spot_img
27.6 C
Philippines
Friday, March 29, 2024

PBCom’s earnings rose 464% in 1st half

- Advertisement -

Philippine Bank of Communications, the country’s 19th-largest lender in terms of assets, said Monday net income in the first half jumped 464 percent to P326.5 million from P57.871 million a year ago.

PBCom in a disclosure to the stock exchange noted an improvement in operating income, which increased 14.6 percent or P256 million year-on-year.

Net interest income, excluding one-off items, grew P91.1 million, driven by the growth in the loan and securities portfolios and the continued progress in the bank’s funding cost structure as low-cost deposit to total deposit ratio improved to 37.1 percent.

Net interest margin remained at 4.34 percent. Non-interest income improved 13.5 percent to P603.4 million, with registered growth in fees and commissions, rental, foreign exchange gains and gains from asset sale.

“This resulted in the return on asset improving to 0.73 percent from 0.14 percent for comparative figure in 2016,” it said.

- Advertisement -

The bank’s continuing focus to manage cost through streamlined operations kept operating expenses relatively flat compared to the first half 2016. Cost to income ratio decreased from 90.2 percent to 78.8 percent as the bank’s initiatives to further increase operational efficiencies continued to bear fruit.

Total assets reached P91.8 billion, up 6.1 percent or P5.3 billion over the end-December 2016 level, buoyed by the growth in loans and securities portfolio by P1.4 billion and P3.7 billion, respectively.

Growth in lending and trading activities was supported by an increase in the bank’s deposits and deposit substitutes, which expanded by P4.5 billion.

Total capital as of the first half ended at P11.1 billion and capitalization ratios remained above regulatory requirements as the capital adequacy ratio stood at 14.83 period for the period.

- Advertisement -

LATEST NEWS

Popular Articles