PT CIMB Niaga Auto Finance “CNAF”
We maintain a stable outlook on CNAF, underpinned by strong support from CIMB Niaga, whose integrated funding and distribution ecosystem continues to reinforce the Company’s business resilience. While elevated funding costs and narrowing margins remain a drag on profitability, CNAF continues to demonstrate sound asset quality, solid capitalization, and ample liquidity. The Company’s growing focus on used car financing, alongside an expanding market share and managed assets, provides greater resilience amid softer automotive demand and weakening consumer purchasing power. Nevertheless, prolonged macroeconomic uncertainty, persistently high funding costs, and slower financing demand are expected to keep earnings growth under pressure in the near term, although CNAF’s strong parent support and prudent risk management should help cushion downside risks.