreads(%) Mandiri Market Share 11.95% 11.94% 12.01% 13.00% 12.50% 12.00% 21.0% 18.7% 11.00% 11.50% 11.00% 16.9% 9.77% 10.50% 10.00% 14.4%14.3% 14.0% 14.2% 13.2%13.2%13.2%13.2% 9.50% 9.00% 8.50% 11.0% 11.3% 10.8%10.6% 9.9% 9.0% 8.5% 9.2% 8.00% 7.50% 6.8% 6.25% % 6.50% 6.00% 3.91% % 5.00% 4.50% 4.00% 2.76% 2.02% 2.29% % 3.00% 2.50% 2.00% 1.50% 1.00% 0.50% 0.00% 1Q *based on OJK publication market data (micro small medium business/ UMKM) 1Q '17 4Q '16 3Q '16 2Q '16 1Q '16 4Q '15 3Q '15 2Q '15 1Q '15 4Q '14 3Q '14 2Q '14 1Q '14 4Q '13 3Q '13 2Q '13 1Q '13 4Q '12 4Q '11 4Q '10 57

59 Our Growth Remains On Track Rp Billion CAGR CAGR YoY Growth Assets 263, , % 449, , % 910,063 1,038, % Loans 106, , % 246, , % 595, , % Deposits 206, , % 362, , % 676, , % Revenues 10,835 22, % 28,504 56, % 66,879 73, % ROE 2.52% 22.06% 72.0% 24.24% 20.95% (3.6%) 18.33% 9.66% -47.3% Gross NPL Ratio 25.20% 2.79% (5.60%) 2.42% 2.15% (2.9%) 2.60% 4.00% 53.8% Net NPL Ratio 15.34% 0.42% (3.73%) 0.62% 0.81% 6.9% 0.90% 1.53% 70.0% LDR 51.72% 61.36% 2.41% 67.58% 82.86% 5.2% 87.68% 86.54% -1.3% EAT 603 7, % 9,218 19, % 20,335 13, % Subsidiary EAT N/A % *) 994 1, % 2,085 2, % *) CAGR based on EAT 2006 Rp bn 58

60 ,689 70, , , , , , , , , , ,955 Building a Strong Savings Deposit Franchise Savings Deposit Growth Transaction channel growth Savings Deposits (Rp tn) As % of Total Deposits National Share of Savings Deposits (%) 41.8% 42.5%42.1% 40.6% 41.9% 41.1% 39.2% 39.0% 39.9% 41.5% 41.9% 42.3% 39.8% 40.2% 39.8% 37.3% 38.4% 38.8% 40.7% 36.6% 39.8% 39.6% 37.7% 36.0% 36.3% Others Payment Transfer Withdrawal / Inquiry Avg ATM Daily Vol (000) ,485 2,507 2,450 2,629 2,405 2,421 2,432 2,291 2,141 2,129 2,096 2,096 1,996 2,045 2,021 1,954 1, % 16.6% 16.7% 17.0% 17.5% 17.7% 17.5% 17.3% 17.3% 18.0% 17.6% 17.5% 17.6% 17.3% 16.9% 16.7% 17.4% 16.5% 17.6% 17.9% 17.6% 17.3% 16.8% 16.2% Quarterly Call Center Trans. (000) Quarterly Mobile Trans. (000) 3,2033,2233,181 3,1193,047 3,211 3,185 3,266 2,907 2,678 2,290 2,9272,794 2,1201,928 2,059 2,236 1Q'17 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 3Q'13 2Q'13 1Q'13 4Q'12 3Q'12 2Q'12 1Q'12 4Q'11 3Q '11 2Q '11 1Q'11 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14 1Q'15 2Q'15 3Q'15 4Q'15 1Q'16 2Q'16 3Q'16 4Q'16 1Q'17 59

61 Regulation Summary: Capital Based on Risk Profile. Business Activity & Branch Networking Bank Mandiri s Capital Requirement Based on our Risk Profile Bank Mandiri Capital Requirment Risk Profile CAR Min 1 Low 8% 2 Low to Moderate 9% - < 10% 3 Moderate 10% - < 11% 4 Moderate to High & 5 - High 11% - 14% Bank Mandiri is under the LOW to MODERATE risk profile Bank Mandiri is under BUKU 4. Minimum 70% loans and financing to the productive sector required to be met at the end of June BUKU Tier 1 Capital 1 < Rp 1 Trillion 2 Rp 1 Trillion - < Rp 5 Trillion 3 Rp 5 Trillion - < Rp 30 Trillion 4 Rp 30 Trillion Branch Networking by Zone* Branch Sub Branch Cash Office Total Zone Zone , ,142 Zone Zone Zone Zone Total 139 2, ,601 *At October

62 Continuous End to End Improvement in the Micro Business Origination & Targeting Maintenance & Review Scorecard Refinement Collection Training & Capacity Development of Managers MKA Revitalization (focus on credit analysis & verification) Loan Factory for Fixed Income Loan 1,444 MKS/MMC/Back Office/Other Position and 247 Managers Biweekly RTTA (Risk. Threshold. Trigger & Action Plan) Review Forum Mobile Sales and Maintenance System for MKS Incentive Scheme Refinement Post Transaction Control (Welcome Call) FIN-1 Collection System Change in Organization Crash Program for NPL debtors settlement Operational Risk 3,720 EDC (hand held) rolled out Early Warning System Development Savings Pension Loans Building New Business Joint Cooperation with Mandiri AXA General Insurance (MAGI) Joint Cooperation with Bank Syariah Mandiri (BSM) for Gold Pawning 61

63 4.50 Million Cards Drove Rp 9.05 Tn in Transaction Mandiri Visa & Mastercards and EOQ Receivables Total Card Quarterly Sales by Type of Transaction (Rp Bn) Receivables (Rp tn) Cards (000s) 3,032 2,685 2,972 3,155 3,083 4,364 4,498 4,256 4,128 3,969 3,817 3,665 4,036 3,435 3,890 3,727 3,602 3,275 Transfer Balance Cash Advance Retail ,081 2,156 2,446 2,570 2, ,205 7,619 6,763 7,221 7,047 7,394 7,076 7,229 6,949 7,530 7,230 6,749 5,174 5,315 5,266 5,166 4,832 5,053 4,462 4,167 3,782 4,080 3,669 3,421 3,032 9,048 9,128 8,674 8,761 8,768 8,970 8,683 8,751 8,344 8,288 7,566 6,855 5,557 5,620 5,303 5,195 5,025 5,035 4,590 4,492 4,245 4,296 3,910 3,761 3,575 1Q '11 2Q '11 3Q '11 4Q'11 1Q'12 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 3Q'13 4Q'13 1Q'14 2Q'14 3Q'14 4Q'14 1Q'15 2Q'15 3Q'15 4Q'15 1Q'16 2Q'16 3Q'16 4Q'16 1Q'17 1Q'17 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 3Q'13 2Q'13 1Q'13 4Q'12 3Q'12 2Q'12 1Q'12 4Q'11 3Q'11 2Q '11 1Q '11 62

64 Strengthening Risk Management & Monitoring System Corporate Customer by Rating Summary of Risk Management Initiatives 100% 80% 60% 40% 20% 0% High Risk (Rating C- G) Medium Risk (Rating BBB B) Low Risk (Rating AAA A) 15% 12% 11% 15% 7% 2% 3% 4% 3% 4% 7% 13% 16% 16% 10% 10% 24% 24% 21% 24% 25% 23% 20% 34% 64% 68% 91% 84% 80% 81% 69% 72% 67% 70% 60% 51% Credit Market Operational Wholesale Transaction: Optimize credit decision process by focusing on quantitative factors of analysis. redefining clear role of risk team. and aligning RM Organization into business expansion High Yield Business: Assign dedicated team. set up loan factory. enhanced business process (incl. tools. monitoring & collection system. policy ) Optimize capital by implementing ERM & VBA Consolidate risk management of subsidiaries Development of risk measurement system for derivative & structured product (Summit) Implement Market Risk Internal Model Intraday Limit Monitoring Enhance Policy & Procedure for Treasury & ALM Enhance FTP (Fund Transfer Pricing) method Develop liquidity stress test & safety level Develop measurement of capital for IRBB ORM implementation in all unit. incl. overseas offices & subsidiaries Bring Op. Risk top issues into Management Review Op. Risk on new procedures & new products 63

65 Key Quarterly Balance Sheet Items & Financial Ratios IDR billion / % (Cons) 1Q 2017 FY Q 2016 YoY Gross Loans 656, , , % Government Bonds 102,537 98,933 98, % Total Assets 1,034,307 1,038, , % Customer Deposits 731, , , % Total Equity 151, , , % RoA before tax (p.a.) 2.10% 1.96% 2.27% (7.49%) RoE after tax (p.a.) 10.56% 9.66% 12.64% (16.46%) Cost to Income Ratio 42.68% 42.39% 44.46% (4.00%) NIM (p.a.) 5.90% 6.44% 6.42% (8.10%) LDR 89.52% 86.54% 87.42% 2.40% Gross NPL / Total Loans 3.98% 4.00% 3.18% 25.16% Provisions / NPLs % % % 0.98% Tier 1 CAR * 20.04% 20.26% 15.70% 27.64% Total CAR incl. Credit, Opr & Market Risk* 21.11% 21.38% 18.48% 14.23% EPS (Rp) % Book Value/Share (Rp) 6,507 6,573 5, % * Bank Only 64

66 Total Assets (Rp Tn) Total Assets Grew 14.1% Y-o-Y to Rp 1, Tn Consolidated 75.4% 75.4% 74.1% 19.0% 19.0% % 60.6% 47.1% 40.9% % 50.1% 52.2% 34.8% Int. from Bonds 90.9% 88.6% 88.6% 85.5% 84.6% 86.1% 87.9% 89.1% 87.3% 87.4% 85.8% 85.3% 76.0% 76.5% 83.4% 79.5% 75.5% 63.6% 68.3% 71.7% 56.8% 57.2% Int. from Loans % 11.2% 6.1% 7.2% 6.5% 7.7% 8.0% 6.9%7.7% 7.4% 7.6% 6.6% 6.8% 8.5% 8.5% 7.3% 6.0% 7.3% 7.1% 7.5% 7.3% 6.2% Q'17 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 3Q'13 2Q'13 1Q'13 4Q'12 3Q'12 2Q'12 1Q'12 4Q'11 3Q'11 2Q'11 1Q'11 4Q'10 3Q '10 2Q '10 1Q '10 4Q '09 3Q '09 2Q '09 1Q '09 4Q '08 4Q '07 4Q '06 4Q '05 4Q '04 4Q '03 4Q '02 4Q '01 4Q ' % 86.3% 85.3% Government Bonds Loans Other Assets 65

67 Additional Factors Aggregate of Rp Tn (US$ Bn) in written-off loans as of end-of March 2017, with significant recoveries and write back on-going: Recoveries of Written off Loans 2001: Rp 2.0 Tn 2002: Rp 1.1 Tn 2003: Rp 1.2 Tn 2004: Rp 1.08 Tn 2005: Rp Tn (US$ 83.2m) 2006: Rp Tn (US$ 378.5m)* 2007: Rp Tn (US$ 249.3m) 2008: Rp Tn (US$ 211.8m) Q4 09: Rp Tn (US$ 82.5m) Q1 10: Rp Tn (US$ 31.6m) Q2 10: Rp Tn (US$ 73.0m) Q3 10: Rp Tn (US$ 40.7m)** Q4 10: Rp Tn (US$149.7m) Q1 11: Rp Tn (US$53.8m) Q2 11: Rp Tn (US$51.9m) Q3 11: Rp Tn (US$57.8m) Q4 11: Rp 0.78 Tn (US$86.1m) Q1 12: Rp Tn (US$180.1m) Q2 12: Rp Tn (US$76.8m) Q3 12: Rp Tn (US$51.1m) Q4 12: Rp Tn (US$91.8m) Q1 13: Rp Tn (US$94.5m) Q2 13: Rp Tn (US$68.8m) Q3 13: Rp Tn (US$54.4m) Q4 13: Rp Tn (US$69.4m) Q1 14: Rp Tn (US$48.7m) Q2 14: Rp Tn (US$64.5m) Q3 14: Rp Tn (US$46.4m) Q4 14: Rp Tn (US$64.8m) Q1 15: Rp Tn (US$42.4m) Q2 15: Rp Tn (US$48.5m) Q3 15: Rp Tn (US$51.3m) Q4 15 Rp Tn (US$79.0m) Q1 16 Rp Tn (US$43.0m) Q2 16 Rp Tn (US$48.9m) Q3 16 Rp Tn (US$63.8m) Q4 16 Rp Tn (US$85.0m) Q1 17 Rp Tn (US$51.5m) * including the write-back of RGM loans totaling Rp Tn ** Including the write back of Kharisma Arya Paksi loans totaling Rp Tn and Gde Kadek Rp 0.59Tn. 66

68 Summary Quarterly Balance Sheet 1Q Q 2016 Summary BS 1Q 17 4Q 16 3Q 16 2Q 16 1Q 16 Y-o-Y Rp (tn) Rp (tn) Rp (tn) Rp (tn) Rp (tn) % Total Assets 1, , % Cash % Current Acc w/ BI & other banks % Placement w/ BI & other banks % Securities Net % Government Bonds % - Trading % - AFS % - HTM (55.1%) Loans % - Performing Loans % - Non-Performing Loans % Allowances (34.76) (32.95) (30.09) (26.58) (24.10) 44.2% Loans Net % Total Deposits Non Bank % - Demand Deposits % - Savings Deposits % - Time Deposits % Shareholders Equity* % 67

69 Summary Quarterly P&L 1Q Q Q Q 2016 Y-o-Y 4Q 2016 Q-o-Q Summary P&L % of % of % of Rp (Bn) Rp (Bn) (%) Rp (Bn) Av.Assets* Av.Assets* Av.Assets* (%) Interest Income 19, % 18, % 6.2% 19, % (1.9%) Interest Expense 6, % 5, % 10.9% 6, % (0.4%) Net Interest Income 12, % 12, % 3.9% 13, % (2.7%) Net Premium Income % % (13.1%) % 72.0% Net Interest Income & Premium Income 13, % 13, % 3.0% 13, % (0.7%) Other Non Interest Income *Other Fees and Commissions 2, % 2, % 18.4% 3, % (6.4%) *Foreign Exchange Gains Net % % 56.7% % 3.6% *Gain from Incr. in value of sec & sale of Gov.Bonds % % 29.0% % 192.0% *Others 1, % 1, % 27.9% 1, % (29.2%) Total Non Interest Income 5, % 4, % 25.1% 5, % (9.7%) Total Operating Income 18, % 17, % 8.4% 19, % (3.4%) Provisions, Net (5,401) (2.1%) (4,596) (2.0%) 17.5% (8,734) (3.4%) (38.2%) Personnel Expense (3,498) (1.4%) (3,406) (1.5%) 2.7% (3,435) (1.3%) 1.8% G&A Expenses (3,401) (1.3%) (3,305) (1.5%) 2.9% (3,517) (1.4%) (3.3%) Loss from decr in value of sec & Gov Bonds Other Expenses (965) (0.4%) (862) (0.4%) 12.0% (1,011) (0.4%) (4.5%) Total Expense (7,864) (3.0%) (7,572) (3.3%) 3.9% (7,963) (3.1%) (1.2%) Profit from Operations 5, % 5, % 6.9% 2, % (104.5%) Non Operating Income (24) 0.0% (5) 0.0% 391.4% (17) 0.0% 39.4% Net Income Before Tax 5, % 5, % 6.5% 2, % 104.9% Net Income After Tax 4, % 3, % 6.9% 1, % 127.4% 68

70 Breakdown of Interest Income & Interest Expense Interest Income 1Q 17 1Q 16 YoY 4Q 16 QoQ Rp (Bn) Rp (Bn) (%) Rp (Bn) (%) Loans 14, , % 15, % Government bonds 1, , % 1, % Marketable Securities % % Consumer financing % % Placement at BI and other banks % % Others % % Syariah Income 1, , % 1, % Total 19, , % 19, % Interest Expense 1Q 17 1Q 16 YoY 4Q 16 QoQ Rp (Bn) Rp (Bn) (%) Rp (Bn) (%) Time Deposits 3, , % 3, % Savings % % Current Account % % Borrowings % % Securities issued % % Subordinated loan % % Others % % Total 6, , % 6, % 69

71 Three Options to Pursue in Recap Bonds Resolution Bank Indonesia Ministry of Finance BI will gradually replace their use of SBI for market operations with SUN BI could buy the Recap bonds gradually and this includes potential purchases of SUN VR The Ministry of Finance will consider to buyback the SUN VR Potential for debt switching with a different tenor of fixed rate bonds. Market Sale Bundle the recap bonds with assets creating an asset backed security and sell it to the market. Sell the bonds. borrowing FX and use the liquidity to increase lending. 70

72 Government Bond Portfolio Government Bond Portfolio by Type and Maturity (Rp 102,537 Bn) Maturity/ Rp Bn Trading Portfolio Available for Sale Held to Maturity Nominal MTM Nominal MTM Fixed Rate Bonds < 1 year ,012 8,067 2, year ,082 24,376 4, year 1,124 1,176 17,663 18,661 1,270 > 10 year 1,162 1,188 7,490 7, Sub Total 2,973 3,074 56,247 59,006 8,329 Variable Rate Bonds < 1 year - - 1,445 1,437 1, year ,832 29, year > 10 year Sub Total ,276 30,984 1,145 T o t a l 2,973 3,074 87,523 89,989 9,474 Bonds by Rate Type & Portfolio as of December (Rp 102,537 Bn) Fixed Rate Variable Rate Trading* AFS# HTM^ 1Q 17 Government Bond Gains/(Losses) (Rp Bn) Realized Gains/Losses on Bonds Unrealized Gains/Losses on Bonds * Mark to Market impacts Profit # Mark to Market impacts Equity ^ Nominal value 1Q 16 2Q 16 3Q 16 4Q 16 1Q Total

73 Ex-Recap Bond Portfolio. March 2017 Bank Only (Stated in Rp Millions) 72

74 Bank Mandiri Credit Ratings Moody s (February 2017) Fitch Rating (August 2016) Outlook POSITIVE Issuer Default Rating BBB- Bank Deposit Baa3/P-3 National LT Rating AAA(idn) Baseline Credit Assessment Baa3 National ST Rating F1+(idn) Adj. Baseline Credit Assessment Baa3 Viability Rating bb+ Counterparty Risk Assessment Baa2(cr)/P-2(cr) Support Rating Floor BBB- Pefindo (June 2016) Standard & Poor s (December 2015) Outlook STABLE Outlook STABLE LT General Obligation idaaa LT Foreign Issuer Credit BB+ Subordinated Debt idaa+ LT Local Issuer Credit BB+ ST Foreign Issuer Credit ST Local Issuer Credit B B 73

75 Corporate Actions Net Profit for the financial year of 2016 of Rp13,806,565,442, was distributed as follows: 45% or Rp6,212,954,449, for the annual dividend Total Dividend Payment of Rp per share Dividend Payment Schedule : a. Cum Date: Regular and Negotiated Market: March 21, 2017 Cash Market: March 24, 2017 b. Ex Date: Regular and Negotiated Market: March 22, 2017 Cash Market: March 27, 2017 c. Recording Date: March 24, 2017 d. Payment Date: April 13, 2017 Net Profit for the financial year of 2015 of Rp20,334,967,510, was distributed as follows: 30% or Rp6,100,490,253, for the annual dividend Total Dividend Payment of Rp per share 74

76 1Q 2017 Movement in Category 1 and 2 Loans Category 1 Loan Movements (Rp Bn) Bank Only Category 2 Loan Movements (Rp Bn) Bank Only 2,088 8,058 2, , ,058 3, ,246 21, , ,208 Beg. Bal. D/G to 2 U/G from 2 D/G to NPL U/G from NPL Net FX Impact End Bal. Collection Beg. Bal. Cat. 1 D/G U/G to 1 D/G to NPL NPL U/G Net FX Impact End Bal. Collection 75

77 1Q 2017 Loan Detail: Collectability by Segment Loan Profile: 1Q Collectability (%) by Segment Bank Only Loan Profile: 1Q Collectability (Rp bn) by Segment Bank Only 0.7% 1.1% 5.3% 4.5% 5.4% 2.1% 0.5% 5.5% 0.7% 0.9% 0.6% 0.4% 5.3% 7.6% 250, ,000 1,706 2, , % 84.1% 91.0% 92.6% 90.5% , , , , ,676 8,036 6,846 8, ,000 50, ,378 1,222 3, ,759 6,644 78,959 25,000 52,308 48,345 0 Corp Comm Small Micro Cons Corp Comm Small Micro Cons 76

78 NPL Loan Detail*: Quarterly by Days Past Due Quarterly D/G to NPL & Interest DPD - Bank Only Quarterly NPL Stock & Interest DPD - Bank Only 70% 60% 50% Current (%) <30 Days OD (%) 45% 40% 35% 30% Current (%) <30 Days OD (%) 40% 25% 30% 20% 20% 10% 15% 10% 5% 0% 0% 9,000 8,000 Rp Bn Value 25,000 Rp Bn Value 7,000 20,000 6,000 5,000 15,000 4,000 3,000 10,000 2,000 5,000 1, ,523 7,744 1,640 6,554 3,884 2,045 2,640 2, , , ,447 20,199 17,166 17,124 11,725 9,471 9,273 7,283 6,077 5,598 5,266 5,351 5,294 4,965 5,006 4,863 4,812 4,496 4,644 4,643 4,927 4,805 4,983 4,261 4,301 3,929 3,985 3,668 3,589 Q1'17 Q4'16 Q3'16 Q2'16 Q1'16 Q4'15 Q3'15 Q2'15 Q1'15 Q4'14 Q3'14 Q2'14 Q1'14 Q4'13 Q3'13 Q2'13 Q1'13 Q4'12 Q3'12 Q2'12 Q1'12 Q4'11 Q3'11 Q2'11 Q1'11 Q4'10 Q3'10 Q2'10 Q1'10 Q1'17 Q4'16 Q3'16 Q2'16 Q1'16 Q4'15 Q3'15 Q2'15 Q1'15 Q4'14 Q3'14 Q2'14 Q1'14 Q4'13 Q3'13 Q2'13 Q1'13 Q4'12 Q3'12 Q2'12 Q1'12 Q4'11 Q3'11 Q2'11 Q1'11 Q4'10 Q3'10 Q2'10 Q1'10 * Excluding Micro & Consumer Loans 77

79 Rp4,150bn in Loans were Restructured in 1Q 17 Restructured Loan Movement Q2017 Loans by Restructuring Type in 1Q 2017 IDR bn Others# Write-Offs Repayments Restructuring Balance 19,427 20,914 20,645 16,560 17,104 16,046 14,131 13,508 11,671 12,437 13,010 25,548 31,000 35,846 42,145 42,979 Maturity extension w/other restr'g*; 2.0% Maturity extension w/reduced rates; 1.2% Maturity extension; 96.7% Q1'17 Deduct Add Q4'16 Deduct Add Q3'16 Deduct Add Q2'16 Deduct Add Q1'16 Deduct Add 2015 Deduct Add 2014 Deduct Add 2013 Deduct Add 2012 Deduct Add 2011 Deduct Add 2010 Deduct Add 2009 Deduct Add 2008 Deduct Add 2007 Deduct Add 2006 Deduct Add 2005 (Rp billions) Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Loans Restructured NPL Collections 4,850 2,781 6,352 6,139 7,997 9,671 4, *Other Restructuring includes reduction of interest rates, rescheduling of unpaid interest & extension of repayment period for unpaid interest Others# includes partial payments, FX impacts, and fluctuation in Working Capital facilities 78

80 Improving Asset Quality and Portfolio Management Reorganize SAM Group Transfering Problem Loans Resetting Risk Assessment Criteria Increase Monitoring Frequency Intensify Cash Recovery Key Areas Restructuring Unit Recovery Unit Transfering Problem Loans Update Risk Assessment Criteria Loan Monitoring Early Warning System Incentives for Loan Repayment Auction Frequency Asset Marketing Unit Remarks Focus on preventing increasing NPLs. To solve temporary problems in business s and take the necessary steps for loan restructuring. Transfering problem loans from business units to SAM group to be handled more effectively. We will continue to review for more loans to transfer. Help to reset risk assessment criteria to support business units in improving the loan origination process. Preventiative actions to improve asset quality by increasing standardized process and upgrading risk tools Achieve higher cash recovery than last year Accelerate loan repayment by writing off interest and penalty Identify targeted buyers for specific assets 79

81 Loan Portfolio Sector Analysis, 1Q 2017 Plantations Manufacturing Business Services F&B Manufacturing Chemical Manufacturing Distribution Trading Retail Trading Others Electricity Trading Construction Transportation Oil&Gas Mining Raw Material Manufacture Social Services Trading 5% Business Services 9% (1) Non-consolidated numbers * Each sector < 3% * Excluding Micro & Consumer Loans Only 80

82 Credit Card Portfolio Showed Modest Decrease in 1Q 17 Mandiri Credit Card Delinquency Rates (%) Quarterly Charge-offs, NPLs & Recoveries (Rp Bn) 11.7% 30 DPD - Rp 90 DPD - Rp 30 DPD - Cards 90 DPD - Cards NPLs (90+DPD) Write-Offs Recoveries % % 5.0% 2.4% 6.0% 3.8% 3.2% 2.0% 4.8% 4.7% 5.2% 2.2% 2.2% 2.2% 2.3% 2.3% 2.7% 2.5% 4.7% 5.1% 4.9% 2.2% 6.8% 6.7% 6.4% 6.5% 6.2% 6.2% 5.7% 3.8% 3.6% 3.4% 3.3%3.6% 3.4% 3.5% 2.6% 2.4% 2.5% 2.4% 1.1% 1.1% 1.1% 1.2% 1.3% 1.2% 2.8% 2.9% 2.6% 2.4% 1.6% 1.6% 1.5% 1.4% 1.3% 6.3% 2.9% 3.0% 1.3% 1.4% Q'17 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 3Q'13 2Q'13 1Q'13 4Q'12 4Q'11 4Q '10 4Q '09 4Q '08 4Q '07 4Q '06 4Q '05 1Q'17 4Q'16 3Q'16 2Q'16 1Q'16 4Q'15 3Q'15 2Q'15 1Q'15 4Q'14 3Q'14 2Q'14 1Q'14 4Q'13 3Q'13 2Q'13 1Q'13 4Q'12 4Q'11 4Q '10 4Q '09 4Q '08 4Q '07 4Q '06 4Q '05 81

83 82 Staffing and Distribution Network Growth 22,909 25,236 27,907 30,762 33,982 34,696 36,737 37,173 37,760 38,376 38,940 38, Q'16 2Q'16 3Q'16 4Q'16 1Q'17 1,095 1,370 1,537 1,810 2,050 2,312 2,457 2,460 2,472 2,505 2,599 2, Q'16 2Q'16 3Q'16 4Q'16 1Q'17 Employees Domestic Branch Network ATM Network ATM-Link Network 4,996 6,496 8,996 10,985 11,514 15,344 17,388 17,452 17,461 17,461 17,461 17, Q'16 2Q'16 3Q'16 4Q'16 1Q'17 12,666 18,321 22,794 35,300 39,854 47,327 53,957 58,132 58,602 59,425 60,508 60, Q'16 2Q'16 3Q'16 4Q'16 1Q'17

84 1Q 2017 Loan Detail*: Downgrades to NPL 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% Loan Profile: 1Q NPL Downgrades Only (Rp 2,523 Bn) Bank Only >90 Days Days Days Trans Constr Trad-Dom Oil & Gas Entertaiment Others Trad-Distr Mfg-Metal Trad-Retail Mfg-Chem RP WC Program Invest Small Business Commercial Corporate, Commercial & Small Business loans downgraded to NPL in 1Q totaled Rp 2,523 Bn. Of these loans: 30.1% were more than 90 days overdue on interest payments 70.4% came from our Commercial Portfolio Largest downgrades by sector: Chemicals Manufacturing Retail Trading Metal Manufacturing 90.8% were IDR loans 71.2% were Working Capital loans, 28.1% were Investment Loans 0% Current FX Corporate * Excluding Micro & Consumer Loans Only Collect. Int. Aging Sector Currency Purpose Segment 83

85 1Q 2017 Loan Detail*: Non-Performing Loans 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Loan Profile: 1Q Non-Performing Loans Only (Rp 20,447 Bn) Bank Only >90 Days Days Days <30 Days Current Agri Trading Constr Mfg-P&P Others Mass Trans Mining Oil & Gas Mfg Trad-Ret Mfg-Text Mfg-Chem Mfg-F&B Trad-Distr RP FX WC Syndication Invest Consumer Small Business Commercial Corporate Collect. Int. Aging Sector Currency Purpose Segment Corporate, Commercial & Small Business NPLs totaled Rp 20,447 Bn in 1Q. Of these NPLs in 1Q: 25.3% remain current on interest payments and an additional 23.5% are less than 90 days overdue 78.8% are to Commercial customers 70.4% are Working Capital loans and 26.8% are Investment loans Primary sectors are: Trading Distributions Food & Beverages Manufacturing Chemicals Manufacturing 86.0% are Rp loans 37.7% are Cat. 3 & 8.7% are Cat. 4 * Excluding Micro & Consumer Loans Only 84

86 1Q 2017 Loan Detail*: Downgrades to Cat % 90% 80% 70% 60% 50% 40% 30% Loan Profile: 1Q Downgrades to Cat. 2 Only (Rp 4,646 Bn) Bank Only Small Business Commercial 61+ Days Days <30 Days 1 Day Trading Bus Serv Mfg Constr Soc Serv Others Mfg-Text Mass Trans Mfg-Chem Mfg-RawM Trad-Ret RP WC >2004 Rp 4,646 Bn in Corporate, Commercial & Small Business loans were downgraded to Category 2 in 1Q. Of the Special Mention Loans downgraded: 61.3% are for Commercial & 38.7% are to Small Business customers 29.4% are current & 50.4% are less than 30 days overdue in interest payments Primary sectors downgraded are: Trading Distribution Retail Trading Raw Material Manufacturing 99.0% are RP loans 20% 10% Current Trad-Distr Invest 78.3% are Working Capital loans 0% FX Export * Excluding Micro & Consumer Loans Only Segment Days Aging Sector Currency Purpose Origin Year 85

87 1Q 2017 Loan Detail*: Category 2 Loans 100% 90% 80% 70% 60% 50% 40% Loan Profile: 1Q Category 2 Loans Only (Rp 13,842 Bn) Bank Only Small Business Commercial Days Days <30 Days 1 Day Mining Constr Plantations Mass Trans Mfg-Text Others Trad-Ret Mfg-Metal Trad-Distr RP WC >2004 Rp 13,842 Bn in Corporate, Commercial & Small Business loans were in Category 2 in 1Q. Of these Special Mention loans: 59.3% are to Commercial customers 61.2% are current or 1 day overdue, with an additional 22.4% less than 30 days overdue Primary sectors in Category 2 are: Raw Materials Manufacturing Chemicals Manufacturing Trading Distribution 30% Current 82.2% are Rp loans 20% Mfg-Chem Invest 71.5% are Working Capital loans 59.3% were Category 2 in 1Q 17 10% Corporate Mfg-RawM FX 0% Export * Excluding Micro & Consumer Loans Only Segment Days Aging Sector Currency Purpose Origin Year 86

88 1Q 2017 Loan Detail*: Upgrades to PL 100% 90% 80% 70% Loan Profile: 1Q Upgrades to PL (Rp Bn) Bank Only Small Business Soc Serv Trading Trad-Ret Mass Trans WC Corporate, Commercial & Small Business loans upgraded to PL in 1Q totaled Rp Bn. Of these loans: 72.7% are to Corporate customers 96.1% upgraded loans originated later than 2004 Largest upgrades by sector: 60% 50% 2 Corporate RP Invest >2004 Plantations Mass Transportation Retail Trading 40% 30% Mfg Textile 100.0% are Rp loans 7.6% are Working Capital loans; 92.4% were Investment loans 20% 10% Commercial 0% 1 * Excluding Micro & Consumer Loans Only Collect. Segment Sector Currency Purpose Origin Year 87

89 1Q 2017 Loan Detail*: Performing Loans 100% 90% 80% 70% 60% 50% 40% 30% 20% Loan Profile: 1Q Performing Loans Only (Rp 425,204 Bn) Bank Only 2 1 Small Business Commercial Corporate Soc Serv Mining-Oil & Gas Trans Constr Trading Electricity Trad-Distr Others Trad-Ret Mfg-Chem Mfg-F&B Bus Serv Plantations RP WC Syndication Program Invest >2004 Rp 425,204 Bn in Corporate, Commercial & Small Business loans were performing in 1Q. Of these performing loans: 54.8% are to Corporate customers & 32.1% are to Commercial customers 97.2% originated since 2005 Primary sectors are: Manufacturing Plantations Business Services 79.7% are Rupiah loans 47.4% are Working Capital loans; 35.8% are Investment loans 10% 0% Mfg FX Export Consumer * Excluding Micro & Consumer Loans Only Collect. Segment Sector Currency Purpose Origin Year 88

90 1Q 2017 Loan Detail*: Restructured Loans 100% 90% 80% 70% 60% 50% 40% 30% 20% Loan Profile: 4Q Restructured Loans Only (Rp42,979 Bn) Bank Only Mfg-Text Mining-Coal >90 Days Mining Oil & Gas Days Mfg-F&B Days Mfg-Metal <30 Days Trad-Oth Current Others Mass Trans Bus Serv Mfg-RawM Trad-Distr Mfg-Chem Fx Rp Invest WC Corporate Small Business Commercial Of the remaining Rp 42,979 billion in restructured wholesale loans in 1Q : 65.6% are Performing 73.0% of Restructured Loans are current in interest payments Primary sectors are: Plantations Chemical Manufacturing Distribution Trading 79.2% are Rp loans 49.9% are Working Capital loans 65.9% are to Commercial customers 10% 0% Plantations Collect. Int Aging Sector Currency Purpose Segment * Wholesale Loans Only 89

91 1Q 2017 Loan Detail: Corporate Loans 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% Loan Profile: 1Q Corporate Loans Only (Rp 235,447 Bn) Bank Only 0% Days Roads&Bridge Trad-Ret Current Mining Mining Oil & Gas Trading Others Mining Oil & Gas Mfg-Chem Mfg Bus Serv Electricity Mfg-F&B Plantations RP FX WC Syndication Invest Export > Collect. Cat. 2 Int. Aging Sector Currency Purpose Origin Year Rp 235,447 billion in loans were in the Corporate portfolio in 1Q. Of the Corporate Loans in 1Q : 99.1% are performing loans, with 1.1% in Category % Category 2 loans are current in interest payments Primary sectors in Corporate are: Plantations Food & Beverages Manufacturing Electricity 69.4% are Rupiah loans 40.7% are Investment loans; 35.7% are Working Capital loans 90

92 1Q 2017 Loan Detail: Commercial Loans 100% 90% 80% 70% 60% 50% 40% Loan Profile: 1Q Commercial Loans Only (Rp 152,695 Bn) Bank Only Days Current Constr Mining Mfg-Metal Mfg-F&B Mfg-RawM Others Mass Trans Trading Mfg-Chem Plantations RP WC Syndication >2004 Rp152,695 Billion in loans were in the Commercial portfolio in 1Q. Of the Commercial Loans in 1Q: 89.0% are performing loans, with 5.4% in Category % of Category 2 loans are current in interest payments Primary sectors in Commercial are: Trading Distribution Business Services Manufacturing 89.3% are Rupiah loans 30% 20% Mfg Bus Serv Invest 60.5% are Working Capital loans, 34.1% are Investment loans 10% 0% Trad-Distr FX Export Consumer Collect. Cat. 2 Int. Aging Sector Currency Purpose Origin Year 91

93 1Q 2017 Loan Detail: Small Business Loans 100% 90% 80% Loan Profile: 1Q Small Business Loans Only (Rp 57,509 Bn) Bank Only Days <30 Days Soc Serv Constr Trad-Dom Bus Serv Others Rp 57,509 Bn in loans were in the Small Business portfolio in 1Q of the Small Business Loans in 1Q: 96.5% are performing loans, with 5.5% in Category 2 70% Mfg WC 20.3% of Category 2 loans are current in interest payments 60% 50% 40% 30% 1 Current Plantations Household Equip. Trad-Distr RP Program >2004 Primary sectors in Small Business are: Retail Trading Distribution Trading Household Equipment 98.9% are Rupiah loans 20% Invest 68.9% are Working Capital loans 10% 0% Trad-Ret Export Consumer FX Collect. Cat. 2 Int. Aging Sector Currency Purpose Origin Year 92

94 1Q 2017 Loan Detail*: Rupiah Loans 100% 90% 80% 70% 60% 50% 40% 30% 20% Loan Profile: 1Q Rupiah Loans Only (Rp 356,507 Bn) Bank Only Days Days Current Trading Trans Electricity Constr Mfg-Chem Others Mfg-F&B Trad-Distr Trad-Ret Bus Serv Mfg Small Business Commercial Corporate WC Syndication Invest >2004 Rp 356,507 billion in loans were Rupiah denominated in 1Q Of the Rupiah Loans in 1Q: 95.1% are performing loans, with 3.2% in Category % of Category 2 loans are current in interest payments Primary sectors in Rupiah loans are: Plantations Manufacturing Business Services 45.8% are Corporate loans 54.8% are Working Capital loans, 34.0% Investment loans 10% 0% Plantations Export Consumer * Excluding Micro & Consumer Loans Only Collect. Cat. 2 Int. Aging Sector Segment Purpose Origin Year 93

95 1Q 2017 Loan Detail*: FX Loans 100% 90% 80% 70% 60% 50% 40% 30% 20% Loan Profile:1Q FX Loans Only (Rp89,145 Bn) Bank Only <30 Days Current Mfg-Metal Mass Trans Plantations Mfg Mfg-RawM Mining Metal Ore Mfg-F&B Trading Mfg-Chem Mining Metal Ore Soc Serv Small Business Commercial Corporate WC Syndication Invest >2004 Rp 89,145 Bn in loans were FX denominated in 1Q. Of the FX Loans in 1Q: 96.8% are performing loans 100.0% of Category 2 loans are current in interest payments Primary sectors in FX loans are: Oil & Gas Mining Social Services Metal Ore Mining 80.9% are Corporate loans 40.6% are Investment loans; 23.4% are Working Capital loans 10% 0% Mining Oil & Gas Export * Excluding Micro & Consumer Loans Only Collect. Cat. 2 Int. Aging Sector Segment Purpose Origin Year 94

96 Loan growth, Quality & Provisioning Relative to Peers Bank Only, As of December 2016 Total Loans (Rp bn) Loan Growth (%) Loan to Deposit Ratio (%) 77.1% 80.5% 85.9% 87.8% 88.9% 90.1% 90.4% 91.0% 95.4% 102.7% -17.9% -6.7% 1.7% 6.0% 6.2% 7.3% 10.6% 13.8% 18.3% 20.9% 95, , , , , , , , , ,304 BCA Permata Mandiri BRI Maybank Panin BNI Danamon CIMB Niaga BTN Permata Danamon CIMB Niaga Panin Maybank BCA Mandiri BRI BTN BNI Danamon Permata Maybank Panin BTN CIMB Niaga BNI BCA Mandiri BRI NPL Ratio (Gross) (%) NPL Ratio (Net) (%) Ratio of Provisions to NPL (%) 45% 52% 86% 101% 113% 122% 131% 146% 170% 229% 2.4% 2.2% 2.2% 2.0% 1.9% 1.4% 1.1% 0.7% 0.4% 0.3% 8.8% 4.0% 3.9% 3.6% 3.5% 3.0% 2.9% 2.8% 2.0% 1.3% BTN Maybank Panin Danamon CIMB Niaga Permata Mandiri BNI BRI BCA Maybank Permata CIMB Niaga Danamon BTN Mandiri BRI Panin BNI BCA Permata Mandiri CIMB Niaga Maybank Danamon BNI Panin BTN BRI BCA Average 95

97 Asset and Liability Mix Relative to Peers Bank Only, As of December 2016 Total Assets (Rp bn) Loans to Total Earning Assets (%) Yield on Assets (p.a.) (%) 8.1% 8.5% 8.6% 8.9% 8.9% 9.1% 9.5% 9.6% 10.2% 10.6% 66.5% 66.9% 69.8% 70.6% 71.2% 71.9% 72.2% 75.4% 78.7% 79.6% 149, , , , , , , , , ,001 BCA Mandiri BNI Permata Maybank CIMB Niaga BTN Panin Danamon BRI Permata BCA BRI Mandiri Danamon Panin BNI Maybank CIMB Niaga BTN Danamon Maybank Permata Panin BTN CIMB Niaga BNI BCA Mandiri BRI Total Deposits (Rp tn) Low Cost Deposit Ratio (%) Cost of Funds (p.a.) (%) 6.1% 6.0% 5.6% 5.5% 4.7% 4.3% 3.4% 3.1% 3.0% 1.9% 39.1% 40.6% 44.5% 46.6% 51.0% 52.9% 60.6% 65.5% 66.0% 77.0% 101, , , , , , , , , ,845 Permata BTN Panin Maybank CIMB Niaga Danamon BRI Mandiri BNI BCA Panin Maybank Permata Danamon CIMB Niaga BTN BRI BNI Mandiri BCA Danamon Maybank Permata Panin BTN CIMB Niaga BNI BCA Mandiri BRI Average 96

98 Efficiency Measures Relative to Peers Bank Only, As of December 2016 Loans/ Employee (Rp Mn) Profit/ Employee (Rp Mn) Cost/Assets (%)* 10.6% 6.1% 5.4% 5.2% 5.0% 4.3% 4.2% 3.9% 3.2% 2.9% ,002 10,789 11,325 13,258 14,021 15,220 15,352 15,790 15,907 19,209 Permata Danamon CIMB Niaga Mandiri BRI BNI BCA Maybank Panin BTN Permata Danamon CIMB Niaga Panin Maybank BTN Mandiri BRI BNI BCA Danamon BRI Panin CIMB Niaga Permata Mandiri BNI BCA Maybank BTN Deposits/ Employee (Rp Mn) Pre Tax Income/Employee (Rp Mn) Cost/ Income (%) 56.1% 54.5% 54.4% 46.8% 46.1% 44.3% 43.5% 42.1% 40.6% 38.5% ,293 12,572 12,896 15,694 15,697 16,980 17,287 17,667 20,109 BTN Permata Maybank Panin CIMB Niaga BNI Danamon BRI BCA Mandiri Permata Danamon CIMB Niaga Panin Maybank BTN Mandiri BNI BRI BCA BRI Panin CIMB Niaga Maybank Permata BNI BTN Mandiri BCA Average *Annualized 97

99 Measures of Scale and Returns Relative to Peers Bank Only, As of December 2016 Employees Branches ATMs 999 1,012 1,524 1,633 1,900 3,704 17,056 17,207 17,461 24, ,211 1,235 1,814 2,060 2,599 6,908 7,462 8,561 10,799 13,185 24,272 26,364 31,950 38,940 58,885 Panin Permata Danamon Maybank BTN CIMB Niaga BNI BCA Mandiri BRI Permata Maybank Panin CIMB Niaga BTN BCA Danamon BNI BRI Mandiri Maybank Permata BTN Panin CIMB Niaga BNI BCA Danamon Mandiri BRI Net Interest Margins (%) Return on Assets (Before Tax) (%) Return on Equity (After Tax) (%) -38.3% 6.9% 7.9% 8.6% 11.1% 11.8% 15.5% 18.4% 20.5% 23.1% -4.9% 1.2% 1.5% 1.7% 1.8% 2.0% 2.3% 2.7% 3.8% 4.0% 3.9% 4.6% 4.9% 5.0% 5.5% 6.2% 6.3% 6.8% 7.2% 8.3% Permata CIMB Niaga Danamon Panin Mandiri Maybank BNI BTN BCA BRI Permata CIMB Niaga Maybank Panin BTN Mandiri Danamon BNI BRI BCA Permata Maybank Panin BTN CIMB Niaga BNI Mandiri BCA Danamon BRI Average 98

100 Notes

101 Notes

102 Notes

103 Equity Research Contact Details BROKERAGE ANALYST TELEPHONE BAHANA SECURITIES Henry Wibowo ext BANK OF AMERICA-MERRILL LYNCH Anand Swaminathan BCA SEKURITAS Igor Nyoman Putra CIMB SECURITIES Jovent Giovanny ext. 262 CITI INVESTMENT RESEARCH Salman Ali CLSA LIMITED Sarina Lesmina CREDIT SUISSE Sanjay Jain DANAREKSA SEKURITAS Adriana Indrajatri DBS VICKERS SECURITIES Lim Sue Lin DEUTSCHE VERDHANA SECURITIES Raymond Kosasih GOLDMAN SACHS (ASIA) Ben Koo HSBC LTD Loo KarWeng INDO PREMIER SECURITIES Stephan Hasjim J.P. MORGAN ASIA Harsh Modi KIM ENG SECURITIES Rahmi Marina MACQUARIE CAPITAL SECURITIES INDONESIA Jayden Vantarakis MIRAE ASSET SEKURITAS Taye Shim MORGAN STANLEY Mulya Chandra SANFORD C. BERNSTEIN Kevin Kwek UBS Joshua Tanja UOB KAY HIAN Alexander Margaronis The analysts listed above actively follow Bank Mandiri, but not all have issued research reports or formally initiated coverage.

104 PT Bank Mandiri (Persero) Tbk PLAZA MANDIRI Jl. Jend. Gatot Subroto Kav Jakarta 12190, Indonesia Tel: Fax: , Call Center: Contact Information: Investor Relations Tel: Fax: Corporate Secretary Tel: Fax::