MANILA, Philippines—Philippine Business Bank, the newly listed thrift banking arm of Afredo Yao’s Zest-O Group, said its board had set the bank’s dividend pay-out policy at 20 percent to 30 percent of its annual net income, a filing to the Philippine Stock Exchange showed.
“This particular policy does not in any way preclude the bank from declaring stock and cash dividends as the board deems proper,” the lender said.
Philippine Business Bank listed on the local bourse on Feb. 19, making it one of two banking stocks that went public so far this year. The other is the Rebisco Group’s Asia United Bank Corp., which held its trading debut recently.
Philippine Business Bank earlier said its net income in the first quarter rose by 34.1 percent to P593 million, fueled by the strong contribution of its treasury business. Its loan portfolio increased by about 43 percent to P22.09 billion.
The lender, having just raised about P3.2 billion from its initial public offering, is currently expanding its branch network. It said it was recently granted 16 branch licenses by regulator Bangko Sentral ng Pilipinas.
The additional licenses come on top of the 15 restricted licenses acquired by the company in 2012, of which the remaining five will be opened this year.
The bank’s liquid assets in the first quarter rose to P11.1 billion, up 14.6 percent, while overall earning assets expanded 32 percent to P33.2 billion. The lender had total resources of P36.2 billion at the end of March, higher by close to 30 percent.