UCPB earns P1.8 B in H1
Increased demand for consumer loans amid the country’s sustained economic growth as well as higher trading gains boosted the net income of United Coconut Planters Bank (UCPB) by 41.6 percent in the first half.
Jeronimo Kilayco, president and CEO of UCPB, said earnings of the bank amounted to P1.79 billion from January to June, P528 million than the P1.27 billion recorded in the same period last year.
“UCPB is capitalizing on the country’s sustained economic growth, which has led to a strong demand from corporate and retail borrowers. The banking industry in general has seen its loan portfolio grow steadily in the past months,” Kilayco said.
Kilayko said the bank’s loan portfolio jumped 21 percent to P138.6 billion with consumer loans surging 29 percent due to growing demand for real estate and auto loans.
“The continued growth of our consumer loans augurs well for the bank. Not only does it improve our loan interest spread but it also increases the level of our collateralized loans,” he added.
Net interest income rose 15 percent to P4.7 billion in the first semester of the year while non-interest income grew 16 percent to P1.4 billion.
Total deposits increased 14 percent to P165 billion and continued to fund consumer loans.
UCPB reported its income from trading and securities jumped 34 percent, while gain from disposal of real and other properties acquired surged 48 percent.
During the period, the bank’s total operating income went up 15 percent, while operating expenses inched up six percent.
For over 50 years, UCPB has been a leading provider of financial products and services, delivering a full range of expanded commercial banking services to a highly diversified clientele.
Last March, UCPB was placed under the supervision of the Governance Commission for Government Owned or Controlled Corporations (GCG) pending its long overdue privatization.
Under its supervision, GCG said UCPB would undergo a two-year transition period since it has long been operating as a private corporation.