Philippine Business Bank books higher Q1 net income on growth across sectors

PHILIPPINE Business Bank (PBB) saw its net income rise in the first quarter of the year on the back of improved earnings across its business segments.

In a statement to the local bourse on Thursday, the Yao-led PBB said it booked a net income of P181.3 million in the January-March period, 13.5% higher than the P159.7 million it tallied in the same period last year.

PBB booked a net interest income of P879.1 million in the first three months of the year, rising by 28.8% from the P682.7 million logged in a comparable year-ago period.

Total loans and receivables ended at P73.9 billion for first quarter, 33.4% higher versus P55.4 billion year-onyear. Its non-performing loans ratio, on the other hand, improved to 2.28% last quarter from last year’s 2.47%.

PBB’s total deposits ended at P74 billion in the said period, up 24.4% from the figure posted last year.

Low- cost funds expanded by 17.6% to P29.4 billion from last year’s P25 billion. Time deposits also grew 29.3% to P44.6 billion from the P34.5 billion posted in the same period in 2017.

Overall, PBB’s core income doubled in the three months ending March to P329.8 million from the P155.7 million the lender reported in the same period last year.

Total assets reached P88.4 billion in the first quarter, up 20.6%

“Following the streamlining of our account management teams in 2016, the bank has seen a sustained growth in risk assets. The bank’s balance sheet has been shifted to respond to strong loan demand underscoring the continued economic expansion all over the country,” PBB President and Chief Executive Officer Rolando R. Avante was quoted as saying in the statement.

“The bank continues to expand its capabilities and reach as we put up more branches. PBB remains steadfast in its commitment to become the banking partner of choice of small and medium entrepreneurs throughout the country.”

In February, PBB told the Philippine Stock Exchange that it is planning to raise up to P10 billion by selling long-term negotiable certificates of deposit as it will allow the lender “to capitalize on attractive lending opportunities as the Philippine economy continues to expand.”

According to the latest central bank data, PBB was the fifth-biggest thrift bank in the country in asset terms as of end-2017.

Shares of PBB ended flat on Thursday priced at P12.20 apiece.