BDO net income reaches ₱73.4 billion in 2023
2024 February – BDO Unibank, Inc. (BDO) delivered a net income of ₱73.4 billion in 2023 from ₱57.1 billion in 2022, from growth across its core businesses. This translated to a Return on Common Equity (ROCE) of 15.2%, up from 13.0% in the previous year.
Net Interest Income grew to ₱186.4 billion as Gross Customer Loans rose by 9% to ₱2.85 trillion with growth across all market segments. Total Deposits increased by 11% to ₱3.57 trillion, with CASA ratio at 72%.
Non-Interest Income reached ₱84.0 billion, supported by fee-based and treasury/FX businesses.
Pre-Provision Operating Profit recorded a 27% growth at ₱113.6 billion, with sustained positive operating leverage. Revenues expanded at a slightly faster pace than operating expenses growth mostly from volume-related costs, continued network expansion and IT investments.
Asset quality continued to improve, with Non-Performing Loan (NPL) ratio declining to 1.85% and NPL coverage increasing to 185% with the Bank’s conservative provisioning policy.
Common equity strengthened to ₱509.7 billion, with Capital Adequacy Ratio (CAR) at 14.9% and Common Equity Tier 1 (CET1) Ratio at 13.8%, well ahead of minimum regulatory levels. Book value per share increased by 12% year-on-year to ₱96.75.
BDO continued its sustainability initiatives, with the Bank’s successful issuance of its second ASEAN Sustainability Bonds last January. BDO raised a record ₱63.3 billion to fund eligible projects, further aiding the country’s sustainable development, including financing of 59 large-scale renewable energy projects, and expanding enterprise-wide efforts to foster positive environmental and social impacts.
BDO’s strong business franchise and market leadership, healthy capital position, and robust financial performance bolster the Bank’s foundation for long-term sustainable growth and profitability, despite continuing challenges in the macroeconomic environment.
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