Asia United Bank (AUB) and its three subsidiaries posted a record consolidated net income of P6.1 billion in the third quarter, up 32 percent year-on-year, led by the sustained business volume and margin growth and higher non-interest income.
“With our stronger performance in the first three quarters, we expect to maintain our lead among the country’s top ten listed universal banks in terms of compounded annual growth rate [CAGR] on key indicators since AUB was listed on the bourse in 2013,” AUB president Manuel Gomez said in a statement Monday.
Gomez said that while the domestic economy emerged strongly from the pandemic and many sectors were now on the path to recovery, AUB remained cautious of the confluence of global shocks that were unraveling.
“We expect monetary policy to remain hawkish, with inflation still not kept at bay. On the other hand, we see plenty of room for growth and collaboration, particularly in digital transformation.” Gomez said.
Data showed that from 2013 to 2022, AUB topped the list with a CAGR of 18 percent in net income, 14 percent in total assets, 17 percent in total loans and 16 percent in total deposits.
The bank’s return on equity rose to 19.4 percent in the first three quarters from 16.4 percent a year earlier, while return on assets improved to 2.5 percent from 1.9 percent.
Total operating income in the nine-month period went up 21 percent to P13.3 billion as net interest income jumped 20 percent to P11.2 billion. Non-interest income rose 27 percent to P2.1 billion.
More robust corporate and consumer loans boosted total loan volume by 7 percent to P188.2 billion as confidence in the economy continued to improve.
This resulted in a wider net interest margin of 4.9 percent from the previous year’s 4.1 percent. Strong contributions to its non-interest income mainly came from AUB’s operating activities such as trading businesses, credit cards, AUB PayMate and remittance.