EastWest Banking Corp., the banking arm of the Gotianun family, achieved a net income of P3.5 billion in the first half of 2024, driven by robust core revenue growth from a larger asset base and higher yields.
Net revenues amounted to P20.3 billion, up 24 percent from the previous year, on the back of a 28-percent increase in net interest income to P16.6 billion, the bank said in a disclosure to the stock exchange Friday.
Net interest margin (NIM) widened to 8.1 percent, supported by a focus on consumer lending, which now represents 82 percent of the bank’s loan portfolio.
Non-interest income rose 12 percent to P 3.7 billion despite a drop in trading income, with a 19-percent rise in fee income to P2.7 billion from consumer lending fees and service charges.
Operating expenses increased 22-percent to P11.6 billion, led by higher costs in manpower, business activities, advertising and marketing, reflecting the bank’s growth strategy to enhance market share.
The bank’s total assets grew 14 percent to P495.6 billion and is poised to surpass the P500-billion mark by year-end.
Total loans and receivables increased 15 percent to P314.1 billion, with consumer loans growing 22 percent, including a 54-percent rise in personal loans, a 34-percent increase in credit cards and a 22-percent boost in auto loans.
Deposits grew 11 percent to P371.4 billion, supported by a CASA ratio of 77 percent.
Capital adequacy ratio stood at 13.1 percent, while common equity tier 1 (CET1) ratio was at 12.3 percent, both above regulatory requirements.
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