earnings reports

Higher fees, lower provisions push BPI profits up 11.5% in 2021

Ralf Rivas
Higher fees, lower provisions push BPI profits up 11.5% in 2021
BPI manages a double-digit finish in 2021, thanks to strong figures posted in the fourth quarter

MANILA, Philippines – Ayala-led Bank of the Philippine Islands (BPI) saw its profits grow 11.5% in 2021, driven by lower loan loss provisions and a record-high fee income.

On Monday, January 31, BPI said its full-year net income stood at P23.88 billion.

Full-year profits got a push from the fourth quarter, which saw P6.4 billion in net income, a 51.2% increase year-on-year and 13.2% hike quarter-on-quarter. The growth in the last quarter was driven mainly by improved mobility conditions leading to higher transaction volumes.

While its bottom line improved, BPI reported a 4.2% dip in full-year revenues to P97.4 billion. Net interest income likewise fell 3.7% to P69.58 billion, while non-interest income dipped 5.5% to P27.8 billion on the back of lower trading income. Fee income posted a 23.2% increase.

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The bank booked provisions of P13.1 billion, 53.1% lower compared to the P28 billion recorded a year ago.

Loans improved by 4.9% to P1.48 trillion, due to higher mortgage, credit card, and microfinance loans.

Total deposits increased 13.9% to P1.96 trillion. – Rappler.com

Ralf Rivas

A sociologist by heart, a journalist by profession. Ralf is Rappler's business reporter, covering macroeconomy, government finance, companies, and agriculture.