Local banking giant Metropolitan Bank and Trust Co. posted a net profit of P20.1 billion last year, about 11 percent lower year-on-year due to its higher extraordinary gains in the previous year.
In 2013, the bank hits a record-high net profit of P22.5 billion due to gains from the sale of shares in its automotive and power generation affiliates.
It booked lower extraordinary gains but reported strong growth in core businesses in 2014.
Net interest income grew by 20 percent to P45.8 billion and contributed 61 percent to the bank’s total operating income. The share was higher than the 48 percent recorded in 2013.
About P7 billion or 35 percent of Metrobank’s net income last year was recognized in the fourth quarter.
The consensus core net profit forecast for Metrobank in 2014 was P17 billion. The P20.1 billion bottom line for the year, however, also included some extraordinary gains.
Total resources hit a new high of P1.6 trillion at end-2014, up by 16 percent from the previous year.
Metrobank said recent investments in its branch network, coverage expansion and internal system enhancements were catalysts for its sustained balance sheet growth.
Deposits increased by 17 percent to P1.2 trillion, providing the bank with stable low-cost funding to fuel its loan expansion.
Building on the momentum from previous quarters, loans and receivables accelerated to close the year at P759.5 billion, translating to a 24-percent growth, with the commercial segment posting the strongest year-on-year increase.
Non-interest income was reported at P29.6 billion, consisting of P8.9 billion in service charges and commissions, P3.2 billion from trading and forex gains, and miscellaneous income of P17.5 billion, including the sale of non-core assets and foreclosed properties.
Operating expenses were kept at a reasonable level with growth in recurring cost capped at 6 percent.
Non-performing loans (NPLs) dropped to a low of 1 percent of total loans while NPL coverage increased to 165 percent. The bank reported provisions for credit and impairment losses of P4.8 billion.