Insider Spotlight
Net income reached P14.5 billion, while gross loans expanded 17 percent to P1.1 trillion, fueled by demand from both corporate and consumer borrowers.
Chinabank’s profit measures via return on equity (15.1 percent) and return on assets (1.6 percent) stand among the highest in the banking industry.
Loan book grows over last year, steady from Q1
Gross loans expanded by 17 percent to P1.1 trillion over the past year and steady from the first quarter’s P1.1 trillion.
Net interest income during the first half climbed 14 percent to P39.7 billion as margins widened to 4.67 percent.
Balance sheet keeps expanding
The bank’s total assets approached the P2 trillion mark after rising 13 percent to P1.9 trillion, while deposits increased 14 percent to P1.5 trillion.
Low-cost checking and savings accounts grew 20 percent, improving funding costs and lifting the CASA ratio to 49 percent.
Book value per share climbed 11 percent to P71.46, while return on equity remained among the industry’s highest at 15.1 percent.
Asset quality holds firm
Unlike many banks that are building provisions as lending expands, Chinabank reduced its non-performing loan ratio to 1.5 percent, better than the industry average, while maintaining a 106 percent coverage ratio.
During the period, it recognized P1.2 billion in impairment and credit loss provision.
The bank also kept a strong capital position, with a capital adequacy ratio of 15.6 percent, as it continued investing in digital banking platforms for corporate and retail customers.
—Edited by Miguel R. Camus
