Rizal Commercial Banking Corporation crossed the PhP1 trillion mark in total resources as of June 2022, higher by 19% on the back of solid expansion in customer loans and treasury assets. Robust core business performance propelled the Bank’s consolidated net income to reach PhP6.14 billion in the first half of 2022, up 84% year on year. Return on equity improved to 9.5% and return on assets stood at 1.1%.
Total gross income surged 24% to PhP21.23 billion driven by the 18% hike in net interest income. Earning assets of PhP850 billion continued to expand, buoyed by the 59% increase in the Bank’s investment securities portfolio. With the help of data science and analytics, the Bank cautiously built up loans primarily from safe-haven sectors in the corporate, SME, mortgage and credit card segments. Cross-selling initiatives boosted its credit card portfolio by 27%, bringing total cards in force to nearly 925,000. Contributing to the uplift in gross income, the 48% increase in non-interest income was underpinned by the strong growth in trust, retail, and digital transactions. DiskarTech saw a 199% rise in total transaction value, while RCBC Digital booked a 53% increase. The sustained momentum in the bancassurance business also prompted the early renewal of the partnership between RCBC and Sun Life Grepa Financial Inc.
Supporting the Bank’s asset build-up strategy is the 24% jump in total deposits to PhP739.51 billion led by the 18% expansion in low-cost CASA deposits. RCBC’s capital base also increased to PhP112.05 billion with solid capital ratios–CAR of 15.49% and CET1 ratio of 12.38%, both well above regulatory requirements.
“We are excited to unlock more business opportunities and make positive disruptions to accelerate our growth and create more value for our customers,” RCBC President and CEO Eugene S. Acevedo said.
Operating expenses inched up by 10% due to higher business tax and volume-related expenses. The Bank continued to push for greater efficiencies through optimization of its traditional and digital delivery channels, resulting in a better cost-to-income ratio of 58%. Impairment provisions were lower by 20% as NPL ratio eased to 2.73% on the back of improved credit underwriting and management.
The Bank continued to gain recognition from prestigious local and international award-giving bodies for its aggressive digitalization push, sustainability initiatives, and best-in-class products and services. Recent accolades include the “Best Retail Bank”, “Best Corporate Bank”, and “Best Bank in Sustainable Development” awards. As of year to date, it has racked up 34 citations in corporate and SME banking, cash management, and retail banking, among other categories.
As of June 2022, RCBC had a total consolidated network of 446 branches, 1,280 automated teller machines, and 1,345 ATM Go terminals strategically located nationwide.
