Metro Manila (CNN Philippines, August 16) — The Rizal Commercial Banking Corporation saw higher earnings in the first half of 2021 compared to last year, it said Monday.
In a disclosure to the local stock exchange, RCBC reported a consolidated net income of ₱3.3 billion during the period — a 7% year-on-year climb.
“This was driven by the sustained expansion in the customer loan business which grew by 9%, even as the industry contracted by 2%,” said the bank, citing growths of 10% and 17% in their corporate along with small and medium enterprise segments.
RCBC also said operating expenses inched up by 1% during the period to ₱11.2 billion.
The company also recorded ₱2.3 billion in impairment loss provisions from January to June. This is lower by 55% from the same six-month period last year, it said. Meanwhile, its net non-performing loan ratio stood at 3.25% in the first semester of 2021.
“The 28% growth in low-cost CASA deposits likewise performed better than the industry,” RCBC said, referring to current account and savings account deposits. “Investment Securities rose 3.4x, and fee income surged by 47% as investments and retail transactions picked up during the period.”
It also cited its partnerships during the period, including one with Japanese multinational bank Sumitomo Mitsui Banking Corporation which acquired a 4.99% stake in RCBC.
“The partnership will leverage on synergies to further boost the Bank’s digital banking capabilities, as well as its corporate and consumer finance business,” the bank said.
RCBC also reported triple-digit growth rates in total usage value and volume on a quarterly basis for its first Taglish and Cebuano financial inclusion super app DiskarTech.
The app likewise “pioneered the loans marketplace in partnership with Asialink Finance Corporation, one of the country’s premier lenders,” said the bank.
RCBC president and chief executive officer Eugene Acevedo assured the bank will remain committed to ramping up digitalization efforts, especially those geared towards financial inclusion.
RCBC is among the top ten largest banks in the Philippines in terms of total assets as of end-March 2021, according to latest data from the Bangko Sentral ng Pilipinas.
