View or download the current and past annual reports of China Bank. Each report contains detailed information about China Bank’s performance, operations, and activities and the complete financial statements and opinions of the independent auditors, including the required disclosures.
The year 2017 was a significant period of change and progress for China Bank, marking a new chapter in our storied history. We achieved good business and financial results as we sustained our growth momentum, successfully completed a stock rights offer to bolster our capacity to pursue further business growth, highlighted by an investment grade credit rating.
In 2017, China Bank generated a record net income of P7.5 billion, up 16% on the back of sustained growth in core and fee-based businesses. Total assets expanded 19% to P751.4 billion. Gross loans grew 16% to P454 billion due to strong demand across all segments, particularly consumer loans, which jumped 25%, and corporate loans, which rose 19%. Stronger focus on credit underwriting standards and disciplined collection efforts led to a milestone reduction in our NPL ratio to 1.4% – lower than industry levels – as non-performing loans (NPL) dropped P900 million or 12.3%. Continued provisioning improved the loan loss coverage ratio to 99% from 91% (consolidated level) and to 175% from 153% (parent bank). Total deposits rose 17% to P635.1 billion, boosted by 24% growth in low-cost funds, resulting to healthy CASA (checking & savings accounts) ratio of 54%, while the loans-to-deposit ratio was steady at 71%. Total capital funds grew 32% to P84 billion with the P15-billion stock rights offer completed in May 2017. The Bank‘s common equity tier 1 (CET 1) and total capital adequacy ratios stood at 13.47% and 14.22%, respectively, well above the minimum regulatory requirement.
1/Restated to show the cumulative effects of stock dividends & stock rights