Metrobank booked P12.6-B first quarter income

Metropolitan Bank & Trust Co. (Metrobank) grew its net income in the first quarter by 2.4 percent to P12.6 billion on the back of steady loan growth and improved margins.

The Ty family-led bank said on Tuesday its earnings were supported by modest asset expansion, better net interest margins and stronger fee income, underscoring the resilience of its core businesses.

“Our first quarter results underscore the resilience of Metrobank’s core businesses and the consistency of our execution. With strong capitalization, solid asset quality and healthy buffers, we remain well-positioned to manage risks while continuing to support the growth and funding needs of our customers,” said Metrobank president Fabian Dee.

Net interest income rose 13.6 percent to P33.4 billion, while net interest margin improved by 12 basis points to 3.7 percent, reflecting higher yields.

Gross loans expanded 9.2 percent, driven by an 8.6-percent increase in corporate and commercial lending and an 11.2-percent rise in consumer loans.

Deposits stood at P2.6 trillion, with low-cost current and savings accounts growing 8.4 percent and making up 59.2 percent of total deposits.

Metrobank said it maintained ample liquidity, with a loan-to-deposit ratio of 76.6 percent, allowing it to continue supporting lending activities.

Fee and trust income increased 11.8 percent to P5.1 billion, helping cushion the impact of volatile market conditions on trading income.

Operating expenses rose 9.8 percent to P21.1 billion, mainly due to higher transaction-related taxes and continued investments in technology.

Despite higher costs, the bank kept its cost-to-income ratio at 52.5 percent, reflecting operational discipline.

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Asset quality remained stable, with nonperforming loan (NPL) ratio at 1.75 percent, well below the industry average of 3.44 percent.

The bank’s NPL cover stood at 137.1 percent, providing a buffer against potential credit risks.

Metrobank’s total assets grew 8.3 percent to P3.8 trillion, reinforcing its position as one of the country’s largest private universal banks.

Equity rose 5.1 percent to P396.4 billion, while capital ratios remained well above regulatory thresholds. Capital adequacy ratio stood at 14.9 percent of risk assets.

Metrobank said its strong capitalization and balance sheet position it to manage risks while supporting clients’ funding needs amid evolving market conditions.