BDO Unibank, Inc. (BDO) delivered a net income of P17.6 billion in the first nine months of 2015, higher than the P16.7 billion posted in the comparable period last year on the solid expansion of its core businesses despite the challenging operating environment.

BDO’s lending operations picked up pace with a 19% increase in gross customer loans to P1.2 trillion on sustained growth across its target markets. Likewise, the Bank’s total deposits rose by 12 per cent to P1.6 trillion, led by the 16 per cent hike in low-cost deposits. As such, net interest income (NII) rose by 12 per cent year-on-year to P41.8 billion.

The 3Q results now incorporate the completion of BDO’s acquisition of One Network Bank (ONB) in July this year, thereby adding over P20 billion to BDO’s total loans and deposits.

The Bank’s fee-based service income contributed P13.9 billion to non-interest income, followed by trading and foreign exchange income at P6.3 billion. Overall, the Bank’s gross operating income went up by 11 per cent to P65.6 billion.

Despite increased business volumes and sustained branch expansion, BDO managed the growth of its operating expenses at 11 per cent.

The Bank continued to prudently manage its balance sheet and set aside provisions amounting to P2.7 billion. Gross non-performing loan (NPL) ratio stood at 1.2 per cent vs. 1.4 per cent a year-ago while NPL cover settled at 182 per cent, after the consolidation of ONB.

The Bank’s total capital increased to P192 billion, with both the Capital Adequacy Ratio (CAR) and Common Equity Tier 1 (CET1) ratio comfortably above the regulatory minimum under the Basel III framework at 13.4 per cent and 11.4 per cent, respectively.

BDO’s robust business franchise, focused growth strategy and solid capital base place the Bank in a good position to tap growth opportunities while remaining resilient amid domestic and external challenges.

About BDO

BDO is a full-service universal bank which provides a wide range of corporate and retail banking services that include traditional loan and deposit products, as well as treasury, trust banking, investment banking, private banking, rural banking, cash management, leasing and finance, remittance, insurance, retail cash cards and credit card services.

BDO has one of the largest distribution networks, with more than 1,000 operating branches and over 3,000 ATMs nationwide (including ONB). It also has a branch in Hong Kong as well as 27 overseas remittance and representative offices in Asia, Europe, North America and the Middle East.

BDO ranked as the largest bank in terms of total assets, loans, deposits and trust funds under management based on published statements of condition as of June 30, 2015. For more information, please visit www.bdo.com.ph.