ORIX METRO Leasing and Finance Corp. (ORIX METRO) has grown from just P1.6 billion in total assets, six branches, and 3,000 accounts in 2000, to P5.3 billion, 28 branches, and 9,000 accounts end 2007.
In fact, total assets after six months into 2008 has ballooned to P7 billion.
ORIX METRO has only expansion and growth in mind for 2008 despite the poor economic conditions saddled by high oil and commodity prices including a strengthen US dollar.
“We have the largest network (in the financing and leasing sector) among the industry leaders with one of the lowest level of delinquency. We want to expand our branches, our clientele base, as well as open new markets,” Eduardo R. Alvarez, president and chief executive officer of ORIX METRO, said in an interview.
It already has the biggest number of branches nationwide at 28, and four more are in the pipeline for 2009. These will be located in San Fernando, La Union; Lucena City, Puerto Princesa, and Dumaguete.
All branches are on-line with its headquarters in Makati.
Economic conditions dictate that business remain focused on their core competence, and that encourages outsourcing.
That has come at an appropriate time as ORIX METRO has expanded to the car rental business in a big way. From just 300 units in 2005, it now manages over 1,000 units for corporate giants to seven of the biggest hotel chains in the country.
“That has made us the largest car rental company in the Philippines,” Alvarez pointed out. Corporates, hotel chains and the like need not invest in automobiles, drivers, maintenance and repair crews for their fleet of automobiles.
ORIX METRO takes care of that at extremely competitive rates. “We will even immediately replace a car that has bogged down anywhere,” he added.
That is backed by a large and modern car care center to ensure the reliability of our vehicles. It has also accredited service centers for other areas.
It is also outsourcing the needs of business process outsourcing (BPO) like call centers. Alvarez intimated that they are financing the workstations of over a dozen call centers accounts representing majority of the top industry players.
Both automobiles and PC units are later auctioned off to ensure that they will always finance or lease out brand new units.
The ORIX METRO chief executive said that they would get any type of automobile sought after by the client as long as it is available in the market. And he likewise admitted that the top seller of sold units, are the Toyota automobile with taxi operators as largest buyers when they auction the cars after the lease term.
ORIX METRO has consistently recorded a 22-percent return on average equity, and the forecast is that it could only get better.
It recorded a net income of P200 million last year, and Alvarez believes that they could improve it further to P250 million this year.
Total assets stood at P7 billion in the first semester of 2008 from P5.3 billion end 2007. Operating income expanded from P1.2 billion in 2007 to an estimated P1.4 billion by yearend.
Total accounts reached a record 9,000. ORIX METRO was recently awarded the Best Countryside Loan Fund Program Partner (non-bank category) by the Land Bank of the Philippines.
ORIX METRO is a joint venture of the Metropolitan Bank and Trust Co. (Metrobank) and ORIX Corp. of Japan.
“We are a product of two corporate giants. Metrobank provides the resources, while management is provided by ORIX, which has world-renowned expertise in leasing. In fact, ORIX Corp. is listed in the New York Stock Exchange, the Osaka and Tokyo markets.
The company offers diverse products and services to both corporate and individual accounts ranging from traditional financial leases to operational leases for all kinds of vehicles and machinery, mortgage loan facilities covering trucks, buses, and all types of equipment; receivables financing; and pre-owned car loans.
Aside from the parent company, Orix METRO has four subsidiaries namely, ORIX Auto LeasingPhilippines Corp., ORIX Rental Corp., OMLF International Trading and Development Corp., and OMLF Insurance Agency Inc.
In 2003, it made available financing of capital expenditures, participating in the syndicated loans of well-known companies like San Miguel Corp. and Globe Telecom, among others.
Recently, it was extended a quasi-banking license by the Bangko Sentral ng Pilipinas (BSP). It is one of only three non-banking institutions, which has received such a privilege since the BSP resumed granting QB license.