BDO Leasing and Finance, Inc. (BDOLF) reported the inet profits surged to P252.3 million last year from P46.8 million in 2019 on the back of stable asset yields and lower funding costs.
In a disclosure to the Philippine Stock Exchnage, the firm said total expenses dropped by 34 per cent to P2.0 billion, with interest and financing charges substantially declining by 62 percent given the low interest rate environment and lower borrowing levels.
Meanwhile, gross revenues fell by 22 percent to P2.4 billion with the decrease in interest income as the Company’s operations were scaled down following the sale of most of BDOLF’s earning assets to the BDO Unibank Group (BDO).
This was part of the restructuring of the Group’s leasing business where the operations of BDOLF fully transitioned to BDO Finance Corporation (BDO Finance), which was established last year to offer customers continued access to lease products and services.
BDO Finance likewise assumed the lease transactions booked in BDOLF to ensure continuity to the latter’s existing clients.