Reports & Publications

Financial Highlights


   The stability and soundness of NRBSL’s current financial condition resulted from years of consistent growth in all parameters of banking performance. In 2017, NRBSL sustained this growth trend with accomplishments in various areas unparalleled in its 23-year history.

New Rural Bank of San Leonardo (Nueva Ecija), Inc.
Financial Summary / Highlights
As of 31 December 2017 and 31 December 2016


   NRBSL’s profitability in 2017 is an all-time high coming from interest income generation which grew by 47% on a year-to-year comparison. Its profits before provisioning doubled from P22M in 2016 to P45M for the current year. In the exercise of prudence and sound baking practice, the Bank increased to P15.7M its additional booking of allowance for probable losses for 2017 from P2.3M in the previous year. Despite this huge provisioning, the Bank’s net income reached P29M or P10M higher compared to its level the year before.

   With these earnings, NRBSL equity soared to P192M at the end of the 2017 or P26M higher than the previous period. Hence, from 9.13% NRBSL’s Return-On-Equity (ROE) in 2017 improved to 13.81% or 4.68 percentage points higher after 12 months. This level of ROE has enhanced the image of the Bank as an attractive investment to its stockholders and future equity partners.

   The significant increase in interest income was a function of an expanded credit portfolio. The momentum to expand the Bank’s loan exposures was pushed aggressively in 2017 resulting to an additional P160M from year-ago level, a positive variance never before achieved in NRBSL’s loan development perspective. The growth in loans was a result of the Bank’s advocacy to lend to more small farmers and other agricultural producers with its risks mitigated by guarantee cover from Agricultural Guarantee Fund Pool (AGFP) and Agricultural Credit and Policy Council (ACPC). This multitude of borrowers from the agricultural sector is a clear indication of NRBSL’s effective credit delivery system in the countryside as it managed to serve its targeted clientele, covered its desired sectors and geographical outreach.

   As the majority of NRBSL’s borrowers come from small farming communities and so do its core depositors belonging to low-income groups. This explains the modest increment in deposits of P67M in 2017. This multitude of small savers, on the other hand, is behind the stable deposit base of the Bank. With this profile of its depositors and the Bank’s safe, simple and low-risk fund management practices it is able to improve and maintain an appropriate liquidity level at P289M in 2017 by adding P62M more compared in 2016.

   Because of NRBSL’s robust loan portfolio and modest deposit increment, the increase in the level of the Bank’s total resources from 2016 to 2017 jumped by P282M, the biggest ever. With P1.318B total resources, NRBSL improved its industry ranking from 36th in 2016 to 26th spot in 2017. With its risk-mitigation system in place in the form of credit guarantees, the substantial increase in loan exposures did not have much of an impact in the capital adequacy ratio of the Bank despite cash dividend declaration of P5M. NRBSL’s CAR in 2017 settled at 17.33% or slightly lower than 17.50% a year ago.

   In 2017, the Bank’s organization grew by more than a quarter of its size in the previous year as the population of NRBSL employees reached 204 from 160 in a span of 1 year. This was expected as aggressive solicitation for small agricultural loans and other unsecured credit facilities necessitated the deployment of more marketing technical officers in 2017. In the same year, new personnel were also recruited in line with the organizational preparation for the setting-up of new branches in 2018 and additional personnel in branch operations, accounting and internal audit to strengthen control function.