PBCOM's third quarter net income up 23.5% from previous year

PBCOM's third quarter net income up 23.5% from previous year

Philippine Bank of Communications (PBCOM) posted an Operating Income of P1.8 Billion on the back of higher income from recurring business activities.

Net Interest Income in the first half of 2016 improved to P1.2 Billion or 6.3% higher compared to last year as the bank expanded its Securities and Loan portfolios by P5.2 Billion and P4.8 Billion, respectively. The headway in the bank’s CASA to Total Deposit ratio broadened the decline in interest and finance charges on deposit liabilities by 2.2% or P10.2 Million.

Income from Trading activities grew to P62.1 Million, a 538.8% increase from a loss of P14.2 Million during the first half of 2015. Gain from Foreign Exchange transactions also reported a positive growth of 51.7%.

Operating Expense increased marginally at 4.2% despite the double digit growth in core banking activities.

The advancement in lending and trading activities was further supported by the third equity infusion of the PG Holdings, Inc. amounting to P1.4 Billion on June 29, 2016. The additional capital was injected ahead of its September 2016 schedule.

The Bank’s financial performance in the first six months of 2015 contains a P94.6 Million in Fair Value Gain under Other Income and its corresponding deferred tax provision of P28.4 Million. Excluding these two items, Operating Income would have improved by 7.0% or P114.2 Million and Net Income by P40.6 Million or 235.0% growth in the first half of 2016.

PBCOM’s focus to build up its core businesses has shown improving trends. The Bank has demonstrated consistent strengthening in its financial standing and will continue its efforts to deliver optimum value to its stakeholders.