BDO Unibank Inc. (BDO) posted a net income of ₱40.7 billion for the first half of the year, as robust lending activity and solid core operational earnings helped offset higher credit provisions set aside for potential macroeconomic risks.

In a disclosure to the Philippine Stock Exchange, the largest lender in the Philippines by assets reported that its first-semester profit was slightly higher than the ₱40.6 billion generated in the same period a year earlier.

Return on equity for the flagship financial unit of Sy family-led conglomerate SM Investments Corp. stood at 12.7 percent during the six-month period.

At end-June, the bank’s loan portfolio grew 15 percent on broad-based expansion across all segments, outpacing industry growth. Total deposits increased 13 percent, while current and savings accounts (CASA) grew four percent.

Net interest income rose 11 percent year-over-year as gross customer loans expanded 15 percent to ₱3.9 trillion, supported by double-digit growth across all segments. Non-interest income increased four percent, led by a 14 percent rise in insurance operations.

Operating expense growth remained contained at a single-digit pace. Disciplined cost management, combined with robust lending activity, resulted in a 12 percent increase in pre-provision operating profit.

Credit cost rose to 67 basis points, reflecting management's proactive approach to potential risks. Provisions were increased as a prudential measure against evolving economic uncertainties.

Asset quality continued to improve, with the non-performing loan (NPL) ratio declining to 1.64 percent from 1.75 percent in the same period last year. NPL coverage stood at 132 percent.

Shareholders' equity rose eight percent, with book value per share increasing to ₱121.78. The bank's Common Equity Tier 1 (CET1) ratio stood at 13.1 percent.

Backed by strong business fundamentals, a healthy balance sheet, and its market leadership position, BDO said it remains well-positioned to navigate prevailing uncertainties and capture opportunities in an evolving business environment.

BDO has the country's largest distribution network, with over 2,000 consolidated operating branches and more than 7,900 automated teller machines nationwide. It also operates 13 international offices in Asia, Europe, North America, and the Middle East, including full-service branches in Hong Kong and Singapore.

The bank also offers digital banking solutions designed to make banking easier, faster, and more secure for its clients.

BDO ranked as the largest bank in the Philippines in terms of total assets, loans, deposits, and trust funds under management, based on published statements of condition as of March 31, 2026. (James A. Loyola)