State-run Land Bank of the Philippines posted a 26-percent increase in its net income to P5.07 billion in the first trimester from P4.04 billion a year ago, the Department of Finance (DOF) said.
It added that the figure surpassed the bank’s P5.04-billion profit goal for the four-month period.
In the first four months, Landbank’s gross revenue climbed 30 percent year-on-year to P20.4 billion, while interest income on loans also grew 30 percent to P10.6 billion, the DOF said, citing a report submitted by Landbank president and chief executive Alex V. Buenaventura to Finance Secretary Carlos G. Dominguez III
Income from investments rose by 5 percent to P6.4 billion as of April, while its total loan portfolio increased 37 percent.
“Interest income on government and private securities amounted to P1.3 billion, while gains from the sale, redemption or derecognition of non-trading financial assets were reported at P123 million. Dividends received from equity investments are lower by P196 million while income from financial assets held for trading decreased by P928 million,” the DOF said.
“Profits from foreign exchange transactions grew by P649 million or 136 percent as a result of the revaluation gain on the bank’s foreign currency-denominated assets,” it added.
“(Landbank’s) robust performance provides us the tools in fulfilling our goal of providing financial services to more borrowers in the countryside, particularly in the agricultural sector. We will continue to expand lending opportunities for small farmers, fishers and micro entrepreneurs to help make growth truly inclusive for all Filipinos,” Buenaventura was quoted by the DOF as saying.
As such, among government financial institutions, Landbank is still the largest creditor to farmers, fishers as well as micro, small and medium enterprises, according to the DOF. /jpv