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MANILA, Philippines—The country’s leading lender, BDO Unibank, delivered P32.4 billion in net profit in the first nine months of 2021, up by 95 percent from 2020, driven mostly by the decline in loan loss provisioning and the improvement in fee-based earnings.
The nine-month net profit accounted for about 89.5 percent of earnings that market consensus expects BDO to deliver for the whole of this year.
In a disclosure to the Philippine Stock Exchange on Monday, BDO said the outlook has turned “positive with increasing vaccination rates and improving mobility.”
Nine-month loan loss provisioning declined to P10.44 billion from P23.83 billion in the same period last year, when the domestic economy contracted as the COVID-19 pandemic disrupted businesses.
Gross customer loans outpaced the industry with a 5 percent year-on-year increase while total deposits went up by 6 percent, driven by the 14 percent expansion in low-cost deposits which now comprised 85 percent of total deposits.
Non-interest income increased by 13 percent year-on-year to P44.46 billion, partly making up for the 2.3 percent decline in net interest income to P97.55 billion.