Recently listed Philippine Business Bank (PBB) more than doubled its first-half net income as it expanded its loan portfolio, among other things.
In a filing with the Philippine Stock Exchange, PBB disclosed that it registered a net income of P794 million, which is up 60 percent from the P497 million it earned in the same period last year.
PBB attributed its strong financial performance to the favorable treasury market, as well to growth of its loan portfolio.
Rolando Avante, PBB president and chief executive officer, also said that the increase in its earnings was driven by broad-based improvement in almost all areas of the company.
“We are very happy with the progress we made in growing the loan portfolio. We believe our recent strategies of entering nearby, high-end growth markets, like the SMEs [small and medium enterprises]and building quality local teams—through our branches, in those markets, along with continued improvement in our legacy markets, has begun to make an impact on our ability to grow loans on a more sustainable basis,” he added.
The lending business volume of the bank also grew by 24 percent for the first six months, earning approximately P26 billion from the P21 billion it earned in the same period last year.
PBB also said that its total deposits increased to P33 billion from P26.4 billion.
The bank is set to open nine branches in key cities in the third quarter of this year, and another six to close the year with 100 branches.
Total capital adequacy ratio (CAR) of PBB remained well above the regulatory limit at 25.4 percent and Tier 1 CAR at 24.88 percent.