BDO Leasing and Finance Inc. reported on Thursday that its net income reached P135 million in the first three quarters of 2020. In a statement, the Sy-led firm said the amount reversed the P39-million loss it incurred in the same period a year ago “largely due to lower interest and financing charges.” It added that lower borrowings and lower funding costs pulled down its total expenses by 18 percent to P1.9 billion while low interest rate environment dragged its interest and financing charges by 55 percent. Gross revenues declined by 5 percent to P2.1 billion on lower interest income following the sale of its assets, covering lease receivables and other assets, to the BDO Unibank Group as part of the restructuring of the latter’s leasing business. Earlier this year, BDO disclosed it was selling its controlling stake in BDO Leasing to a third party, which “is still subject to regulatory approvals and the fulfillment of closing conditions.” While BDO sold its controlling stake in BDO Leasing, the lender will continue to provide leasing and finance products to its clients through its wholly owned, privately held subsidiary BDO Finance Corp., it added.

Source: Manila Times October 29, 2020 16:18 UTC