Total revenues rose 14.3% to PhP50.42 billion. Net Interest Income was +9.1% to PhP31.28 billion. Non-Interest Income rose 23.9% to PhP19.14 billion, owing to strong gains in trading, as well as fees earned from core transactional and bancassurance businesses.
Operating expenses ended at PhP25.58 billion, or +11.7%, driven by non-recurring collective bargaining costs and accelerated IT-related spend. The bank continued to raise provisions, up 20.1% yoy to PhP3.95 billion, notwithstanding stable credit quality. The bank expects to trend operating expense growth to single-digit levels for the full year 2016.
Cost-to-income ratio was 50.7% versus 51.9% in the same period last year. ROA and ROE were 1.5% and 14.7%, respectively.
Total Loans and Deposits
Total loans stood at PhP931.12 billion, +19.4%, with a 77-23 Corporate-Retail mix. Gross 90-day NPLs dropped to 1.6%, from 1.8%. Reserve cover rose to 112.3%. Total deposits stood at PhP1.32 trillion, +11.6% year-on-year. CASA ratio was 75.2%.
Securities ended at PhP302.45 billion, down by 0.3%. HTM remained the largest securities in the portfolio at PhP262.88 billion, as the Bank continues to remain highly defensive against a rising interest rate environment.
Total assets ended at PhP1.59 trillion, +12.8% or PhP179.93 billion above that of the same period last year.
Capital was PhP165.56 billion, up 10.1%. CAR and CET1 ended at 14.2% and 13.3%, respectively.