MANILA, Philippines (UPDATE) - The Bank of Philippine Islands posted a net income of P16.3 billion in 2012. This is 27% higher than the net income of P12.8 billion in 2011.
“2012 was a banner year for BPI, as we generated record profits and exceeded our return on equity goal of 16%. We will aim for 12 to 15% loan growth in 2013. However, given significant securities trading gains last year and an even lower interest rate regime this year, our challenge for 2013 will be to deliver a meaningful earnings growth after a record 2012 performance," BPI President and CEO Aurelio R. Montinola III said.
BPI said total resources stood at P985 billion, 17% higher than the previous year. Deposits grew by 18% to P802 billion, while assets under management went up 11% to P743 billion, bringing total intermediated funds to P1.5 trillion.
The bank's net loan portfolio increased by 16% to P527 billion, as all markets sustained double digit growths. BPI's 30-day NPL ratio fell to 1.46% from last year’s 1.87%.
BPI said net interest income rose by 6% as the average asset base went up by P64 billion. Non-interest income grew by 25% on higher trading gains and other operating income.
BPI, a unit of conglomerate Ayala Corp and partly owned by Southeast Asia's largest lender DBS Group, is the country's biggest lender by market value.