RCBC income up, deposits down amid laundering scam

Rizal Commercial Banking Corp. (RCBC) grew its consolidated first-quarter net income by 12.4 percent to P1.8 billion, but its end-March deposit levels declined from a quarter ago amid the Yuchengco-led bank’s involvement in the recent $81-million money laundering scandal.

In a disclosure to the Philippine Stock Exchange (PSE) Tuesday, RCBC said its net interest income rose 17 percent to P4.2 billion, accounting for two-thirds of gross income during the first three months.

Its loan book grew by 12 percent to P302 billion as volumes for the corporate, consumer as well as small and medium enterprise or SME segments jumped by 15 percent, 18 percent and 13 percent, respectively.

RCBC said more than four-fifths of its total interest income during the January-to-March period were interest income from its lending business.

At the end of the first quarter, deposits amounted P317.2 billion, the bank said in the statement.

An earlier disclosure to the PSE also on Tuesday that contained its consolidated balance sheet showed that deposit liabilities declined 7 percent to P317.4 billion as of end-March from P342.5 billion at end-2015.  Ben O. de Vera