BPI 2010 profit up 33% to $258.17mn

The lender is cautiously optimistic on Philippine banking industry as concern for troublesome global economy contagion still remains.

Ayala-led Bank of the Philippine Islands posted a 33-percent jump in its net profit last year to P11.3 billion ($258.17 million), a record high in the local banking industry, from P8.5 billion ($194.2 million) in 2009.

This translates to a higher return on equity of 15.6 percent and a return on asset of 1.5 percent compared with their respective levels of 13 percent and 1.3 percent a year ago.

“Despite anxiety over the global banking environment at end-2009, 2010 proved to be a good year for the banking industry and for BPI in particular. We had solid business results, as evidenced by our double digit business volume growth, our second consecutive 33-percent net income growth and our second sustainability report,” BPI president and CEO Aurelio Montinola III said.

“We approach 2011 with a positive outlook for the country, but remain watchful of potentially troublesome global economy contagion effects on the Philippine banking industry,” he said.

Last year’s profit was fueled by a 13-percent increase in total revenue, according to BPI’s unaudited income report.

View the full story in the Philippine Daily Inquirer.