Robinsons Bank profit down to P842 million in 9 months

MANILA, Philippines — The profit of Robinsons Bank Corp. fell by 37 percent to P842.6 million from January to September versus last year’s P1.34 billion as its earnings slumped in the third quarter.

Based on its financial statement submitted to the Philippine Dealing and Exchange Corp. (PDEx), the Gokongwei-led bank reported a 14.1-percent decline in next interest income to P4.99 billion during the nine-month period from a year-ago level of P5.81 billion.

The bank’s interest earnings jumped by 23.6 percent to P8.68 billion from P7.02 billion due to bigger loan portfolio and improvement in loan-related activities and investment securities, while its interest expense more than tripled to P3.69 billion from P1.2 billion amid higher interest rate and volume of deposit liabilities.

Net earnings from service fees and commissions soared by 73.8 percent to P509.23 million from P292.87 million.

Robinsons Bank’s total operating income slipped by 4.6 percent to P6.16 billion from P6.46 billion, while operating expenses inched up by two percent to P4.89 billion from P4.77 billion.

Its provision for credit and impairment losses declined by 17.2 percent to P438.35 million from P529.64 million.

For the third quarter alone, the bank’s net income fell by 64.2 percent to P166.17 million from P464.34 million in the same quarter last year.

Its total operating income retreated by 5.9 percent to P1.95 billion from July to September compared to last year’s P2.08 billion, while its operating expenses went up by 11 percent to P1.65 billion from P1.49 billion.

Robinsons Bank is 60 percent and 40 percent owned by JG Summit Capital Services Corp. and Robinsons Retail Holdings Inc., respectively. Its asset base rose to P190.54 billion in end-June from P187.83 billion in end-December.

Robinsons Bank and Ayala-led Bank of the Philippine Islands aim to complete a proposed merger by January next year.