The Ayala Groups’ Bank of the Philippine Islands (BPI) grew 23 percent net income to P25.1 billion in the first six months of 2023, the Philippine Stock Exchange announced on Thursday, July 20.
The 171-year-old bank’s total revenue rose 13.8 percent to P65.6 billion on the back of the 27.4% increase in net interest income to P50.1 billion, attributable to an average asset base expansion of 9.2% and a net interest margin widening of 56 basis points to 4.03%.
“Drivers of the strong financial performance were average asset base expansion, margin growth, and lower provisions,” BPI noted.
The bank booked total assets of P2.7 trillion during the first half of 2023, up 8.9%.
Total loans during the period rose 10.5% to P1.7 trillion, boosted by loan growth in the corporate, credit card, and auto portfolios of 8.0%, 42.7%, and 20.4%, respectively.
Total deposits increased 7.6% year-on-year to P2.1 trillion.
Meanwhile, the bank’s total assets grew 8.9 percent to P2.7 trillion while total deposits expanded by 7.6 percent to P2.1 trillion, mostly from current and savings accounts. The ratio measuring loans to deposits stood at 80.2 percent, BPI added.
Total equity during the first semester stood at P336.1 billion, with an indicative common equity tier 1 Ratio of 15.5 percent and a capital adequacy ratio of 16.4 percent, which were above regulatory requirements.
A few days ago, BPI was named Asia’s Best Bank for Corporate Responsibility and Best Bank in the Philippines in this year’s Euromoney Awards for Excellence.
BPI was recognized for its “excellent numbers,” highlighting the 65.8 percent growth in its net income last year and the bank’s commitment to championing digitalization and sustainability.
Its corporate social responsibility programs anchored on the pursuit of better financial wellness culture were also lauded.
