The Bank of the Philippine Islands (BPI) is still eyeing to hit the P20-billion net income goal for this year, after posting only P18 billion in net income last year.
“We are teasing the P20-billion mark this year. Last year, we missed it, we were in P18 billion [net income], but it’s a fairly large number,” BPI CFO and Head of Enterprise Services Group Joseph Gotuaco said at the BPI Trade Pinoy Milyonaryo Conference over the weekend.
He said they are tracking the volatility of their earnings and make sure that they deliver a very stable profit base.
He expects strong net interest income from loans and deposits, as well as a very strong non-interest income from fee-based businesses like remittance.
“In deposit growth and loan growth, we are seeing a very strong momentum there. In securities business, as long as the stock market and bond market are active, you’ll see us very strongly in that space,” he added
Gotuaco said the bank’s asset has grown tremendously from P800 billion in 2011 to P1.5 trillion in 2014.
Deposits were very strong, lending activity has increased and their equity base has grown, as well.
The assets that BPI manage, essentially money invested in the stock market or bond market, have posted dramatic growth.
“We are looking at crossing P650 billion, its one of the largest assets under management in the Philippines today,” he said.
“BPI’s asset under management reached P642 billion in the first quarter of 2015, from just under P600 billion in the same period last year. The fee income that we have from asset management is up around 6 percent. Business is quite good, as investors were very confident about the economy,” he told the BusinessMirror.