The top three lenders listed on the Philippine Stock Exchange on Friday reported over 5 percent growth in their loan portfolios in the fourth quarter of 2022 from the levels at the end of the third quarter, reflecting the stronger growth of the economy.
BDO Unibank, Bank of the Philippine Islands, and Metropolitan Bank & Trust Co.—the largest, second and fourth largest lenders by assets, according to a central bank report—also reported improvements in their nonperforming loan ratios on the growth of the loan portfolio and the steady or lower nonperforming loans.
The second largest lender by assets in Land Bank of the Philippines, a state-owned bank.
Financial reports filed with the PSE by the lenders showed BDO increasing its loan portfolio to P2.668 trillion, up 5.7 percent from P2.523 trillion in September; BPI raising its loan portfolio to P1.738 trillion, up 6.6 percent from September’s P1.631 trillion; while Metrobank increased its loan portfolio to P1.327 trillion, up 8 percent from P1.228 trillion in September.
Gross non-performing loans in December was down 8.1 percent from September for BDO at P50.54 billion; down 3.8 percent during the same period to P29.48 billion for BPI; and down 4.6% percent to P20.15 billion for Metrobank.
Nonperforming loan ratios declined to 1.89 percent from 2.18 percent for BDO, down to 1.7 percent from 1.88 percent for BPI, and lower to 1.52 percent from 1.72 percent for Metrobank.
Return on equity was up for BDO to 12.34 percent from 11.17 percent, up 10.92 percent from 10.51 percent for Metrobank, and down to 13.02 percent from 13.48 percent for BPI.
The numbers suggest strong earnings growth for BDO, BPI and Metrobank, representing combined market capitalization of P1.425 trillion, over 7.5 percent of the total market capitalization.
