PSBANK, the thrift banking arm of the Metrobank Group, registered a net income of P3.37 billion for the first nine months of 2023, up 18 percent year-on-year.
Return on equity was higher at 11.7 percent.
The results were driven by the continuous expansion of its core businesses, primarily from growth in the auto loan portfolio, complemented by effective expense management.
Net interest income increased to P8.82 billion while revenues from net service fees and commissions rose to P1.33 billion. Operating expenses were reduced by one percent as the bank was steadfast in its productivity and operational efficiency initiatives.
The bank’s total loan portfolio grew by 12 percent year-on-year to P123 billion as of September 2023 with auto loans up 24 percent fueled by increased vehicle sales.
Asset quality remained healthy with a gross non-performing loans (NPL) ratio of 3.4 percent, better than pre-pandemic levels.
As of end 3Q, total assets amounted to P236 billion while total deposits reached P188 billion. Capital improved to P40 billion with Total Capital Adequacy Ratio and Common Equity Tier 1 Ratio at 24.6 percent and 23.7 percent, respectively, with both ratios among the highest in the industry and above the minimum level set by the Bangko Sentral ng Pilipinas.
“Despite the unpredictable headwinds, we remain focused on sustaining our strong results while we continue to innovate on products, services and processes consistent with our commitment to deliver effortless banking to our customers,” President Jose Vicente L. Alde said.
For the third time, PSBank was conferred the Golden Arrow Award by the Institute of Corporate Directors (ICD) through the Asean Corporate Governance Scorecard (ACGS) for its excellence in corporate governance.
The bank was also recently recognized by the Social Security System (SSS) as the “2023 Balikat ng Bayan Best Disbursement Partner- Thrift Bank Category.” (PR)