BDO Unibank, Inc. earned ₱18.5 billion in the first quarter of 2024 on the sustained performance of its core businesses, higher by 12% against the comparable period last year. This resulted in an annualized Return on Common Equity (ROCE) of 14.3% for the first quarter of 2024. This is a key indicator of a bank’s profitability that shows how efficiently a bank uses its capital to generate profits.
Net Interest Income increased by 13% with Gross Customer Loans expanding by 13% indicating an increase in borrowing from the bank. Meanwhile, Deposits expanded by 13%, this growth was primarily driven by low-cost Current Account/Savings Account (CASA) deposits, which are cost-effective for the bank and beneficial for customers.
Non-Interest Income rose by 11% on steady growth of fee-based and treasury/FX businesses and recovery in life insurance premiums.
Asset quality remained stable quarter-on-quarter with the Bank’s continued conservative credit and provisioning policies. Non-Performing Loan (NPL) ratio stood at 1.88% while NPL coverage settled at 181%.
Common equity increased by 12% on continued profitable operations. Book value per share improved by 12% year-on-year to ₱99.23.
These data were presented earlier at the Annual Stockholder Meeting by BDO president and CEO Mr. Nestor V. Tan providing insights into the company’s performance over the past year and discussed the outlook for 2024 which he maintained were cautious but steady.
BDO’s mission to “be the preferred bank in every market it serves” anchors its business philosophy of pursuing long-term growth and profitability, while sustaining market leadership backed by a strong balance sheet and diversified business franchise.
