MANILA, Philippines – The country’s largest bank, BDO Unibank, posted an impressive 17% net income growth in 2018 to P32.7 billion, surpassing its full-year guidance of P31 billion on the back of strong recurring earnings.
In a regulatory filing on Tuesday, February 26, the Sy family-led bank likewise capped another milestone as the Philippines’ first bank to breach the P3-trillion mark in total assets.
Leading the bank’s performance was the growth in its core lending and deposit-taking businesses.
Gross customer loans stood at P2 trillion, up by 15% on increases across all market segments. Meanwhile, total deposits went up by 14% to P2.4 trillion.
Income from non-interest bearing sources settled at P49.7 billion.
The bank’s operating expenses amounted to P98 billion, 16% higher compared to 2017. BDO explained that the increase was in line with its sustained investments in branch network and strategic initiatives.
BDO’s growth came at a time when the central bank imposed a hefty hike in interest rates by 175 basis points and inflation soared to a 9-year high.
“BDO is well-positioned to take advantage of market opportunities and strengthen its leadership position in the industry by leveraging on its strong business franchise and extensive distribution network,” Cecilia Santos, BDO vice president and alternate corporate information officer, said in a statement.
BDO has the country’s largest distribution network, with over 1,200 consolidated operating branches and over 4,000 automated teller machines nationwide.
It is also the largest bank in terms of total assets, loans, deposits, and trust funds. – Rappler.com