GSIS records PHP37B net income, assets surge to P1.74T

By Francis Allan L. Angelo

The Government Service Insurance System (GSIS) has declared a net income of Php37 billion for the first quarter of 2024. This marks a 21% surge from the previous year’s first-quarter earnings of Php30.75 billion.

Key to this financial upturn is a robust 17% increase in revenues which tallied at Php85 billion. The growth is attributed to GSIS’s strategic investments in pivotal sectors, including infrastructure, food, telecommunications, energy, and mining.

President and General Manager Wick Veloso reflected on this performance, stating, “Our commitment to support the nation’s growth story saw increases in GSIS investments…and boosting revenue streams as it focuses on building efficiencies in its various businesses.”

International ventures contributed significantly, with income from financial assets jumping by Php28 billion or 45% year-on-year. Veloso conveyed GSIS’s ambition to be an investment catalyst across diverse sectors, aiming to reduce power costs and enable mining companies to enhance raw materials into valued products.

The total assets of the institution have risen to Php1.74 trillion by the end of March 2024, marking a 10% growth since March 2023. This progress underscores GSIS’s commitment to its two million members, enhancing the lending program through the Multi-Purpose Loan Flex (MPL FLEX). The program disbursed Php124 billion or about Php1 billion per working day since its inception in September 2023, assisting over half a million members.

The GSIS’s financial prowess is further illustrated by a 234% increase in net gains from local equities and ETFs, accumulating Php10 billion. Interest income from fixed income securities, including government and corporate bonds, amounted to Php9 billion for Q1 2024.

Operational efficiency is also evident with maintenance and other operating expenses 41% under budget and an administrative cost ratio well below the maximum limit set by the GSIS Charter.

Veloso emphasized the alignment of GSIS’s strategy with the nation’s economic progression, highlighting investments in housing, energy, food, and healthcare sectors, which are poised to bolster the country’s economy further.