STATE-RUN Land Bank of the Philippines, the third-largest lender in terms of assets, said net income in the first half of 2016 grew 3 percent to P7.4 billion from P7.2 billion a year ago on the strength of its core businesses.
The bank said in a statement Friday the first six months’ performance was 10 percent higher than the bank’s semestral income target of P6.7 billion.
Cecilia Borromeo, who will serve as officer-in-charge of the bank effective Aug. 1 succeeding Gilda Pico, attributed the increase in income mainly to the steady growth in its loan portfolio. Revenues from loans jumped 16 percent as the bank’s gross loan portfolio rose to P490.6 billion from P414 billion in June 2015.
Return on equity as of end-June was at 16.5 percent while net interest margin stood at 3.38 percent, both above latest industry averages.
The bank’s total assets increased significantly by 18 percent to P1.3 trillion from P1.1 trillion in June 2015. Total deposits increased to P1.1 trillion, up 18 percent from P954.3 billion in June last year.
Total capital, meanwhile, stood at P89.5 billion, 20 percent higher than P74.6 billion for the same period last year.
LandBank is the only universal bank present in all provinces of the country with its nationwide network of 362 branches and 1,568 automated teller machines. These are complemented by 24 other banking offices across the country.
Borromeo has 27 solid years of banking experience. Before her appointment as OIC, she led LandBank’s agricultural and development lending sector, which spearheads the delivery of financial services for farmers organizations, micro, small and medium enterprises, local government units, GOCCs, corporations, other financial institutions and consumer clients.
Since joining LandBank in 1989, Borromeo rose from the ranks and handled various core banking operations. She headed the bank’s institutional banking sector, treasury and investment banking, account management, global banking, credit policy and supervision.
LandBank is the leading government financial institution that carries out a development mandate anchored on promoting inclusive economic growth especially in the countryside.
On Aug. 8, LandBank will mark its 53rd year of helping its clients and stakeholders grow.
