The Land Bank of the Philippines (Landbank) is optimistic about meeting its net income target by year-end and is even hoping to exceed it, citing the positive performance so far this year.
The state-run bank has a net income goal of P35 billion this year, around 16 percent up from the record figure of P30.1 billion last year.
“We’re hoping, we’re working towards that. It’s midyear and all I can say is that our numbers look good midyear. There’s a lot of positive traction as far as our numbers are concerned, and so I’m very hopeful that we get to deliver on the upside,” Lynette Ortiz, Landbank president and chief executive officer, said on the sidelines of the Bangko Sentral ng Pilipinas’ 30th Anniversary Reception for the Banking Community held Friday evening.
“It helps… that even our securities portfolio is doing well despite the fact that interest rates have gone up. We’re also very efficient in managing our costs so it’s a combination of all those factors,” she added.
Meanwhile, Ortiz said Landbank is ready for the planned merger with the Development Bank of the Philippines once it pushes through.
“As far as the merger is concerned, I understand what the government, what our secretary of finance would like to achieve. From Landbank’s perspective, we are prepared if it happens,” Ortiz said.
“We have a team who is prepared to execute the merger if it happens. But… whether it needs to go through GCG (Governance Commission for GOCCs) or Congress, I have nothing to do with that,” she added, when asked to comment on the proposed Senate probe.
Just last week, Senator Sherwin Gatchalian filed a Senate resolution seeking an inquiry on the proposed merger with the end view of “determining the propriety, viability, compliance, and potential effects of such merger, and amending existing laws, if necessary.”
“As far as we are concerned we will be prepared to do it when we are asked to execute. If it does happen, it’s really all about making sure that we draw from the synergies of both institutions and that we’re able to retain good talent and that we’re able to manage that integration successfully,” Ortiz said.
