Akulaku-backed digibank posts 3x revenue jump in Q2 2022, profitable in June

Akulaku-backed Bank Neo Commerce posted 507 billion rupiah (around US$34.1 million) in interest income for the second quarter of 2022, an over 3x jump compared to the same period last year. However, its interest expense also widened by 87% year on year to US$10.6 million.

The growth pushed the digibank toward profitability for the period, reporting US$400,000 in operating profit for June.

One of the main engines for this growth is Bank Neo Commerce’s digital lending feature, which saw a significant surge in the reported period. The firm almost doubled its loan disbursement to US$474 million for Q2 2022. The bank’s fee-based income also saw a 7x jump to US$6 million compared to the same period last year.

Since its app’s launch early last year, Bank Neo Commerce has acquired more than 18.5 million users. Total savings from those users doubled to US$747 million in Q2.

The Akulaku-backed digibank also increased its net interest margin – which is usually used to measure the profitability of a bank – to 10.16% from 7.72% in March.

See also: Akulaku-backed digibank’s dicey road to profitability