Metropolitan Bank and Trust Co. (Metrobank) reported even higher income in the third quarter on the basis of sustained momentum in its loans and deposits.
In a regulatory filing, the bank on Monday reported a 5-percent rise in consolidated net income in the first nine months to P13.2 billion.
Metrobank attributed this development to strides in its core banking business, particularly its loan expansion and low-cost deposit growth. Fee income was also seen to improve, and operating expenses were limited to a single-digit growth rate.
In particular, the bank reported a 15-percent growth in low-cost current account and savings account (Casa) deposits. Metrobank’s Casa accounted for 62 percent of total P1.5 trillion deposit base.
Growth in net loan receivables hit 20 percent to reach P1.2 trillion, largely fueled by the commercial segment as the bank continued to provide funding to both corporate and middle-market clients.
“We are pleased to report that our core earnings results are moving ahead of plans,” Metrobank President Fabian Dee said.
“And we are also continuously improving our operations and have made the necessary enhancements to our internal processes to ensure that we become an even stronger institution,” he added.
The bank’s net interest income grew 16 percent, making up 72 percent of P62.9 billion total revenues. Its noninterest income totaled P17.6 billion during the period.
Broken down, Metrobank’s noninterest income was comprised of P9.1 billion in service fees and commissions, P4 billion in net trading and foreign-exchange gains and P4.5 billion in miscellaneous income.
Operating expenses, meanwhile, grew by 8 percent to P35.8 billion.
In terms of asset quality, Metrobank reported nonperforming loan ratio of only 1.07 percent.
The bank also allotted P5.9 billion as provisions for credit and impairment losses for the period.
Metrobank ended the period with total equity of P210.4 billion.
Total capital adequacy ratio remained well above the regulatory limit at 16 percent, with Common Equity Tier 1 ratio at 13.3 percent.