PSBank earnings double to P1.84 billion

MANILA, Philippines — Earnings of Philippine Savings Bank (PSBank) more than doubled to P1.84 billion in the first half of the year from P879.5 million in the same period last year, propelled by continuous improvement in loan portfolio quality, expansion of revenues from other operating income, and controlled operating expense.

PSBank president Jose Vicente Alde said the bank observed a significant increase in consumer lending activity during the first semester.

“The bank remains optimistic that this can be sustained for the remainder of the year despite ongoing geopolitical events and other external factors. We will continue to be proactive in our strategy to adapt to the changing market conditions with our focus on productivity, operational discipline, innovation, and customer experience,” Alde said.

The Philippines booked a stronger-than-expected gross domestic product (GDP) growth of 8.3 percent in the first quarter of the year after emerging from a pandemic-induced recession with a 5.7 percent expansion last year from a 9.6 percent contraction in 2020.

“As the economy grows, we expect increased business opportunities, and the bank is well-prepared to provide the banking needs of consumers,” Alde added.

The net interest income of the thrift banking arm of Metropolitan Bank & Trust Co. (Metrobank) jumped to P5.45 billion in the first half, while net service fees and commissions grew by 13 percent.

Likewise, revenues in other non-interest income lines more than doubled in the first semester.

“These were driven by increased business activities from the opening up of the economy, and further relaxation of mobility restrictions,” PSBank said.

The country’s largest thrift bank, owned by the family of the late taipan George SK Ty, said the growth in operating expenses remained under control at three percent as the bank continues its productivity and operational efficiency initiatives.