MANILA, Philippines — Salmon Bank, the rural banking arm of fintech company Salmon Group Ltd., nearly doubled its net income to P151.1 million in the first half as the lender ramped up its digital transformation and expanded its consumer lending operations.
The latest figure is 83 percent higher than the P82.5 million in the same period last year, supported by robust growth in the bank’s key financial indicators.
Total deposits surged by 63 percent to P952.8 million as of end-June from P584.3 million at the close of 2024, driven largely by the popularity of its high-yielding 8.88 percent time deposit product.
Loans expanded 1.4 times to P1.32 billion from P908.7 million, while equity ballooned by 2.7 times to P706.9 million from P260.8 million in the same period, as the bank continued to inject capital to support growth and maintain a strong capital position.
“As we build one of the most technology-forward and customer-centric financial institutions in Southeast Asia, we are seeing the payoff from our investments in digital infrastructure, executive talent, and governance,” Salmon co-founder and chairman Raffy Montemayor said.
The bank, officially operating as Rural Bank of Sta. Rosa (Laguna) Inc., posted industry-beating returns in the first half, with return on equity hitting 58.9 percent and return on assets at 24.9 percent, far exceeding the rural banking sector averages of 15.7 percent and 2.8 percent, respectively.
Its capital adequacy ratio stood at 32.7 percent, nearly double the 18 percent benchmark for rural banks, based on central bank data as of the first quarter.
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