PBCOM posts Q2 2014 earnings
MAKATI CITY, 14 August 2014 – The Philippine Bank of Communications (PBCOM) today reported a net income of P153.057 Million for the second quarter of 2014. This reflects a 300% quarter over quarter growth in earnings, compared to the Bank’s Q1 net income of P37.377 Million. Year to date, PBCOM has posted a total net income of P190.434 Million, which represents a 44.5% reduction in total operating income versus first half of 2013, driven primarily by the absence of trading income opportunities and a reduction in interest income brought about by the Bank’s March 2014 exit from its Financial Assistance Agreement (FAA) with the Philippine Deposit Insurance Corporation (PDIC).
“Our core lines of business registered strong growth in the first half of this year,” shared Nina D. Aguas, PBCOM President & CEO. “Our core operating income grew by 37.6% over the first half of 2013. This has allowed us to continue to deliver positive results, despite market conditions that impacted trading gains and our recent exit from our FAA with the PDIC.”
In March of this year, PBCOM settled all of its obligations with the PDIC, amounting to P7.6Billion, thus ending its 10-year FAA with the PDIC.
“The second quarter of this year is the first in ten years where PBCOM has operated without support from PDIC. Through efforts to grow our deposit base and loan portfolio, we were able to restore our balance sheet to year-end 2013 levels, following our repayment to PDIC in March,” Aguas added. PBCOM’s Deposit Liabilities grew 10% over year end 2013, while its Loans Receivables grew by 16%.
PBCOM closed the second quarter of 2014 with a capital adequacy ratio (CAR) of 12.02%.