COL profit up by 30%
Online stockbrokerage COL Financial Group, formerly CitisecOnline.com Inc., registered a record-high profit in 2011.
Consolidated net income jumped by 30 percent to P335 million last year, driven by the strong growth in trading revenue, as it cornered a greater share of the local market, COL president Conrado Bate reported to stockholders on Friday.
Bate told reporters that profits would likely continue to grow albeit at a slower pace this year compared to 2011. Philippine operations are seen growing by another 20 percent this year while Hong Kong operations will be “at best flat,” Bate said.
Return on equity this year will likely be sustained at more than 20 percent, Bate said. Last year, ROE stood at 28 percent, higher than 25 percent in 2010.
Bate said: “2012 continues to be an exciting year for COL. We will focus on scaling our business by making stock market investing accessible to all and strengthening the knowledge base of our customers. We will innovate in improving the overall online trading experience while keeping to our tradition of personal service and expertise in the stock market.”
Reflecting the change in its business name and the implementation of a new system, COL will launch a new website on April 23.
In 2011, COL grew its revenues by 34 percent year-on-year to P659 million as Philippine operations posted an 89- percent growth from increased trading activity from its diverse customer base. Philippine commissions accounted for 50 percent of total revenue versus only 35 percent last year.
Interest on margin loans also grew by 77 percent year-on-year and accounts for 22 percent of revenue from only 17 percent in the previous year. “Overall, our Philippine operations account for 82 percent of our total revenues versus 60 percent in 2010,” Bate said.
