BDO Unibank Posted Higher Q2 Profit

BDO Unibank, Inc. saw its net profit climb by 53.18% in the second quarter amid higher net interest earnings.

Photo Insert: BDO's attributable net income stood at P18.72 billion in the second quarter, rising from the P12.72 billion booked in the same period last year.

The Sy-led bank’s attributable net income stood at P18.72 billion in the second quarter, rising from the P12.72 billion booked in the same period last year, its financial statement filed with the local bourse on Monday showed.

This brought its attributable net profit for the first half to P35.25 billion, 11.21% higher year on year, amid growth across its core businesses.

This translated to a return on average common equity of 15.1%, up from 11.27% the year prior, while its return on average assets stood at 1.73% at end-June, also higher than the year-ago level of 1.3%.

BDO’s net interest income rose by 29.73% year on year to P46.10 billion in the second quarter. Interest earnings from loans and receivables climbed by 47.13% to P48.12 billion. Interest income from trading and securities investments also rose by 48.6% to P8.742 billion.

Meanwhile, interest expense jumped to P12.9 billion in the second quarter from P3.514 billion a year prior.

The bank’s net interest margin stood at 4.65% at end-June, up from 4.02% a year ago. Other operating income also went up by 9.37% to P19.24 billion in the second quarter from P17.6 billion as the bank booked higher earnings from service charges, fees, and commissions and a smaller net trading loss.

Meanwhile, total other operating expenses rose by 15.62% to P37.8 billion in the period from P32.69 billion.

WEEKLY FEATURE : MVP Group Keeps Lights On During Pandemic