STATE-OWNED Land Bank of the Philippines (LandBank) reported a rise in its net income in the second quarter of the year, as the bank benefitted largely from its robust loan portfolio during the period.
LandBank’s net profit grew 5.4 percent in the second quarter of 2018 to hit P7.8 billion. This is some P400 million higher than its net income in the same period last year of P7.4 billion.
“LandBank remains among the most profitable banks in the country, and we are confident about continued growth for the next half of the year,” LandBank President and CEO Alex Buenaventura said.
We work hard to maintain the bank’s sound financial position as the profits from our commercial banking operations allow us to further drive support to our priority sectors, especially farmers and fishers,” he added.
The rise in the bank’s net income was primarily driven by the 30-percent jump in its revenues from loans, as LandBank’s gross loan portfolio was up 27 percent to P758.7 billion during the month.
In terms of assets, LandBank reported a 14-percent growth to reach P1.7 trillion as of end-June this year, rising from the P1.48 trillion in the same period in 2017.
LandBank’s deposits also posted a double-digit growth rate of 15 percent for the quarter to hit P1.5 trillion, from the P1.3 trillion in June 2017.
The bank’s return on equity (RoE) was at 13.4 percent in the first half of the year while its net interest margin was at 3.32 percent.