Philippine National Bank (PNB) more than doubled its first-quarter net income from a year earlier on substantial improvements in its core and non-recurring revenues.
In a disclosure to Philippine Stock Exchange on Thursday, the bank net income totaled P2.6 billion in the first three months of 2016, surging 116 percent from P1.2 billion a year earlier.
PNB reported its income from core businesses continued to show progress.
Net interest income increased by 12 percent year-on-year, on the back of an 18-percent growth in loan portfolio and improvement in loan-to-deposit ratio at 71 percent from 69 percent.
Net service fees and commission income combined with net insurance premiums rose by 22 percent, driven mainly by increases in loan and trade transactions.
The bank also benefited from favorable market conditions, achieving a 50-percent growth in trading and foreign exchange gains.
Net gains from the sale of assets also grew substantially, following major disposals of foreclosed assets in line with the bank’s ongoing efforts to reduce non-earning assets.
Collections of non-performing assets increased the bank’s miscellaneous income.
As of end-March 2016, its total consolidated resources stood at P699.1 billion, up P78.5 billion or 12.6 percent.
The bank said it continued to improve its asset quality, with net non-performing loans (NPL) ratio slipping to 0.26 percent from 0.64 percent.