The Land Bank of the Philippines said it is on track toward steady growth this year with a first-quarter net income reflecting double-digit growth on higher loan portfolio despite conservative income gains from investment.
In a statement on Wednesday, the state-owned lender said net income in the first three months of the year expanded to P4.14 billion, up 15 percent from P3.6 billion registered in March 2015.
This was also 23 percent higher than the bank’s year-to-date target of P3.38 billion.
Interest income on loans rose by 20 percent, as the gross loan portfolio grew to P464.8 billion from P398 billion year-one-year.
“We are well-positioned for sustained growth this year as we continue to boost revenue and manage expenses in order to further drive support to our priority sectors, foremost to farmers and fishers, microenterprises and SMEs [small and medium enterprises], agribusiness and other development players,” LandBank President and Chief Executive Officer Gilda Pico said.
Return on equity was at 17.03 percent while net interest margin stood at 3.14 percent.
Total assets expanded by 22 percent to P1.28 trillion from P1.05 trillion.
Total deposits rose to P1.14 trillion, up 25 percent from 911.4 billion, while capital expanded by 24 percent to P90.12 billion.
As of end-March, LandBank has a nationwide network of 361 branches and 1,526 automated teller machines.
These are complemented by 24 other banking offices across the country.
LandBank claimed that it remains the biggest credit provider to small farmers and fishers, and local government units, as well as the biggest lender to microenterprises and SMEs among government financial institutions.