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Keisha Ta-Asan - The Philippine Star
July 18, 2025 | 12:00am
In a disclosure to the local bourse, Ayala-led BPI said total revenues grew by 14 percent to P92.6 billion, propelled by a 16-percent increase in net interest income to P71.2 billion.
PNA / Photo courtesy of BPI
MANILA, Philippines — The Bank of the Philippine Islands (BPI) posted a net income of P33 billion in the first six months, 7.8 percent higher than the P30.6 billion in the same period last year, driven by double-digit revenue growth despite higher operating costs and loan loss provisions.
In a disclosure to the local bourse, Ayala-led BPI said total revenues grew by 14 percent to P92.6 billion, propelled by a 16-percent increase in net interest income to P71.2 billion.
The bank attributed the expansion to an eight-percent rise in average earning assets and an improvement in net interest margin by 32 basis points to 4.58 percent.
Non-interest income rose by seven percent year-on-year to P21.4 billion, supported by continued growth in the bank’s fee-based businesses, particularly credit cards, insurance and wealth management.
Operating expenses climbed by 11.7 percent to P42.7 billion, reflecting increased spending on technology, business expansion and manpower. Still, BPI’s cost-to-income ratio improved by 96 basis points to 46.2 percent on the back of strong topline performance.
The bank set aside P7.3 billion in loan loss provisions during the period, more than double the P3 billion it booked last year. BPI’s non-performing loan ratio stood at 2.25 percent, while NPL coverage improved to 97.1 percent as of end-June, or 123.8 percent based on central bank standards.
Total assets expanded by nine percent year-on-year to P3.4 trillion, while gross loans increased by 14 percent to P2.4 trillion, led by sustained growth across consumer and corporate segments.
The lender’s total deposits reached P2.6 trillion, up by 6.5 percent, with low-cost current account/savings account deposits rising by 2.8 percent to P1.6 trillion, representing 62.4 percent of total deposits.
BPI’s loan-to-deposit ratio stood at 90.9 percent, while total equity rose by 11.5 percent to P453.5 billion. The bank maintained a strong capital position, with a common equity tier 1 ratio of 14.5 percent and a capital adequacy ratio of 15.3 percent, both well above regulatory thresholds.
In June, BPI raised P40 billion through the maiden issuance of its Supporting Inclusion, Nature and Growth (SINAG) Bonds under its P200-billion bond and commercial paper program.
The peso-denominated fixed-rate bonds have a 1.5-year tenor and pay 5.85 percent interest annually. The issuance is listed on the Philippine Dealing and Exchange Corp.
