BDO Leasing and Finance Inc. (BLFI) said it is targeting a P575-million net income this year on the back of strong performance and business expansion in the provinces.
BLFI Vice Chairman and President Roberto Lapid announced during its stockholders meeting that the company’s net income targetof P575 million for the year will be achieved “on higher business volumes as the company taps more businesses in key provinces.”
Lapid said the expansion to the provinces will be funded by “the increase in its planned STCP (Short-Term Commercial Papers) license from P15 billion to P25 billion.”
The targets were set after the company recorded higher net income last year, which increased by 20 percent to P504 million from P420 million in 2013. The increase in 2014 profits was due to the strong lease and loan portfolio reaching P23.6 billion, coming from key industries such as construction, real estate, mining and health care.
The company said full year strong performance was also attributable to its extensive access to the middle market and consumer lending loans.
BLFI grew more confident in achieving the 2015 target as its net income for the first three months of the year went up by 7 percent to P129.7 million from P121.4 million in 2013 as its revenues advanced by 14 percent to P605.9 million from P533.8 million.
In the first quarter, the company grew its loan and lease portfolio by 9 percent to P24.2 billion from P22.2 billion the previous year.
Incorporated in 1981, BDO Leasing is a listed unit of BDO Unibank, in charge of the group’s leasing and financing unit.