COL posts slightly lower earnings in H1

MANILA, Philippines — COL Financial Group Inc. (COL), the listed online stock brokerage firm, reported a net income of P314.3 million in the first half, slightly lower than the same period last year.

In the second quarter alone, earnings increased 17.1 percent to P133.9 million.

Consolidated revenue reached P275.8 million, up by 10.5 percent year-on-year, largely driven by higher interest income and trailer fees.

Interest income jumped by 53.5 percent to P147.9 million due to higher rates and proactive cash management. COL also benefited from the increased utilization of its margin lending facility.

Trailer fees from the mutual fund distribution business, meanwhile, grew 23.2 percent to P4.4 million as the value of COL’s assets under administration increased by 25 percent.

On the other hand, commission revenue slipped 14.6 percent to P123 million as COL’s share of the value of transactions in the Philippine Stock Exchange (PSE) returned to 5.1 percent, after briefly climbing to as high as 9.2 percent early last year due to heightened speculation on possible third telco plays.

“The drop in market share was also influenced by market dynamics as foreign flows dominated activity, specifically among big-cap issues.  Nevertheless, COL still ended the first half as the fifth largest stockbroker in the PSE,” COL said.

COL said its client base and equity expanded. As of end of June,  COL’s client base grew 14.5 percent to over 313,000 while client equity expanded by around 12 percent to P78.7 billion.

Moreover, the number of clients who bought mutual funds through COL Fund Source grew by 22.2 percent to 39,880.

Moving forward, COL said it would focus on helping clients navigate the challenging stock market environment.

“This year, we focused on providing our clients with more guidance so we can help them become better investors, especially amid the tough market conditions recently,” he said.

COL noted that its client base and equity expanded. As of end-June 2019, COL’s client base grew 14.5 percent to over 313,000 while client equity expanded by around 12 percent to P78.7 billion.

Moreover, the number of clients who bought mutual funds through COL Fund Source grew by 22.2 percent to 39,880.

Investor base is seeing consistent growth, as COL continues to lure investors to the benefits of investing in mutual funds as an alternative or a complement to stock investing.