Security Bank Q3 profit jumps 22%

Security Bank Corp. grew its net profit in the third quarter by 22 percent year-on-year to P2.7 billion on robust interest earnings, fee-based income and Treasury windfall.

This brought net profit for the nine-month period to P7.7 billion, up by 18 percent from year-ago level, the bank told the Philippine Stock Exchange.

Total net interest income for the nine-month period grew by 23 percent to P18.9 billion.

Nine-month service charges, fees and commissions rose by 45 percent year-on-year to P2.9 billion, while securities trading gains hit P1.4 billion, nearly four times better than the P368.97 million last year.

Security Bank expanded its loan book by 11 percent year-on-year to P444 billion at end-September, led by retail loans which rose by 54 percent. Retail loans accounted for 27 percent of total portfolio with increased focus on the consumer business.

Total deposits grew by 4 percent year-on-year to P487 billion.

The bank spent 53.3 centavos to earn every peso in the first nine months. Cost to income ratio was managed despite operating expense growing by 27 percent year-on-year.
Bad loans accounted for 1.4 percent of total portfolio, lower than the industry average of 1.7 percent.

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