Sterling Bank income returns to positive zone

MANILA, Philippines - Thrift bank Sterling Bank of Asia has posted net income of P47 million in the first quarter of the year, reversing a P49 million net loss recorded in the same period last year.

Gains came from substantial improvements in net interest margin, which grew 121 percent to P186 million, and fee-based income growing by 387 percent to P77 million.

Sterling Bank president Lamberto Villena said the bank’s growth was driven by expansion of its loan portfolio as well as improvements in trading income, commissions and fees. 

“Efforts to generate operating funds and transactional deposits will be intensified through the bank’s cash management services. We will give more focus and provide support to personal loans and second-hand auto financing since these could provide better yields,” Villena added.

Total assets reached P17.1 billion, up by 45 percent. Total earning assets expanded 44 percent to P15.7 billion, while deposits grew by 42 percent to P15.2 billion.

Last year, the bank acquired Centennial Savings Bank (CSB). Some of CSB’s branches have been relocated to more strategic areas to align them with Sterling Bank’s overall distribution strategy.