PSBank income up 13.8% in 2019
PHILIPPINE SAVINGS Bank’s (PSBank) net profit jumped in 2019 supported by higher operating income and core net interest margin.
In a filing with the local bourse, PSBank said its net income grew 13.8% year on year to P3.03 billion in 2019 from P2.66 billion the previous year.
Meanwhile, revenues inched up by 2.8% to P14.6 billion from P14.2 billion in 2018.
“The bank’s profits came from the growth of both its core net interest margin and other operating income, supplemented by upsides from operating efficiencies,” the thrift unit of Metropolitan Bank & Trust Co. said in a statement.
Return on equity stood at 10.3%, while return on assets was at 1.3%.
Meanwhile, operating expenses, excluding provisions for impairment and credit losses, slipped by 2.8% to P256.89 million in 2019.
“The bank’s strategy on core growth brought positive results despite the volatile environment in 2019. Challenges were met head on, reinforced by significant contributions from all the bank’s business units,” PSBank President Jose Vicente L. Alde said in the statement.
The lender’s total loan book rose by 4.7% to P164.11 billion buoyed by the consumer loan segment. PSBank said its non-performing loan (NPL) ratio improved to 3.6% from 4.2% in 2018, despite an increase in risk assets.
The bank’s capital adequacy ratio stood at 17.8%, while its common equity Tier 1 ratio was at 16.8%, both well above the regulatory minimum.
On the other hand, total resources dipped 5.4% year on year to P224.91 billion.
Likewise, total deposits dropped 14% to P172.51 billion as the lender rebalanced “its funding mix to focus on retail and alternative sources,” it said.
Meanwhile, total equity climbed by 41.3% to P34.46 billion.
PSBank currently has 250 branches and 557 automated teller machines nationwide.
In July last year, the thrift lender raised P6.3 billion from the issuance of two-year peso fixed-rate bonds with a yield of 5.6% per annum.
PSBank’s shares ended trading at P50.40 apiece on Tuesday, up by 40 centavos or 0.8% from its previous finish. — Luz Wendy T. Noble
