The bank said recoveries from non-performing loans, gains from foreign exchange trading, profits from sale of foreclosed assets, prudent spending and reversal of loan loss provisions also contributed to the income growth.
Return on equity was recorded at 20.61 percent, return on assets was 4.25 percent, while non-performing loan ratio dropped to a low of 3.68 percent as against 4.09 percent as of end-Dec. 2003. This ratio, Chinatrust said, is almost four times lower than the industry average of 14.24 percent.
During the period under review, Chinatrust launched two innovative products: Ultimate Checkwriter and Innov8. The Ultimate Checkwriter is a stand-alone software that enables small and medium enterprises to efficiently manage their trade payables.
On the other hand, Innov8 is a long-term peso time deposit product that offers the depositor flexibility in maximizing the tax-free yield on savings.
Chinatrust hopes to sustain its income growth for the rest of the year by cautiously pursuing its core businesses in the country amidst the political uncertainties.
The bank is one of the major overseas subsidiaries of Chinatrust Commercial Bank of Taiwan, the world’s biggest bank in terms of capital.
As of the end of 2003, parent bank Chinatrust’s assets stood at $32.24 billion while its total capital was registered at $2.47 billion.
Aside from Taiwan and the Philippines, Chinatrust also has presence in the United States, Canada, United Kingdom, Hong Kong, Indonesia, Vietnam, Japan, Thailand, Bangkok, India, Paraguay and mainland China. – Zinnia dela Peña