Metropolitan Bank & Trust Co. (Metrobank) said Thursday its net income reached a record P23.6 billion in the first semester of 2024, on the back of strong loan growth and stable margins.
Metrobank said in a disclosure to the stock exchange the first-half earnings translated into a 13.3-percent return on equity, above the 12.9 percent recorded in the same period last year.
“Our strong capital position and robust asset profile continued to support our expanding core businesses despite market challenges. Prospects of easing inflation driven by government efforts could further spur consumer demand,” said Metrobank president Fabian Dee.
“We are firmly on track to meeting our medium-term growth aspirations as we support various public and private sector initiatives that continue to drive economic growth,” he said.
Net interest income in the first half of 2024 grew 14.6 percent to P58 billion, as net interest margin improved to 4 percent from 3.9 percent
Metrobank said gross loans climbed 14.9 percent year-on-year, as commercial loans increased 15.2 percent and consumer loans expanded 13.7 percent.
Net credit card receivables surged 21.4 percent, while auto loans grew 16.6 percent, sustaining the growth momentum in the consumer segment.
It said that on the funding side, total deposits grew 7.8 percent to P2.4 trillion as of end-June from a year ago, of which low-cost current and savings accounts (CASA) accounted for 58 percent.
Fee income was stable in the first half, with second-quarter growth accelerating to 8.4 percent, supported by a continued expansion in the bank’s consumer business.
Operating cost grew 8.1 percent year-on-year to P36.4 billion, as the bank continued to beef up its capabilities to provide better service to clients, with cost to income ratio at 52.3 percent as of end-June.
Non-performing loan (NPLs) ratio improved to 1.66 percent from 1.84 percent last year, below the industry’s reported 3.7 percent as of May 2024.
The bank trimmed provisions to P1 billion in the first semester. NPL was at 162.7 percent.
Metrobank’s consolidated assets expanded by 14.5 percent year-on-year to P3.3 trillion, maintaining its status as the country’s second largest private universal bank.
Total equity reached P355.1 billion. Capital adequacy ratio stood at 16.7 percent, while and common equity tier 1 (CET1) ratio was at 15.9 percent.
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