Pasig-(PHStocks)-COL’s recurring profits grew by 8.4% to PhP270.1 Million during the first nine months of 2015. The increase was largely driven by the 10.0% growth in revenues from its Philippine operations to PhP540.4 Million.
COL continued to benefit from the substantial growth of its client based. As of end September 2015, it already had more than 152,000 clients, higher by 46% on a year-on-year basis. Total retail client equity was also higher by 8.9% to PhP46.0 Billion. As a result, commission revenues from Philippine operations increased by 8.6% to PhP364.0 Million while interest income rose by 6.6% to PhP162.0 Million. COL also maintained its ranking as the eight largest stockbroker in terms of value turnover in the Philippine Stock Exchange.
COL’s mutual fund distribution business, COL Fund Source, also had a very strong start. Despite only being launched in July this year, it already had PhP235.5 Million in assets under administration. It also accounted for 9.5% of industry wide equity mutual fund net sales during the third quarter of the year. As of end September, more than 5,700 COL clients already have mutual funds in their investment portfolio.
Despite the strong performance of its core operations, head line profits for the first nine months of 2015 were flattish at PhP246.4 Million as COL booked PhP23.7 Million worth of non-recurring taxes and related expenses.
“We are very pleased with the continuous growth of our client base and the strong results of our core operations.” said COL President and CEO Dino Bate.
“We are especially pleased with our mutual fund distribution business as we were able to gather more than PhP200 Million in assets under administration in such a short amount of time and despite minimal marketing effort. This strengthens our conviction that we have taken the right step by entering into the fund distribution business and that we are better serving the needs of the Filipino investors who we believe deserve a richer life,” added Mr. Bate.
COL already signed a Memorandum of Agreement with six asset management companies which together account for 98% of the assets under management of the mutual fund industry. Most of the peso denominated funds of the said companies are currently available for purchase in COL’s website.