Asia United Bank, the financial arm of the Rebisco Group, said Wednesday net income in the first nine months jumped 66 percent to P3.8 billion from a year ago, on the sustained strength of core businesses.
The bank said in a statement its bottom line was boosted by a 38-percent growth in interest income from loans and receivables.
Gross interest income increased by 39 percent to P10.4 billion as of end-September from P7.5 billion in the same period last year.
Net interest income rose 24 percent in the nine-month period to P6.9 billion from P5.6 billion. This translated into a 4.3-percent net interest margin, higher than last year’s 4.2 percent.
“It is truly a remarkable year for AUB, and we look forward to finishing 2019 strong. This growth is a result of the successful execution of our strategy from the beginning of the year, which remains a testament of the trust and confidence that our customers give us,” AUB president Manuel Gomez said.
“We are confident that this growth will continue to motivate us to be the primary enablers our customers’ envisioned success,” he said.
The bank successfully raised P7 billion in its maiden bond issuance early this month on strong demand from investors. The proceeds would be used for general corporate purposes. The bonds had a coupon rate of 4.625 percent per annum for a three-year tenor.
AUB initially announced a P3-billion offering, but concluded the offer with close to three times the target. The bank said that amid the overwhelming demand, it had to end its offer period two-days ahead of the original Oct. 30 schedule. Julito G. Rada
Gomez said the overwhelming demand for the bond offer was an undeniable affirmation of the bank’s growth and stability.
The bonds were issued on Nov. 7 and were listed with the Philippine Dealing & Exchange on the same day.