The Land Bank of the Philippines capped 2014 on a high note with P1.051 trillion in assets, a hefty 25 percent increase from P841.8 billion in 2013.
The increase in the Bank’s total resources was largely driven by the net loan portfolio which grew by 47 percent to P449.0 billion, and a 32 percent expansion in investments from P240.8 billion in 2013 to P317.2 billion in 2014. Total deposits also registered significant growth to P914.2 billion, 30 percent higher than P705.9 billion in 2013 while total capital grew by 4 percent to P75.2 billion.
The Bank attained a net income of P12.1 billion from 11.7 billion in 2013. This exceeds the Bank’s year-end target and translates to a high return on equity of 16.4 percent. This is despite the relatively slow growth for the first nine months of the year against comparatively exceptional gains in 2013.
“We finished 2014 strong as the industry saw a rebound in treasury earnings in the fourth quarter while we also beefed up core lending segments and strengthened non-traditional businesses,” said LANDBANK President and CEO Gilda E. Pico.
The Bank’s BASEL 3 CAR is at 14.5 percent while coverage ratio for non-performing loans is at 164.2 percent.
LANDBANK is the biggest credit provider to small farmers and fishers, local government units, and the biggest lender to microenterprises and SMEs among government financial institutions. It is the only Bank present in all of the country’s provinces, with its nationwide network of 351 branches and 1,338 ATMs as of December 31, 2014.
Last year, LANDBANK was named “Bank of the Year” for the Philippines by The Banker, the world’s leading monthly journal of record for the banking industry for 90 years now. Considered the Oscars of the banking and finance industry, the Bank of the Year Awards is an annual event that promotes excellence in the global banking community by recognizing top financial institutions in the world.