Metrobank 9-month profit surges by 45% to P23.4 billion
![Metrobank 9-month profit surges by 45% to P23.4 billion](https://media.philstar.com/photos/2022/11/04/metrobank_2022-11-04_19-18-15.jpg)
MANILA, Philippines — Metropolitan Bank & Trust Co. (Metro-bank) reported yesterday that its net income surged by 45 percent to P23.4 billion in the nine months to September as the bank expanded its lending portfolio.
In a regulatory filing, Metrobank said its profit reached P7.8 billion in the third quarter alone, jumping by nearly 80 percent from a year ago.
As the country’s second largest private lender in terms of assets, Metrobank attributed its performance in the nine-month period to a wider lending portfolio, better margins, healthy fee income, stable operating costs and lower provisions.
Metrobank president Fabian Dee said profitability improved as the bank took on opportunities with the country’s economic reopening.
“Our position of strength, and substantial reserves will enable us to continue on supporting our customers as they navigate the impact of the global external headwinds,” Dee said.
Metrobank’s net interest income rose by 10 percent to P62.1 billion from the January to September period, with net interest margin further improving to 3.5 percent.
Non-interest income was also stable on the back of a 15-percent rise in fees and charges.
On the other hand, operating expenses remained in control and stayed flat at P44.5 billion, backed by on-going efforts to improve operational efficiency, resulting in a 54.5-percent cost-to-income ratio.
The recovery in the bank’s revenues alongside stable costs led to a 20-percent rise in pre-provisioning profit to P37.7 billion.
Metrobank’s non-performing loan (NPL) remained manageable at 2.1 percent, still below the industry’s average 3.6 percent NPL ratio.
The bank recorded a 12-percent increase in total loans to P1.4 trillion, fueled by a 15-percent growth in corporate and commercial lending and 22-percent increase in gross credit card receivables.
Likewise, total deposits grew by 11 percent to P2 trillion as current account and savings account deposits climbed by five percent to P1.5 trillion.
The bank’s assets stood at P2.7 trillion, while total equity amounted to P308.9 billion.
Its balance sheet remains strong with capital adequacy ratio standing at 17.2 percent and common equity Tier 1 at 16.3 percent, both above the minimum requirement of the central bank.
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