PNB thrift unit earns 27% more

MANILA, Philippines - The consumer banking arm of listed Philippine National Bank (PNB) recorded a 27 percent increase in net income, driven by the sustained expansion of core business, consumer loans and deposits.

Earnings of PNB Savings Bank reached P233 million from January to June, P50 million higher than the P183 million recorded in the same period last year.

 “We continue to innovate our products and services, incorporating practical and smart features, and value-added benefits that elevate the whole customer experience and maintain profitability,” PNB Savings Bank president Joven Hernandez said.

PNB said its net interest income jumped 43 percent amid the sustained growth in consumer and business loan bookings.

The bank’s loan book zoomed 61 percent to P37.83 billion in the first half while total deposits surged 73 percent to P31.12 billion.

The Tan-led bank launched several notable product innovations including the PNB Savings Bank Power Saver Account, PNB Savings Bank Smart Auto Loan and Home Loan Plus in the first half of the year.

PNB Savings Bank Power Saver Account is a tiered, high-interest earning savings account that is bundled with free value-added benefits like life and accidental death insurance and telemedicine services. The additional services are available for Power Saver accounts with a minimum average daily balance of only P25,000.

PNB Savings Bank Smart Auto Loan and Home Loan Plus are value-added services extended by the Bank to its auto loan and home loan clients. The products take away the hassle in processing required paper work upon maturity of auto loans, cancellation of chattel mortgage, cancellation of real-estate mortgage, or payment of annual real property taxes.

The bank has 55 branches strategically located nationwide and intends to open 20 more branches to expand its footprint to at least 75 by end of 2017.

It is the country’s third largest thrift bank with a capital base of P11.58 billion. The bank’s capital adequacy ratio of 28.31 percent is way above the 10 percent minimum requirement imposed by the Bangko Sentral ng Pilipinas.