PCI Leasing posts higher profits

PCI Leasing & Finance, Inc. posted a hefty 52 percent increase in net profits in 2002 on the back of steady growth in its business operations and revenues, maintaining its position as the largest and most profitable leasing and finance company in the country.

Despite the slow economy and general economic uncertainty around the world last year, profits of the publicly listed unit of Equitable PCI Bank rose to P307 million from P201 million the year before, said company president and CEO Rene Buenaventura.

Total resources rose 13 percent to P4.2 billion and revenues were up four percent to P576 million.

"This creditable performance was made possible by our expanded marketing efforts for products and services, our improved efficiencies in operations and our more aggressive bank-branch-referral system," Buenaventura said, speaking at the company’s annual shareholders meeting.

"Timely implementation of this referral system to maximize business opportunities from the bank considerably enhanced PCI Leasing’s market visibility and allowed us to bolster our market share," he told stockholders.

Buenaventura said, "We continued to improve and expand the range of our products and services and we have been unstinting in our marketing efforts not only to generate more business from old clients but also to reach and tap new clients. This has paid off in terms of a larger and growing client base last year."

A key part of its growth strategy, staying at the cutting edge of technology, was achieved in 2002 with the upgrading of its local area network and computer systems. This freed people for other strategic tasks and increased efficiency of operations.

Similarly, through a productivity and improvement committee, the company continued to streamline operations. While boosting productivity and efficiency in key departments PCI Leasing managed to cut operating expenses by 13 percent last year.

As testament to its high standing in the financial community, the company last year had its credit rating upgraded to PRS 1- for its short term CPs and thus continued to have both the highest approved ceiling and highest rating among leasing and finance companies.

Anticipating stiffer competition and a more challenging business environment in the period ahead, the leasing company is adopting a strategy "that is highly focused on defending our business and securing our advantages over competition," said Buenaventura, who steered the company into market leadership in the last decade.