Security Bank opens new branch

The Security Banking Corp. (Security Bank) has relocated its Mactan branch to the Cebu Business Park in response to the increasing business activities in the heart of Cebu province.

"Moving the branch to this strategic location is crucial for capturing the local business community," Joven Hernandez, senior vice president for Consumer Banking Group, said. "We recognize the limitless potential that the Cebu market brings. The development in consumer banking in this part of the country will only be marked by rapid growth in the years ahead."

Along with several others recently opened in Manila, the Cebu Business Park branch provides a pleasant banking experience with its modern facilities and a competent pool of service specialists. An example of a key facility is an on-site ATM that accepts the new and efficient Cardless Bills Payment system.

Security Bank has 114 branches with 80 percent located in Metro Manila. The Cebu Business Park branch is proof of its network expansion to the southern Philippines and soon, northern Luzon.

The strengthening and expansion of its branch network has reaped dividends as evidenced by its overall financial performance in the past nine months of 2006.

"It has been a stellar year so far for one of the countries’ fastest growing mid-sized universal banks," bank officials said.

The bank posted a net income of P1.35 billion for the first nine months of 2006, 51 percent higher than the P897 million earnings for the same period last year and surpassing by P197 million, the P1.16 million full year net income registered in 2005.

Earnings per share improved from the P2.72 per share recorded last year to P4.11 this year. The strong income growth resulted in an annualized return on average equity of 17.2 percent, outpacing the 11.3 percent registered for the same period last year.

The healthy earnings was driven by a solid growth in revenues, improving to P4.5 billion for the nine months ending Sept. 30, 2006 from P 4.1 billion in the comparative period last year.

Although a decreasing interest rate environment for the better part of the first semester led to pressure on net margins, the bank seized opportunities to recognize trading gains on its securities portfolio. Consequently, non-interest income reflects a 39 percent year-on-year increase from P1.3 billion last year to P1.8 billion this year.

Security Bank’s commitment to product and service excellence continues to receive international acclaim.

This year, it was cited in Asiamoney’s 2006 Cash Management Poll as the "2nd Best Local Cash Management Bank" in the Philippines. And for the second year in a row, the bank was ranked among the country’s "Best Domestic FX Providers" for various FX products and services in the 2006 FX Poll of Asiamoney.

Aside from Asiamoney, Asset Magazine’s special IMF/WB issue contained the results of the 2006 Asian Currency Bond Benchmark Survey which showed that Security Bank tied with Deutsche Bank for third spot in Philippine peso government bonds (behind only Citigroup and HSBC), and ranked sixth in Philippine peso corporate Bonds (behind four foreign banks and the Metropolitan Bank and Trust Co).

CNBC Asia Business Leader Awards nominated Security Bank’s president and chief executive officer Alberto Villarosa as one of its frontrunners for the Philippines.

The International Association of Business Communicators acknowledged Villarosa at the 2006 CEO Excel Awards held Nov. 8 at the PICC Forum, CCP Complex. Under the banking, finance and insurance category, the award-giving body recognized the achievements of Security Bank this year as well as how it has broken through targets and perceptions from the previous years.