BPI cleared to run stand-alone trust corporation
By Lawrence Agcaoili (The Philippine Star)
Updated January 10, 2017 – 12:00am
http://www.philstar.com/business/2017/01/10/1661119/bpi-cleared-run-stand-alone-trust-corporation
MANILA, Philippines – Ayala-led Bank of the Philippine Islands (BPI) received the green light from the Bangko Sentral ng Pilipinas (BSP) to operate a stand-alone trust corporation starting next month.
BPI Asset Management and Trust Corp., a wholly-owned subsidiary of BPI and part of BPI Assets Management and Trust Group, is set to start commercial operation on Feb. 1 after getting a license to operate as a stand alone trust corporations.
BPI informed the Philippine Stock Exchange (PSE) there would be no change in existing contracts, processes, and investment management or operating teams.
Earnings of BPI surged 25.6 percent to P17.38 billion in the first nine months of last year from P13.84 billion in the same period in 2015 amid the strong momentum of its core businesses.
BPI’s total revenues rose 14.3 percent to P50.42 billion in the first nine months of 2016 from P44.1 billion in the same period in 2015. Comprehensive income jumped 40 percent to P18.67 billion from P13.34 billion.
The country’s third largest bank booked a 9.1 percent increase in net interest income to P31.28 billion while non-interest income grew 23.9 percent to P19.4 billion owing to strong gains in trading, as well as fees earned from core transactional and bancassurance businesses.
The bank’s operating expenses increased 11.7 percent to P25.58 billion from January to September last year from P22.89 billion in the same period in 2015 driven by non-recurring collective bargaining costs and accelerated IT-related spend.
Bank loans grew 19.4 percent to P931.12 billion but gross 90-day non-performing loans (NPLs) dropped to 1.6 percent from 1.8 percent while reserve cover rose to 112.3 percent.
Total deposits, on the other hand, increased 11.6 percent to P1.32 trillion.
The bank’s securities holding was almost unchanged at P302.45 billion with the held-to-maturity holdings accounted for the largest portion with P262.88 billion.
