BPI first-half profit 7.8% higher at P33B

BANK of the Philippine Islands (BPI) posted a net income of P33.0 billion for the first half of 2025, up 7.8 percent from the P30.6 billion it earned during the same period last year.

In a disclosure, the Ayala-led bank said the growth was fueled by robust revenue performance — driven by strong interest income and expanding fee-based businesses — that was partially offset by higher expenses and provisions.

Revenues reached P92.6 billion, up 14.0 percent year-on-year, as net interest income rose 16.2 percent to P71.2 billion.

The strong growth was attributed to an 8.3-percent increase in the average earning asset base and a 32-basis-point expansion in net interest margin to 4.5 percent.

Non-interest income also climbed 7.4 percent to P21.4 billion, led by credit cards, insurance, and wealth management.

Operating expenses, meanwhile, increased 11.7 percent to P42.7 billion due to continued investments in technology and business growth, but the bank’s cost-to-income ratio still improved to 46.2 percent.

BPI booked provisions of P7.3 billion — more than double the year-ago level — with its non-performing loan (NPL) ratio at 2.25 percent and NPL coverage at 123.8 percent.

Total assets stood at P3.4 trillion, with loans growing 14.1 percent to P2.4 trillion and deposits rising 6.5 percent to P2.6 trillion.

Gross loans reached P2.4 trillion, up 14.1 percent, on robust growth across all portfolios, led by strong growth from non-institutional loans.

Total deposits grew to P2.6 trillion while current accounts/savings accounts (CASA) stood at P1.6 trillion, up 2.8 percent from a year ago, with a CASA ratio of 62.4 percent.

The loan-to-deposit ratio reached 90.9 percent.

Total equity stood at P453.5 billion, up 11.5 percent year-on-year, with an indicative common equity tier 1 ratio of 14.5 percent and a capital adequacy ratio of 15.3 percent, both well above regulatory requirements.

BPI shares shed 70 centavos, or 0.58 percent, to P119.00 apiece on Thursday amid a 0.66-percent drop for the benchmark Philippine Stock Exchange index.