PBB Boosts Core Income by 10.9% to P3.4B, Loans Grew to P128.3B, Up P10.7B

​Philippine Business Bank (PBB) reported interest income of P10.6 billion in 2024, up 14.4% from P9.3 billion. Net interest income reached P6.7 billion. Core income was at P3.4 billion a 10.9% increase YoY. Profit before tax rose to P2.4 billion in 2024. Net income ended at P1.8 billion.

Total resources totaled P168.0 billion as of December 2024, up P13.6 billion. Total net loans and receivables stood at P128.3 billion as of end-Dec 2024 from P117.6billion in the same period last year, increased by P10.7 billion YoY. On the funding side, deposit liabilities were P139.1 billion as of YE2024, up P12.4 billion. Low-cost deposits (“CASA”) ended at P69.0 billion, while time deposits (“TD”) reached P70.0 billion.
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Shareholders’ equity was at P19.4 billion, equivalent to a book value per share of P22.89 net of preferred shares. Returns on assets and equity ended at 1.1% and 9.2% owing to net income growth. Net interest margin (“NIM”) at 4.3%. The Bank’s capital adequacy ratio (“CAR”) was 12.7% and minimum liquidity ratio (“MLR”) at 23.0% in December 2024, both above the statutory requirement of 10.0% and 20.0%, respectively. Over the last five years, despite the pandemic period, the Bank's net book value per share net of preferred shares has grown by 53.0%, from P14.96 in 2019.

“PBB achieved a 14.9% year-over-year growth in its core income that covered interest income, service fees, and miscellaneous income. This growth was offset by the Bank’s trading performance which saw a reversal from the previous year. This is because despite the overwhelming indications pointing the other way, the interest rate environment towards the tail end of 2024 turned out to be different from expectation driven mainly by geopolitical factors and events.

For 2025, PBB will intensify its focus more on the profitability of its core lending business. The Bank will employ the two-pronged approach of (1) strengthening its operational capabilities and efficiency, and, (2) growing its higher-margin business in selected consumer loans. These are expected to position the Bank for sustainable growth and profitability.

The Bank would like to express its gratitude to its clients for their trust and patronage to the Bank, its shareholders and Board of Directors for their continued guidance and support, and its hardworking employees for their unwavering commitment and dedication to hard work. As we look ahead, the Bank will continue to create value and make things happen for its clients and stakeholders in the coming years,” said Rolando Avante, vice chairman, president, and CEO of Philippine Business Bank.

PBB is the financial services arm of the Yao Group of Companies. The Bank aims to become the bank of choice of the underserved SME market segment. This focus on the SME market is driven by the size and potential of this particular market. According to recent data from the Department of Trade and Industry, SMEs account for 99.5 percent of total registered enterprises. The Bank believes that the SME segment is the major source of entrepreneurship and economic dynamism which provide trade, manufacturing, and services and help contribute to community and local development. The SME segment is underserved with most financial institutions focusing on the banking requirements of large corporations. The Bank has a total of 158 branches nationwide.