February 04, 2013

P7.5 billion Net Income Posted by Security Bank

Named by Asian Banker as the "Strongest Bank in the Philippines" last year, Security Bank posted their unaudited report on Monday stated that they have reached a record of P7.5 billion with 22% return on equity.

Record shows that customer loans increased by P119.6 billion for a total of 30% and P142.4 billion or 19% for deposits.

“This translated to an 8-percent increase in net interest income despite the adverse interest rate pressure coming from prevailing low interest rate, the monetary easing by the Bangko Sentral ng Pilipinas, the removal of interest paid on reserve requirements, and sale of securities by the bank. As a result, the net interest margin in 2012 was 3.94 percent, slightly lower than the 4.08 percent in 2011,” SBC noted.

By the end of 2012, Security Bank has a total earnings of P259.5 billion, this means that they have improved by 21 percent with a 3.3% return on assets.

Despite of low interests and removal of interest paid leading them to have a 3.94 percent in net interest margin which is quite lower than the 4.08% margin in the year 2011, the bank still manage to get 8 percent rise in net interest income.

"We are pleased to achieve our financial and business results amidst increased competition even while we are investing to increase our branch network and customer coverage capabilities during this period of economic growth," Security Bank President and Chief Executive Officer Alberto S. Villarosa said in a statement.

Last year, the bank opened new 34 branches adding to their previous 174 branches to make a total of 208 for both Security Bank and Security Bank Savings.

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