RCBC Capital Corp. was able to surpass its 2007 net income target within the first six months of this year.
RCBC Capital is a wholly owned subsidiary of the Rizal Commercial Banking Corp. (RCBC) engaged in providing customers with a complete range of investment banking and financial consultancy services.
RCBC Capital president and chief executive officer Raul Leopando said income before tax for the same period was P318.8 million or a whopping 293.9 percent increase over last year’s income for the same period.
First half revenues reached P360.8 million or an increase of 79.1 percent over revenues for the same period last year. Resulting in a return on average equity of approximately 29.1 percent.
“We recorded significant increases in our fee-based income as well as trading gains,” Leopando explained.
RCBC Capital had its plate full in the first semester of 2007 as far as equity underwriting was concerned.
It was the domestic lead underwriter of the follow-on offering of RCBC shares in March, joint lead underwriter in the initial public offering (IPO) of the National Re-Insurance Corp. of the Philippines (NRCP) and as lead underwriter for the stock rights offering of Engineering Equipments, Inc. (EEI).
RCBC Capital specializes in the underwriting of equity, quasi-equity and debt securities, loan syndications, and financial advisory services. It has successfully acted as issue manager, lead or co-lead underwriter for numerous fund raising activities of both National Government and privately-owned companies in the Philippines. In the local government unit (LGU) bond market, RCBC Capital is the most active player from the private sector having underwritten majority of the LGU bonds issued in the country.
Leopando said that “most people seem to be quite optimistic about the Philippine capital markets, especially the stock market. Foreign investors remain bullish about Asia and view the region as one of the few remaining areas where attractive returns could still be had. This could only be good for the Philippines, and on a more micro level, for companies like RCBC Capital that thrive on the capital markets.”