PSBank books record net income of P4.5B

PHILIPPINE Savings Bank (PSBank), the thrift banking unit of the Metrobank Group, on Monday reported earning an all-time high of P4.53 billion last year, 23 percent more than the P3.68 billion posted in 2022.

PSBank said the “strong financial performance” translated to a return on equity of 11.7 percent. It was attributed to the double-digit improvement in loans, higher investment revenues and reduced expenses.

“This significant milestone was a result of [the] teamwork and steadfast commitment of PSBankers in delivering effortless banking to our clients and stakeholders,” bank President Jose Vicente Alde said in a statement.

PSBank is keen on capitalizing on this momentum to widen coverage, provide new product offerings, and “further invest in technology to level up the customer experience in the succeeding years, ”he added.

The bank closed 2023 with a net interest income of P11.83 billion, up 7.0 percent year-on-year. This was complemented by a 1.0-percent dip in operating expenses due to the company’s “cost optimization efforts.”

Gross loan portfolio, meanwhile, grew 12 percent to P125 billion from P112 billion, with auto loans climbing 24 percent due to higher vehicle demand.

“Despite the increase in the bank’s loan portfolio, [the] gross non-performing loans ratio decreased year-on-year from 3.5 percent to 3.3 percent at the end of 2023, indicating better credit quality, ”PSBank said.

Total assets as of end-December of last year amounted to P238 billion, while total deposits reached P190 billion.

Capital stood at P40 billion, the bank said, adding that the total capital adequacy ratio and common equity tier 1 ratio settled at a “sturdy level” of 24.5 percent and 23.6 percent, respectively.

“The capital ratios are above the minimum levels set by the Bangko Sentral ng Pilipinas and among the highest in the industry,” it noted.

PS Bank’s Monday share price fell by P1.00 to P54.