MANILA, Philippines - Philippine Savings Bank reported a 21 percent drop in its net income in 2014.
In a statement, Metrobank's thrift bank arm said its net income fell to P2.3 billion for 2014. Unlike 2014, the bank said the 2013 net income had included a one-off extraordinary income from the sale of investment portfolio.
PSBank noted its core margins grew by 15 percent year-on-year, driven by its consumer loan portfolio, mostly coming from Auto and Mortgage loans.
"Our continuing focus on core asset expansion is giving us good results. The increase in our net interest income and fee-based revenues are very solid indicators of sustainability and quality growth. Our retail lending business led by auto and mortgage loans, supported by an increasing deposit customer base, provides a good foundation for core-growth in the coming years," PSBank President Vicente R. Cuna Jr. said.
PSBank’s 2014 capital base stood at P17.7 billion with a Total Capital Adequacy Ratio and Tier 1 ratio of 19.6% and 13.3%, respectively. Return on capital was at 13.6%.
Asset quality indicators improved with Net Non-Performing Loan (NPL) ratio at 0.5% and NPL coverage of 98.2%.
PSBank’s total resources ended 2014 with P145.6 billion.