Philippines' BDO boosts net income by 36% to P14.3b

BDO Unibank's net income jumped 36 percent courtesy of its robust lending, deposit-taking, and fee-based businesses.

The bank's net income reached a record P14.3 billion in 2012 from the P10.5-billion profit in 2011, exceeding its P12.5-billion earnings guidance.

With the Philippine economy expected to sustain its growth momentum, BDO said it looks forward to tapping the promising growth opportunities in its customer segments, capitalizing on its established business franchise and wide distribution network.

The bank’s customer loan portfolio grew 15 percent to P769.0 billion, while current and savings accounts supported the increase in total deposits to P931.6 billion.

Total non-interest income rose 18 percent to P24.6 billion contributed substantially by trading gains from treasury activities amounting to P8.2 billion.

The bank also realized exceptional gains from its investment portfolio.

Gross non-performing loan (NPL) ratio further declined to 2.8 percent, while provisions now cover 126 percent of NPL by year-end 2012.

BDO’s capital base stood at P157 billion, the largest in the industry, while Capital Adequacy Ratio (CAR) and Tier 1 Capital ratio were comfortably above the regulatory minimum at 19.1 percent and 15.2 percent, respectively. 

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