A Bigger Profit Number, Built on the Same Widening Cracks
The Q3 2025 post closed on the Sharia Business Unit's financing book swinging wildly - three consecutive quarters, three different directions - while Capital Adequacy Ratio» fell the most in a single quarter since Q1's plunge. FY2025 as a whole delivered exactly what the headline number promises: net income rose 114.9% YoY to Rp276,234 million, and standalone Q4 net income grew for a seventh straight quarter QoQ, to approximately Rp77,101 million (+7.0% QoQ from Q3's implied Rp72,064 million). But the two threads the Q3 post left open both continued in the same direction rather than resolving: the Sharia unit's financing book grew again (+26.0% QoQ to Rp120,415 million, a new backfill-high), while its own standalone net income fell 57.7% quarter-over-quarter to approximately Rp8,878 million - a sharper version of the same divergence Q3 flagged, where the book grows faster than the income it's supposed to be generating. And CAR kept falling, dropping to 31.63% from Sep 2025's 32.9% - a fourth straight quarterly decline, continuing the trend The Prescription in the last post said the bank couldn't treat as background noise indefinitely.
This quarter's filing is also the abridged "published financial statement" format rather than a fuller annual report with note-level detail - no investor presentation and no annual report were published alongside it by the time of writing, so several operational metrics this backfill has tracked from Bank Jago's own decks (Cost of Funds, Cost of Credit, Loans at Risk, digital customer counts, headcount) simply aren't available this quarter. What follows relies on the filed financial statements themselves, which do still carry the full income statement, balance sheet, cash flow statement, and regulatory ratio disclosures.
The Prescription
Bank Jago should keep leaning into what's actually working - net interest and Sharia income grew 58.7% YoY to Rp2,465,988 million, NIM» improved to 8.37% (from 7.34%), and cost-to-income» improved sharply to 58.19% (from 73.73%) - real operating leverage, not just a bigger balance sheet. What it should stop doing is treating CAR's decline as a number that will simply stabilize on its own: four straight quarterly drops (44.40% at Dec 2024, to 36.4% in Q1, roughly 35.9% in Q2, 32.9% in Q3, now 31.63%) is a clear trend, not noise, even though 31.63% still sits more than 3x above OJK's 10% floor. A bank growing its loan book 37.5% year-over-year while its capital ratio falls every single quarter is spending down the capital cushion its 2021 rights issues built, and management should say explicitly on the next call whether it plans to raise fresh capital, slow loan growth, or simply keep letting the ratio drift lower - silence on this, quarter after quarter, is itself the thing worth criticizing.
Key Financial Metrics
FY2025 vs. FY2024 - PT Bank Jago Tbk
FX: IDR 16,709 = USD 1 (31 December 2025, the period-end date and the rate disclosed in the Bank's own published statements; applied to both periods below for consistency). The published statements report the Bank on a standalone basis only - Bank Jago has no consolidated subsidiaries, consistent with every prior post in this backfill.
| Metric | FY2025 (IDR) | FY2025 (USD) | FY2024 (IDR) | YoY |
|---|---|---|---|---|
| Net interest and Sharia income ("Net Revenue" equivalent) | Rp2,465,988M | ~$147.59M | Rp1,553,425M | ✅ +58.7% |
| Operating income | Rp351,355M | ~$21.03M | Rp180,610M | ✅ +94.5% |
| Income before income tax | Rp351,107M | ~$21.01M | Rp179,359M | ✅ +95.8% |
| Income tax expense (deferred) | -Rp74,873M | -~$4.48M | -Rp50,841M | +47.3%, an expense both periods |
| Net income for the period | Rp276,234M | ~$16.53M | Rp128,518M | ✅ +114.9% |
| Earnings per share (full amount, basic) | Rp19.93 | ~$0.001193 | Rp9.27 | ✅ +115.0% |
Isolating Q4 2025 on its own (FY total minus 9M's already-disclosed figures) implies standalone Q4 net income of approximately Rp77,101 million, up 7.0% quarter-over-quarter from Q3's implied Rp72,064 million - a seventh straight quarter of QoQ profit growth. Net interest and Sharia income also grew quarter-over-quarter (Rp688,783 million, +12.7% QoQ), continuing Q3's reacceleration. Net cash flows generated from operating activities were Rp1,817,756 million for FY2025 (FY2024: Rp3,227,376 million, -43.7% YoY) - capital expenditure (fixed and intangible assets acquired) was Rp723,631 million (FY2024: Rp730,913 million, essentially flat), leaving operating cash flow comfortably ahead of capex for the year, though by a narrower margin than FY2024. Net increase in cash and cash equivalents for the year was Rp1,184,767 million (FY2024: Rp1,276,834 million, essentially flat). Operating income (the bank's own regulatory-format figure, netting impairment losses against revenue) is the closest bank equivalent to Adjusted EBITDA; the concept itself doesn't meaningfully apply to a deposit-taking institution.
| Balance sheet metric | Dec 2025 (IDR) | Dec 2025 (USD) | Dec 2024 (IDR) | YoY |
|---|---|---|---|---|
| Total Assets | Rp36,507,347M | ~$2,184.89M | Rp28,542,712M | ✅ +27.9% |
| Loans and Sharia financing (gross) | Rp24,346,604M | ~$1,457.10M | Rp17,701,486M | ✅ +37.5% |
| Total customer deposits | Rp25,898,491M | ~$1,549.97M | Rp18,805,830M | ✅ +37.7% |
| Total Liabilities | Rp27,681,417M | ~$1,656.68M | Rp20,023,788M | +38.2%, tracking balance sheet growth |
| Total Equity | Rp8,825,930M | ~$528.21M | Rp8,518,924M | +3.6%, still nearly flat |
FY2025 net income rose 114.9% YoY to Rp276,234 million, operating cash flow stayed comfortably ahead of capex for a second straight full year, and NIM and cost-to-income both improved meaningfully - but CAR fell for a fourth straight quarter to 31.63% (see The Prescription), and the Sharia Business Unit's financing book kept growing while its own profit fell sharply this quarter (see below).
The Sharia Unit Kept Growing Its Book While Its Own Profit Fell 57.7% QoQ
The Q3 2025 post flagged a book that more than doubled quarter-over-quarter (+140.2% to Rp95,535 million) even as its own standalone profit fell - and said the divergence was "exactly the kind... worth watching next quarter." Q4 answered that question, and not favorably: the financing book grew again, +26.0% quarter-over-quarter to a new backfill-high Rp120,415 million, while standalone Sharia net income (backing out 9M 2025's already-disclosed Rp77,387 million from the full-year Rp86,265 million) fell 57.7% quarter-over-quarter to approximately Rp8,878 million - down from Q3's implied Rp21,017 million. Total Sharia Business Unit assets grew 11.2% over the same quarter (Rp2,862,038 million to Rp3,183,513 million), roughly in line with the financing book's own growth this time, unlike Q3's pattern of funding growth by shifting securities into financing.
The unit's credit quality actually improved through this swing: Sharia gross NPF» fell to 0.00% (Dec 2025, from 0.97% a year earlier and effectively flat versus Q3's own 0.00%), while its disclosed ROA eased further to 3.10% for FY2025 (from 9M 2025's 3.81%) - a larger dilution effect from a book that's now roughly 4x its size from a year ago. Two consecutive quarters of a growing book paired with falling standalone profit is no longer a single quarter's oddity - it's now the pattern this small unit has shown across both Q3 and Q4 2025, and newly booked financing seasoning into income with a lag remains the simplest explanation, but it's one management hasn't addressed on the record, since no transcript or investor presentation exists for this quarter to check.
Key Operational Metrics
Ratios below are sourced from PT Bank Jago Tbk's own filed financial statements for the year ended 31 December 2025 - no investor presentation or annual report was available for this quarter (see above), so metrics normally drawn from the deck (Cost of Funds, Cost of Credit, LAR, digital customer counts, headcount) are stated as not available rather than carried forward from an earlier quarter's reading.
- CASA ratio»: 49.6% (Dec 2025, calculated from Rp12,847,461M current + savings deposits ÷ Rp25,898,491M total deposits, per the filed balance sheet) vs. 48.2% (Sep 2025) - a modest uptick, the first improvement after four declines in the prior five quarters, though still below Dec 2024's 52.95% and well below the backfill's earlier highs.
- Loan-to-Deposit Ratio»: 94.01% (Dec 2025, per the filed ratio table) vs. 94.08% (Dec 2024) - essentially flat for the year, even as both loans and deposits grew nearly 38%.
- NIM»: 8.37% (FY2025, per the filed ratio table) vs. 7.34% (FY2024) - a full-year improvement, consistent with 9M 2025's already-strong 8.3% blended reading.
- NPL»: 0.61% gross (Dec 2025, per the filed ratio table) vs. 0.16% (Dec 2024) - a meaningful full-year deterioration, and up from Sep 2025's 0.4% (per the investor presentation)/0.38% (filed ratio); net NPL rose to 0.12% (from 0.00% at Dec 2024).
- CAR»: 31.63% (Dec 2025, per the filed ratio table) vs. 32.9% (Sep 2025) and 44.40% (Dec 2024) - down 1.27 percentage points QoQ and a cumulative 12.77 percentage points for the year, the fourth straight quarterly decline; still roughly 3.2x OJK's 10% minimum, but the multi-quarter trend is the point - see The Prescription.
- ROE» / ROA»: 4.33% / 1.05% (FY2025, per the filed ratio table) vs. 1.95% / 0.73% (FY2024) - both roughly doubled for the year on a cumulative basis (not directly comparable to the single-quarter readings the investor presentation reported in earlier quarters).
- Cost-to-Income» (CIR): 58.19% (FY2025) vs. 73.73% (FY2024) - a large full-year efficiency improvement, consistent with Q3's already-improved 58% quarterly reading.
- BOPO (operating expenses to operating income, the bank's own regulatory efficiency ratio): 90.94% (FY2025) vs. 92.35% (FY2024) - improved, though this ratio stays far less flattering than CIR since it includes impairment costs CIR excludes.
- Undrawn loan commitments: Rp5,000,556M (Dec 2025) vs. Rp4,673,044M (Sep 2025) vs. Rp2,587,958M (Dec 2024) - up 7.0% quarter-over-quarter (93.3% year-over-year), a slower pace than Q3's 21.8% QoQ jump but still outpacing deposit growth for the year.
- Related-party loan concentration: not disclosed at the counterparty level this quarter either - like Q3 2025's filing, this is the abridged regulatory "published financial statement" format rather than the fuller interim statements (such as H1 2025's) that break the related-party note down by borrower name. The last known reading stays 2.11% (Jun 2025); this backfill has no newer data point to report.
- Cost of Funds, Cost of Credit, Loans at Risk (LAR), KYC-verified digital customer counts, and headcount/branch network: not available this quarter - all were previously sourced from Bank Jago's investor presentation, which wasn't published for this period at the time of writing.
Beyond the Usual
No investor presentation or annual report accompanied this quarter's filing
Every prior FY post in this backfill (FY2020 through FY2024) had either a glossy annual report, an investor presentation, or both alongside the filed financial statements. FY2025's only available source at the time of writing is the abridged "published financial statement" - the same bare regulatory format Q3 2025 used for an interim quarter, not the fuller annual disclosure a full financial year would normally warrant. This isn't evidence of anything wrong on its own - annual reports and glossy decks sometimes lag a filed statement by weeks - but it means several metrics this backfill has tracked every quarter (Cost of Funds, Cost of Credit, LAR, digital customer counts, headcount) simply aren't available for FY2025 as things stand, and the related-party borrower-level breakdown last available in H1 2025 has no FY2025 update either.
Capital Adequacy Ratio fell for a fourth straight quarter
CAR fell from 32.9% (Sep 2025) to 31.63% (Dec 2025) - continuing a decline that has now run every quarter since Q4 2024 (44.40% to 36.4% to roughly 35.9% to 32.9% to 31.63%), a cumulative drop of nearly 13 percentage points in a single year even as the loan book grew 37.5%. The ratio remains comfortably above the regulatory minimum, but a bank funding this much loan growth out of a capital base that isn't growing anywhere near as fast is a trend worth tracking for how many more quarters it can continue before capital, not deposits, becomes the binding constraint on growth.
The Sharia unit's book and its own profitability moved in opposite directions for a second straight quarter
Q3 2025 already showed the Sharia Business Unit's financing book growing sharply while its own standalone profit fell; Q4 repeated the pattern, with the book up 26.0% QoQ to a new backfill-high Rp120,415 million while standalone profit fell 57.7% QoQ to approximately Rp8,878 million (see above). This is genuinely interesting footnote-adjacent color rather than a criticism on its own - newly booked financing typically takes time to season into income - but two consecutive quarters of the same divergence is no longer a one-off worth a single mention; it's now a pattern this unit's small size has let slide without much scrutiny.
The Stock Fell 18.7% for the Year, Even as Every Profitability Metric Improved
The Q3 2025 post closed at Rp2,130, up 45.4% from Q1 2025's low. Q4 2025 gave most of that back: Bank Jago's shares closed at Rp1,975 on 30 December 2025, down 7.3% from Rp2,130 three months earlier. No stock split has occurred at any point since the company's IPO, so both prices are the actual nominal figures quoted on the IDX at the time. Versus a year earlier (31 December 2024, Rp2,430), the stock is down 18.7% YoY, and the stock now sits 38.5% below the Rp3,210 high this backfill's two-year price window recorded in January 2024 - a level it hasn't approached since.
For a second straight full year, the direction of the stock has diverged from the direction of the fundamentals: net income more than doubled, NIM and cost-to-income both improved meaningfully, and the Sharia unit's book hit a new high - yet the stock still ended the year down nearly a fifth. The gap between a bank whose headline numbers keep improving and a stock that keeps de-rating is now the more persistent story than any single quarter's move, and CAR's steady decline (see Beyond the Usual) is at least one plausible reason the market isn't rewarding the profit growth at face value - a capital ratio falling every quarter is exactly the kind of thing that would make a buyer more cautious about extrapolating today's growth rate forward.
Target Valuation Range
Market cap Rp27.38 trillion (~$1.64 billion), ~3.10x P/B, ~99.1x P/E. Bottom line: cheaper on both a book-value and earnings basis than a quarter ago, even as the underlying business kept improving - this looks more like a re-rating the market hasn't caught up on than a stock pricing in a real deterioration.
Bank Jago's shares closed at Rp1,975 on 30 December 2025, down 7.3% from Rp2,130 three months earlier and down 18.7% YoY (see above). Issued and fully paid-in capital of Rp1,386,133 million at a Rp100 par value implies approximately 13,861,330,000 shares outstanding (essentially unchanged from Sep 2025), for a market capitalization of approximately Rp27.38 trillion (~$1.64 billion).
| Market cap → book value | Q4 2025 |
|---|---|
| Share price (period-end) | Rp1,975 |
| Shares outstanding | 13,861,330,000 |
| Market capitalization | Rp27.38 trillion (~$1.64 billion) |
| Total equity (book value) | Rp8,825,930M |
| Book value per share | Rp636.73 |
| Peer-multiple sanity check | Q3 2025 | Q4 2025 | Change |
|---|---|---|---|
| P/B | 3.38x | 3.10x | down |
| P/E | 111.2x | 99.1x | down |
P/B»: ~3.10x, using book value» per share of Rp636.73 (Rp8,825,930M total equity ÷ 13,861,330,000 shares) - down from Q3 2025's ~3.38x, as the 7.3% price decline outpaced book value's modest 1.0% quarterly growth, ending two straight quarters of re-rating higher. P/E»: using FY2025's actual (not annualized) basic EPS of Rp19.93 against the Rp1,975 close, the implied multiple is roughly 99.1x. A year earlier, FY2024's basic EPS of Rp9.27 against Dec 2024's Rp2,430 close implied roughly 262.1x - a substantial YoY compression, driven almost entirely by earnings growth outrunning the stock's own decline rather than a re-rating higher. A full DCF still isn't appropriate, for the same reason every prior post in this backfill has given: the Sharia unit's financing book just grew for a second straight quarter while its own profit fell for a second straight quarter (see above), and operating cash flow, while still comfortably ahead of capex for the year, fell 43.7% YoY - both signs the underlying growth rate is still too uneven to extrapolate with real confidence. The peer-multiple read stays the honest one: P/B has now de-rated for the first time in three quarters even as CAR keeps sliding, while P/E's sharp YoY compression says more about how much profit grew than about the market getting more optimistic - a bank whose capital ratio has fallen every quarter for a full year doesn't yet have a valuation multiple a reader should treat as precise, only directional.
PT Bank Jago Tbk's published financial statements for the year ended 31 December 2025 (with 31 December 2024 comparatives).