Photo credit: BDO

BDO Unibank, Inc. is making waves in 2024 with a stellar financial performance! The bank just reported a remarkable ₱18.5 billion in net income for the first quarter of the year, marking a solid 12% increase from the same period last year. This impressive growth has pushed their annualized Return on Common Equity (ROCE) up to 14.3%.

So, what’s driving this success? For starters, BDO saw a 13% boost in net interest income, thanks to a 13% jump in gross customer loans and a similar 13% rise in deposits. A big part of this deposit growth came from low-cost Current Account/Savings Accounts (CASA), which are clearly paying off.

On the non-interest side, the bank’s income grew by 11%, fueled by steady growth in fee-based and treasury/foreign exchange businesses. They’re also seeing a recovery in life insurance premiums, adding another win to their financial playbook.

Asset quality remains rock solid with the Non-Performing Loan (NPL) ratio at a low 1.88% and NPL coverage comfortably at 181%. This stability is a testament to BDO’s cautious credit and provisioning strategies.

And it’s not just the numbers that are impressive. BDO’s common equity increased by 12%, and their book value per share improved to ₱99.23, reflecting their ongoing profitable operations.