Security Bank 2022 net profit up 53%

Core business growth, along with lower credit provisions, boosted the net profit of Security Bank Corp. by 53 percent to P10.6 billion in 2022.

Based on the bank’s statement on Wednesday, total revenues in 2022 increased by 8 percent to P39.6 billion, supported by net interest income that improved by 7 percent to P29.2 billion.

Net loans increased by 12 percent to P503 billion last year, thanks to heightened demand for wholesale and retail borrowings. Total deposits, meanwhile, were up 16 percent to P606 billion.

Non-interest income grew by 11 percent to P10.4 billion. This was driven by service charges, fees and commissions, which rose by 17 percent to P5.3 billion.

Last year, Security Bank earmarked P2.8 billion—lower by 46 percent from P5.3 billion in 2021–as buffer for credit and impairment losses. The provisions were slashed as non-performing loan ratio declined to 2.95 percent from 3.94 percent previously.

“We are encouraged by the underlying growth of the economy as it reopens and rebuilds. Our strong performance for 2022 reflects the fact that Security Bank is fully engaged to support our retail, wholesale and SME (small and medium enterprise) clients,” Security Bank president and CEO Sanjiv Vohra said.

As of end-2022, its assets and shareholders’ equity stood at P842 billion and P126 billion, respectively.

Capital adequacy ratio was at 16.6 percent while common equity tier 1 ratio was at 16.1 percent of risk assets.

“We will sustain that intensity for 2023 as we help clients navigate the current inflationary environment and geopolitical uncertainties,” Vohra concluded.