The earnings of state-run Land Bank of the Philippines jumped by 38.2 percent to an all-time high of P30.1 billion last year from P21.7 billion in 2021, exceeding its P25.7 billion target by P5 billion.
LandBank President and CEO Cecilia Borromeo said the bank’s profit breached the P30 billion mark for the first time, driven by the substantial interest income from loans and investments, alongside earnings from fees, commissions, and foreign exchange, among other income sources.
“LandBank’s strong performance in 2022 represents another milestone year, with a solid balance sheet that continues to overcome external headwinds and yield sustainable growth. We look forward to a more favorable economic environment this year, as we take on a more prominent role in nation-building as a development institution.”
LandBank President and CEO Cecilia Borromeo
The bank’s assets surged by 21.5 percent to P3.1 trillion from P2.6 trillion, propelled by deposits that expanded by 21.8 percent to P2.8 trillion from P2.3 trillion.
The government sector accounted for the bulk of LandBank’s total deposits at 67.6percent or P1.9 trillion. This includes deposits from national government agencies and GOCCs, which increased by 48.1 percent and 22.5 percent, respectively.
The capital of the government-run bank inched up by 1.4 percent to P210.6 billion from P207.7 billion, despite the P8.5 billion in special cash dividends remitted to the national government last June, due to the record net income.
Its financial ratios remain at healthy levels, with return on equity at 14.37 percent, return on assets at 1.05 percent, and net interest margin at 2.97 percent.
LandBank’s sound financial position is boosting its capacity to extend support to key development sectors, as part of its broader thrust of serving the nation.
