State-run Land Bank of the Philippines led by bankero Cecilia Borromeo booked a 141 percent jump in net income to P13.2 billion in the first quarter of the year, fueled by the one-time gains from the merger with United Coconut Planters Bank (UCPB).
“Landbank’s income expansion run parallel with the country’s strong economic resurgence. We will build on this growth trajectory to continue assisting key development sectors and contribute to our collective recovery, to drive our broader thrust of serving the nation,” the bankero said.
The higher net income translates to a return on equity of 14.27 percent, which is well above the industry average of 9.08 percent as of end 2021.
The government owned bank remains the second largest bank in terms of assets at P2.792 trillion as of end-March 2022 or 16% higher than the P2.405 trillion in 2021.
“The increase in assets was propelled by the merger, with UCPB contributing P291.83 billion additional assets. Major asset accounts, including loans and investments, likewise increased in double-digits,” Landbank said.
Landbank also booked a double-digit 12 percent growth in capital year-on-year to P218.36 billion from P194.59 billion, mainly due to the record net income in 2021.
The bank’s sound financial position furthered its capacity to provide financial and support services to the agriculture sector and other development industries.
Landbank’s loan book amounted to P822.01 billion, of which P236.86 billion went to support the agriculture sector.