Details News

February 22, 2021

Sufficient Liquidity, ADMF Still Considering Dividends

Bisnis.com, JAKARTA - PT Adira Dinamika Multi Finance Tbk. (Adira Finance) is still considering dividing dividends from performance throughout the 2020 period, even though it has decreased due to the impact of the pandemic.

Based on the financial statements of the financing company coded ADMF issuer, net profit fell from Rp2.1 trillion in 2019 to Rp1.02 trillion in 2020.

This decline was sustained by the sluggishness of ADMF's new financing receivables, which throughout 2020 only managed to touch IDR 18.9 trillion or a decrease of almost 51 percent (year-on-year / yoy) from 2019's achievement of IDR 37.9 trillion.

As a result, the total assets of the ADMF also fell from Rp.35.11 trillion in 2019 to Rp.29.23 trillion in 2020 or decreased by 16.7 percent on an annual basis.
However, ADMF was still able to maintain a handle on cash flows equivalent to IDR 4.22 trillion by the end of 2020.

Adira Finance President Director Hafid Hadeli explained that ADMF's ability to be able to generate profits in the pandemic era is a consideration for continuing to distribute dividends, the amount of which depends on the decision of the General Meeting of Shareholders (GMS).

Meanwhile, in the range of April 2020, the total dividends distributed by ADMF to shareholders reached Rp. 1.06 trillion, or around 50 percent of the 2019 net profit.

Adira Finance Director of Finance I Dewa Made Susila further explained that it is ADMF's priority to obtain sufficient liquidity to meet all financial and funding obligations for business needs in the 2021 period.
In obtaining its funding needs, ADMF previously issued bonds in June 2020 amounting to IDR 1.5 trillion, consisting of IDR 1.3 trillion conventional and IDR 200 billion Sukuk.

"The company has also used an offshore syndicated loan facility of US $ 300 million in which this loan has been fully hedged, both in terms of principal and interest rates.

Adira Finance also received standby facility support equivalent to US $ 280 million, "explained Made, Monday (22/2/2021).

ADMF is eyeing Rp9.3 trillion in funding, considering the obligation to pay for the funding facility that is due in the 2021 period.

The company continues to diversify its sources of funding through support from joint financing of its parent, PT Bank Danamon Tbk. and obtain external loans from banks and the capital market.