BDO Unibank Inc. (BDO), the country’s largest lender, booked a net income of P53.9 billion in the first nine months of 2023, up from P40.0 billion a year earlier, on broad-based growth across core businesses.
This resulted in a return on common equity (ROCE) of 15.1 percent, compared to 12.4 percent in the same period last year.
Net interest income increased to P137.4 billion, with customer loans growing 7.5 percent year-on-year to P2.7 trillion and deposits expanding 12 percent to P3.4 trillion.
Non-Interest Income settled at P57.9 billion, supported by various fee-based and treasury/FX businesses.
Pre-provision operating profit amounted to P80.6 billion, with revenue growth continuing to outpace cost growth.
Non-performing loan (NPL) ratio remained stable at 1.99 percent despite the higher interest rate environment, while NPL coverage improved to 176 percent. The bank continues to set aside provisions in line with its conservative credit and provisioning policies.
Common equity increased to P494.3 billion, given the continued profitable operations. Book value per share (BVPS) increased 13 percent to P93.83.
Capital adequacy ratio and common equity tier 1 (CET1) ratios strengthened to 15.6 percent and 14.5 percent, respectively, with ample capital buffers against regulatory minimum levels.
BDO said while macroeconomic challenges persisted, it remained cautiously optimistic and was well-positioned to capitalize on opportunities given its strong balance sheet and diversified business franchise.