Taiwan's Mega Financial Holdings Co. Ltd. posted a 15% year-over-year rise in net profit for the full year ended Dec. 31, 2017.
The company's net profit jumped to NT$25.74 billion from NT$22.46 billion in the prior-year period. EPS for the 12-month period rose to NT$1.89 from NT$1.65, according to a financial report recently obtained by S&P Global Market Intelligence.
The S&P Capital IQ consensus mean estimate for both normalized EPS and GAAP EPS was NT$2.04 for 2017.
Net interest income slipped to NT$35.88 billion from NT$37.69 billion, while net fee revenue fell to NT$9.36 billion from NT$10.24 billion.
Insurance premiums went up to NT$1.79 billion from NT$1.68 billion in 2016, and the company also notched a jump in gains from financial assets at fair value to NT$7.59 billion from NT$4.60 billion. Provision expense on loans grew to NT$4.33 billion from NT$3.61 billion.
Over at the Mega International Commercial Bank Co. Ltd. unit, net profit rose 13% year over year in the aggregate to NT$21.53 billion, or NT$2.52 per share, from NT$19.01 billion, or NT$2.23 per share, in the year-ago period.
The bank's net interest income dropped to NT$34.09 billion from NT$35.58 billion, while net fee revenue declined to NT$6.93 billion from NT$7.91 billion. Its net interest margin stood at 1.12% as of Dec. 31, 2017, down from 1.23% a year earlier.
The bank posted a nonperforming loan ratio of 0.12% at the end of 2017, down from 0.20% at the end of September 2017, but up from 0.09% at 2016-end.
As of Dec. 31, 2017, the bank's common equity Tier 1 capital ratio clocked in at 12.79%, up from 12.55% as of Dec. 31, 2016.
In January, the U.S. Federal Reserve Board imposed a US$29 million fine on the U.S. operations of Mega International Commercial Bank for violating anti-money laundering laws. The regulator said the bank failed to maintain an effective program to comply with the U.S. Bank Secrecy Act and anti-money laundering laws.
As of March 5, US$1 was equivalent to NT$29.29.
