The Philippine Savings Bank (PSBank) reported its latest quarterly financial performance, showcasing robust asset growth and solid financial standing amidst a dynamic economic environment. The bank continues to demonstrate strength in its core operations, strategic asset management, and commitment to sustainable growth.
Key Highlights:
Total Assets: PSBank’s total assets reached ₱220.56 billion for the quarter, reflecting a stable and balanced growth trajectory.
Total Loan Portfolio: The bank’s Gross Total Loan Portfolio (TLP) was reported at ₱157.79 billion, with ₱144.37 billion net of allowance for credit losses, showing effective risk management and asset protection strategies.
Loan Quality: PSBank continues to maintain healthy asset quality with a gross non-performing loan (NPL) ratio of 2.62% and a net NPL ratio of 1.81%, ensuring a robust balance sheet and maintaining the trust of depositors and investors.
Liquidity: The bank maintained strong liquidity with a Liquidity Coverage Ratio (LCR) of 161.53% and a Net Stable Funding Ratio (NSFR) of 123.89%, well above the regulatory minimums, ensuring its ability to meet short- and long-term obligations.
Capital Adequacy and Profitability:
Return on Equity (ROE) was reported at 18.19%, showcasing efficient capital utilization and delivering strong returns for shareholders.
The Return on Assets (ROA) stood at 1.68%, reflecting the bank’s effective asset management.
PSBank’s Net Interest Margin (NIM) of 6.40% highlights its ability to maintain profitability in a competitive financial landscape.
Equity and Capital Management:
PSBank’s Common Equity Tier 1 (CET1) Ratio remains solid at 22.52%, while the Capital Adequacy Ratio (CAR) is reported at 23.56%, well above the regulatory requirements, underscoring the bank’s strong capital buffer and risk management framework.
Gross NPL Coverage Ratio remains strong at 81.37%, providing a cushion against potential risks.
The Gross Loan-to-Deposit Ratio continues to reflect a balanced approach to lending and deposit management, maintaining liquidity while supporting lending growth.
PSBank’s prudent approach to related party transactions has resulted in a ratio of loans to related parties to gross TLP of 0.12%, ensuring minimal exposure to related-party credit risks.
Sustainability and Future Outlook:
PSBank remains focused on sustainable growth and responsible banking practices, with an emphasis on customer service, digital banking, and financial inclusion. The bank is committed to ensuring financial stability and resilience through strategic investments in technology and infrastructure.
