PNB profit more than doubles in Q1

MANILA, Philippines - Philippine National Bank (PNB) more than doubled its net earnings in the first three months of 2016 to P2.6 billion from P1.2 billion in the same period last year.

“The robust first quarter performance was driven by substantial improvements in both core and non-recurring revenues,” the Lucio Tan-owned bank said in a statement.

Income from core businesses continued to show progress as net interest income increased 12 percent year-on-year on the back of an 18-percent growth in loan portfolio and improvement in loan-to-deposit ratio to 71 percent from 69 percent a year ago.

Net service fees and commission income, combined with net insurance premiums, rose 22 percent, driven mainly increases in loan and trade transactions.

PNB benefited from favorable market conditions, achieving a 50-percent growth in trading and foreign exchange gains. Net gains from sale of assets also grew substantially following major disposals of foreclosed assets, in line with the bank’s continued efforts to reduce non-earning assets.

Likewise, collections of non-performing assets augmented the bank’s miscellaneous income.

Total deposits stood at P479.9 billion as of end-March while total loan portfolio reached at P349.4 billion.

PNB’s total consolidated resources stood at P699.1 billion, up 12.6 percent from the year-ago level.

As of March 31, 2016, PNB had a total of 669 branches and 954 automated teller machine (ATMs) strategically located nationwide. It likewise boasts of having the most extensive international footprint across Asia, Europe, Middle East, and North America with 70 overseas branches and offices among Philippine banks.