THE Land Bank of the Philippines Inc. (LandBank) said its net income rose by more than a third to a record-high of P30.1 billion last year from P21.7 billion in 2021.
LandBank said it was the first time in the bank’s history that its annual total net income breached the P30-billion level.
The state-run lender attributed the 38.2 percent year-on-year increase in its net income to “substantial interest income from loans and investments, alongside earnings from fees, commissions and foreign exchange, among other income sources.”
“[Our] strong performance in 2022 represents another milestone year, with a solid balance sheet that continues to overcome external headwinds and yield sustainable growth,” LandBank President and CEO Cecilia Borromeo was quoted in a statement as saying.
“We look forward to a more favorable economic environment this year, as we take on a more prominent role in nation-building as a development institution,” Borromeo said in the statement issued last Sunday.
LandBank’s total assets grew by 21.5 percent to P3.1 trillion last year from 2.1 trillion in 2021 driven by expansion in its deposits. Total deposits of the bank last year rose by 21.8 percent to P2.8 trillion from P2.3 trillion, the lender’s statement read.
According to LandBank, the government sector accounted for the bulk of the Bank’s total deposits at 67.6 percent or P1.9 trillion. This includes deposits from national government agencies and GOCCs which increased by 48.1 percent and 22.5 percent, respectively, over the previous year.
LandBank’s capital grew by 1.4 percent to P210.6 billion from P207.7 billion despite a P8.5 billion special cash dividend remitted to the national government in June due to record net income, the lender’s statement read.
“Meanwhile, the bank’s financial ratios remain at healthy levels, with return on equity at 14.37 percent, return on assets at 1.05 percent and net interest margin at 2.97 percent.”
LandBank’s sound financial position is boosting its capacity to extend support to key development sectors, as part of its broader thrust of serving the nation, the lender’s statement read.
Image credits: Land Bank of the Philipp ines Inc.
