Company Profile: Adira Finance
Background
Overview
PT Adira Dinamika Multi Finance Tbk, commonly known as Adira Finance, is a leading Indonesian multi-finance company established in 1990. Initially focusing on automotive financing, the company has diversified its services to include financing for motorcycles, heavy equipment, and consumer goods. Adira Finance is a subsidiary of PT Bank Danamon Indonesia Tbk, which holds a 92.07% stake, making it part of the MUFG Group, one of the world's largest banking groups.
Mission and Vision
Adira Finance's mission is to provide accessible and reliable financing solutions that support the growth and mobility of Indonesian society. The company's vision is to be a leading financial services provider, offering a wide range of products tailored to meet the diverse needs of its customers.
Primary Area of Focus
The company specializes in multi-financing services, including automotive financing (cars and motorcycles), heavy equipment, and consumer goods. Adira Finance also offers multipurpose loans and sharia-compliant financing options.
Industry Significance
As one of Indonesia's largest and most profitable multi-finance companies, Adira Finance plays a crucial role in the country's financial services sector. Its extensive network and diverse product offerings contribute significantly to the accessibility of financing solutions for millions of Indonesians.
Key Strategic Focus
Core Objectives
- Diversification of Services: Expanding beyond automotive financing to include consumer goods and multipurpose loans.
- Digital Transformation: Enhancing digital platforms to improve customer experience and operational efficiency.
- Financial Inclusion: Providing accessible financing solutions to a broad customer base across Indonesia.
Specific Areas of Specialization
- Automotive Financing: Offering financing for both new and used cars and motorcycles.
- Consumer Goods Financing: Providing loans for household appliances, electronics, and other consumer products.
- Multipurpose Loans: Offering flexible financing options for various personal needs.
- Sharia-Compliant Financing: Providing financing solutions that adhere to Islamic principles.
Key Technologies Utilized
- Digital Platforms: Developing and maintaining digital platforms such as the "Adiraku" mobile application to enhance customer engagement and service delivery.
- Data Analytics: Utilizing data analytics to assess credit risk and tailor financial products to customer needs.
Primary Markets Targeted
Adira Finance primarily serves the Indonesian market, catering to a diverse customer base across urban and rural areas. The company's extensive branch network and digital platforms enable it to reach a wide audience.
Financials and Funding
Funding History
Adira Finance has diversified its funding sources through:
- Joint Financing: Collaborations with its parent company, Bank Danamon, contributing to approximately 48% of managed receivables as of December 2024.
- External Loans: Securing loans from domestic and foreign banks.
- Capital Markets: Issuing bonds and sukuk to raise capital.
Total Funds Raised
As of December 2024, Adira Finance's total managed receivables amounted to IDR 55 trillion, reflecting the company's substantial capital base.
Recent Funding Rounds
In November 2022, Adira Finance acquired a 10% stake in PT Home Credit Indonesia for IDR 363 billion, enhancing its presence in the consumer financing segment.
Notable Investors
- PT Bank Danamon Indonesia Tbk: Holds a 92.07% stake in Adira Finance.
- Public Shareholders: Shares are publicly traded on the Indonesia Stock Exchange under the ticker symbol ADMF.
Intended Utilization of Capital
The capital raised is utilized for:
- Business Expansion: Funding the acquisition of new customers and expansion into new market segments.
- Digital Transformation: Investing in technology to enhance digital platforms and improve customer experience.
- Operational Efficiency: Streamlining operations to reduce costs and improve profitability.
Pipeline Development
Key Pipeline Candidates
Adira Finance is focusing on:
- Digital Financing Solutions: Developing and enhancing digital platforms to offer seamless financing experiences.
- Sharia-Compliant Products: Expanding the range of financing options that adhere to Islamic principles.
Stages of Development
These initiatives are in various stages, from conceptualization to implementation, with ongoing efforts to integrate them into the company's service offerings.
Target Conditions
The developments aim to address the growing demand for digital and sharia-compliant financing solutions in Indonesia.
Anticipated Milestones
- Digital Platform Launches: Scheduled releases of updated versions of the "Adiraku" app and other digital services.
- Product Introductions: Rollout of new sharia-compliant financing products in the coming quarters.
Technological Platform and Innovation
Proprietary Technologies
- Adiraku Mobile Application: A digital platform that allows customers to manage their financing needs conveniently.
Significant Scientific Methods
- Data Analytics: Employing advanced data analytics to assess credit risk and personalize financial products.
AI-Driven Capabilities
- Credit Scoring Models: Utilizing AI to develop sophisticated credit scoring models that enhance decision-making processes.
Leadership Team
Executive Profiles
- Dewa Made Susila: President Director with extensive experience in the financial services industry.
- Swandajani Gunadi: Director specializing in operations and customer service.
- Niko Kurniawan Bonggowarsito: Director overseeing financial planning and analysis.
- Harry Latif: Director responsible for risk management and compliance.
- Jin Yoshida: Director focusing on strategic partnerships and business development.
- Takanori Mizuno: Director with a background in digital transformation and technology integration.
Key Contributions
The leadership team has been instrumental in:
- Strategic Expansion: Guiding the company through diversification into new financing segments.
- Digital Innovation: Spearheading the development and enhancement of digital platforms.
- Operational Excellence: Implementing strategies that have led to improved financial performance and customer satisfaction.
Leadership Changes
Recent Appointments
- Takanori Mizuno: Appointed as a new Director in May 2024, bringing expertise in digital transformation.
- Sng Seow Wah: Appointed as the new President Commissioner in May 2024.
- Congsin Congcar: Joined as a new Commissioner in May 2024.
Departures
- Daisuke Ejima: Resigned from the position of President Commissioner in May 2024.
- Eng Heng Nee Philip: Resigned from the position of Commissioner in May 2024.
Competitor Profile
Market Insights and Dynamics
The Indonesian multi-finance industry is characterized by:
- Growth Potential: Increasing demand for financing solutions driven by economic development and consumer spending.
- Competitive Landscape: Presence of both established players and new entrants offering diverse financial products.
Competitor Analysis
- Mandiri Tunas Finance: A significant competitor with a broad range of financing products.
- BCA Finance: Offers competitive financing solutions with a strong market presence.
- Emirates NBD: Provides a variety of financial services, including multi-financing options.
Strategic Collaborations and Partnerships
Adira Finance has engaged in strategic collaborations to enhance its market position:
- Equine Global Partnership: Collaborated to implement SAP Analytics Cloud for its HR department, marking a significant milestone in digital transformation.
- Home Credit Acquisition: Acquired a 10% stake in PT Home Credit Indonesia, expanding its footprint in the consumer financing segment.
