BANK OF MAKATI (A Savings Bank), Inc. (BMI) netted P507 million in the first three months of the year buoyed by loans for motorcycles and by small businesses.
In a statement on Monday, the thrift bank said it booked a P507.062-million net income in the first quarter.
BMI President Luis M. Chua said motorcycle loans supported the bank’s income “growth” during the January-March period.
“Motorcycle loans continued to be a main driver of our growth during the first quarter of the year,” Mr. Chua was quoted as saying in the statement.
“At the same time, more entrepreneurs have availed of our financing products designed to help micro, small and medium enterprises grow and succeed.”
BMI booked P1.636 billion in interest income during the said period, of which loans and receivables accounted for P1.592 billion.
As of March, BMI posted about P22.942 billion in net loans and receivables.
Following its first-quarter performance, BMI said it is set to hit its P1.725-billion profit guidance this year.
“Our first quarter performance puts us on track of achieving our target of growing exponentially to serve more Filipino savers and entrepreneurs,” Mr. Chua said.
“We are working to maintain the momentum, which could allow us to breach the P2-billion mark.”
Overall, BMI maintained a “strong” balance sheet in the first quarter of the year, with its total assets amounting to P31.341 billion, 3% higher than the P30.4 billion logged in the fourth quarter of the year.
Meanwhile, its non-performing loans stood at 8.58%, while its capital adequacy ratio was at 18.29%. BMI’s return on equity was at 29.35% during the period.
Latest data from the Bangko Sentral ng Pilipinas showed BMI was the ninth largest thrift bank in the country in asset terms at end-March. It was also the third-biggest standalone thrift lender.
Currently, the bank has 62 branches nationwide, catering mostly to Filipino savers, motorcycle buyers and small businesses. Its network is boosted by the 703 branches of Motortrade which serve as collection agents.
BMI said in March it wants to open “about 40” branch-lite offices this year to tap the unbanked and underserved Filipinos in rural areas. — K.A.N. Vidal