Reports & Publications

Financial Highlights


   The financial performance of NRBSL in 2020 is a record of sorts as the Bank managed to end the year with profits of P9.6 million, after tax, that almost approximated its pre-pandemic output of P11.2 million. In a remarkable manner, the Bank achieved growth in most of its Key-Result Areas (KRAs) amidst the worst economic crisis the whole world encountered in years. NRBSL had been in good and bad times but never anticipated non-repayment of loans according to schedule will not only become legitimate but it is the right thing to do in the spirit of “bayanihan”.

New Rural Bank of San Leonardo (Nueva Ecija), Inc.
Financial Summary / Financial Highlights
As of 31 December 2020 and 31 December 2019


   This faithful compliance to legislation and humane understanding of its loan clients’ vulnerability can well explain the decrease from P96.7 million to P75.6 million of its net interest income. Acting on this insidious phenomenon that has beleaguered the entire banking sector, NRBSL quickly worked in introducing measures to reduce its operational costs and saved P14.5 million in non-interest expenses as a result. Enrollment of loan accounts eligible for guarantee coverage was consciously pursued to mitigate the pressure of providing additional allowance for credit losses.

   Appropriate policy measures and new approaches in product packaging were also introduced to maintain the Bank’s deposit and credit portfolio. Despite restricted mobility and dwindling market confidence, the increase in NRBSL’s total deposits on a year-on-year comparison by P111.5 million was exceptional and was recorded as among its all-time high performances. Although borrowers were generally viewed as less capacitated as a result of the economic recession, leadership boldly resolved to keep the lending windows of the Bank open all through-out. Instead of turning its back to borrowers, NRBSL launched Business Recovery Loan Stimulus (BRLS) to help clients with struggling business operations to bolster their capacities towards recovery. By end of the year, NRBSL gross loans is up by P53.4 million while that of the entire financial system as whole dipped significantly over the same period.

   Even with its active lending operations NRBSL did not lose focus on the level of its Capital Adequacy Ratio (CAR) The Bank remains on track to avoid any major deterioration in this area while consciously trying to meet the credit needs of its targeted sectors. Non-risk exposures under ACPC credit programs made up a large percentage of the increase in loans which explains the minimal drop of its CAR from 16.94% to 16.24%. The co-financing partnership with ACPC has turned-out as an ideal set-up for NRBSL to remain unwavering in its advocacy and commitment to its social mission. The drop in Return on Equity (ROE) is expected as it is aligned with the profitability situation of the Bank. Nonetheless, a 3.36% ROE remains superior relative to prevailing rates of bank deposits and investment instruments. It is unlikely that the situation will change in the near-term as economic managers opt to keep the policy rates down to encourage lending in the banking sector as a monetary tool to spur recovery. The slight increase in Return on Assets (ROA) from 0.39% to 0.45% is considered a bonus relative to industry situation and the state of the economy as a whole.

   Cash dividends declared increased modestly on a year-on-year comparison as additional preferred shares investment were placed as part of capital built-up campaign. The core of officers of NRBSL particularly those holding executive-level positions remain intact. The reduction in the total personnel population is attributed to probationary employees whose employment status was not regularized. Interestingly, the number of officers and staff with at least five (5) year tenure in NRBSL reached 67 out of 206 individuals for 33% of the total. This is a clear indication that the personnel retention strategy of the Bank is paying-off.