ATRKE income up 62%

MANILA, Philippines - ATR KimEng Financial Corp. (ATRKE Financial) has reported a consolidated net income of P321.9 million in the first nine months of 2011, or a 62-percent jump from the P199.3 million it posted in the same period last year.

In fact, it is higher than the 2010 full year income figures. Net earnings in 2010 expanded 77 percent to P305 million, from P172.3 million in 2009. 

Meanwhile, revenues for the period increased 12 percent to P2.2 billion, and consolidated assets were at P7 billion as of end September. 

Insurance subsidiaries AsianLife & General Assurance Corp. and AsianLife Financial Assurance Corp. were the largest contributors in terms of revenue – with premiums and interest income of P1.4 billion, or a 10-percent improvement over last year.

Coming from a lower base, ATR KimEng Capital Partners Inc. (ATRKE Capital) grew nearly 1,400 percent to P85.9 million as a number of equity issues, including the San Miguel Corp. follow-on offer and the Trans Asia Oil and Energy Development Corp. rights offer, among others, were completed earlier in the year. 

Stock brokerage firm ATR KimEng Securities Inc. (ATRKE Securities) has consistently ranked among the top brokers in the Philippine Stock Exchange (PSE) in terms of value turnover again this year, and was largely responsible for the 16-percent increase in commissions to P451.9 million. 

ATRKE Financial’s asset management operations, through ATR KimEng Asset Management Inc. (ATRKE Asset Management) and the Trust Department of ATRKE Capital, had combined assets under management of P10.3 billion as of the 3rd quarter of 2011, up 46.53 percent from last year’s P7 billion.  

ATRKE Financial said that its majority shareholder Kim Eng Holdings Ltd. (Kim Eng), following its acquisition of the shares of ATR Holdings Inc. in August 2011, is offering to acquire all the shares of ATRKE Financial at a purchase price of P4.38 per share.  The tender offer period is from Oct. 27 to Nov. 28, 2011.  

The consolidation by Kim Eng of its ownership of ATRKE Financial is intended to maximize the benefits of the synergies that can be derived from the acquisition by Mayban IB Holdings Sdn. Bhd., a wholly-owned subsidiary of Malayan Banking Berhad (Maybank), of Kim Eng earlier this year. 

Maybank is Malaysia’s largest financial services group, with group assets of $135 billion, market capitalization of $22 billion, in 2,100 offices in 17 countries serving 21 million customers worldwide. In the Philippines, Maybank operates 51 branches.