Security Bank Reports 51% Rise in Profit to P1.35 Billion

Security Bank Corporation (PSE: SECB) posted a net income of P 1.35 billion for the first nine months of 2006, 51% higher than the P 897 million earnings for the same period last year and surpassing by P 197 million the P 1.16 billion full year net income registered in 2005. The net income performance for the period translates to earnings per share of P 4.11, up from the P 2.72 per share recorded last year. The strong income growth resulted in an annualized return on average equity of 17.2%, outpacing the 11.3% registered for the same period last year. 

The healthy earnings was driven by a solid growth in revenues, improving to P 4.5 billion for the nine months ending September 30, 2006 from P 4.1 billion in the comparative period last year. Although a decreasing interest rate environment for the better part of the first semester led to pressure on net margins, Security Bank seized opportunities to recognize trading gains on the Bank