MANILA (PNA) —Net income of Security Bank Corp. rose to a record-high of P8.55 billion in 2016 on strong loan growth, up 10.3 percent from P7.75 billion the previous year.
In a statement Wednesday, the bank said total loans and investments in corporate bonds rose 25 percent to P317 billion.
Corporate, commercial and retail customer loans went up 20 percent to P289 billion. It was driven by the 56 percent expansion of total consumer loans followed by the 20 percent increase of corporate and commercial loans.
But credit card receivables contracted by five percent after the sale of the Diners Club franchise.
Deposits expanded by 20 percent to P347 billion, boosted by the 20 percent rise in low-cost deposits.
Non-performing loan (NPL) ratio stood at 0.44 percent, among the lowest in the industry, while NPL reserve cover stood at 170 percent.
For last quarter of 2016 alone, net income rose 18 percent to P1.9 billion, buoyed by the 30 percent rise in net interest income to P4.4 billion.
Security Bank President and Chief Executive Officer Alfonso L. Salcedo Jr. said their 2016 performance showed “steady progress in our core recurring income.”
He said rise in net interest income countered the lower trading gains.
“Our loans and deposits are growing robustly. Our asset quality and cost-to-income ratio are in good shape. We continue to invest in growing the business,” he added.