Philippine Savings Bank (PSBank), the thrift bank arm of the Metrobank group, on Wednesday said net income in the first quarter benefitted largely from the continued expansion of core businesses.
In a disclosure to Philippine Stock Exchange, the bank said it recorded a 12-percent increase in net income to P434.8 million as of in January to March, up from P387.1 million in the same period last year.
Total loan portfolio posted a double-digit growth, mainly driven by auto and mortgage loans.
Total loans amounted to P118.0 billion, up 14 percent from P103.6 billion in the same comparable period.
The lender’s deposit base rose by 24 percent at P136.6 billion from P110.6 billion, with low cost funds increasing by 21 percent.
Core revenues, composed of net interest margin and fee income, went up 11 percent year-on-year.
Despite the expansion in loans, PSBank said its non-performing loans (NPL) remained in check, with an NPL ratio of 1.1 percent.
The bank’s capital adequacy ratio – a measure of a financial strength – stood at 15 percent, well-above the Bangko Sentral ng Pilipinas’ 10-percent minimum requirement. Common Equity Tier 1 ratio was at 11.9 percent.
As of end-March, the bank said total assets grew by 25 percent at P175.1 billion from P139.7 billion. It has 255 branches and 625 automated teller machines nationwide.
“As early as the first quarter of the year, we provided the necessary boost in growing our core retail businesses. And we plan to further grow by offering new products that cater to our customers’ banking needs through targeted cross-selling campaigns throughout the year,” said PSBank President Vicente Cuna Jr.
He said the bank remained steadfast in providing excellent customer experience, based on the belief that banking entails more than just lending and deposit-taking.
“We know that understanding our clients well has a long-term positive effect to the bank,” Cuna added.