The Treasury Group produced the biggest profit among its business units, amounting to P967.0 million. The Treasury Group’s income was driven by interest income from fixed income securities, trading gains from the sale of government securities, distribution fee income and brokering fee.
The Investment Banking Group posted a total revenue of P296.0 million which is P45.0 million or 18.0% higher than last year’s income of P251.0 million in the same period. The revenue was generated through various deals that include PLDT’s P8.0 billion Corporate Notes; San Miguel Corporation’s P80.0 billion Preferred Shares; SM Investments Corporation’s P15.0 billion Corporate Bonds and Cirtek Holdings Philippines Corporation’s USD10.0 million Corporate Notes.
First Metro president Roberto Juanchito Dispo said, "Domestic markets bounced back and regained its traction in September after languishing in the ghost month of August. The favorable market condition in September; strong economic fundamentals and abundant liquidity allowed resumption of fundraising activities in the capital markets by corporate issuers and First Metro was able to complete a good number of significant deals.”
The Investment Advisory Group realized P193.0 million in net trading gains and dividend income from investment in stocks. This is 227.0% or P134.0 million more than their last year’s result of P59.0 million.
As of end September 2012, First Metro’s consolidated resources stood at P64.3 billion, capital funds reached P9.7 billion; about P2.0 billion or 26.0% higher than the December 31, 2011 balance. The increase was brought about by the P1.46 billion income for the period and the P511.0 million additional mark-to-market gains mainly from the company’s available for sale securities. Capital adequacy ratio remains competitive at 29.84%.
"More capital market deals are expected in the last quarter of the year as companies are expected to take advantage of low interest rates. Looking at our own pipeline, the company may be on its way to realizing another record setting year not only in terms of financial returns but also in terms of depth, variety and quality of transactions completed in 2012,” added Dispo.