BDO profits surge in 3Q09

Building on earlier gains and leveraging on its various competitive advantages, Banco De Oro's (BDO) loans, deposits, net interest income and fee-based income sustained their growth. Income from trading activities also increased given a more stable financial environment.

The Bank reported a net income of P1.9 billion as of the 3rd quarter this year, or 70 percent higher compared to the previous quarter's earnings. This brought the Bank's 3Q year-to-date net profit to P4 billion, or 159 percent more than the P1.6 billion earned in the same period last year.

Gross customer loans expanded 16 percent year-on-year to P424.5 billion with continued broad-based demand from all market segments. Deposits, likewise, rose 12 percent year-on-year to P643.8 billion with additional branch redeployments and steady growth in low-cost deposits.

Net interest income for the nine-month period grew 31 percent year-on-year to P22.3 billion. Interest income climbed 21 percent given the larger loan levels while interest expense went up by a slower 7 percent pace given an improved funding mix.

In spite of the possible impact of the recent typhoons, the Bank is maintaining a positive outlook for the rest of the year and next, and is optimistic about meeting its full-year profit target of P5.5 billion.