Metropolitan Bank & Trust Company (MBT) investor relations material

Executive summary

• Net income for 1H26 was stable at PHP 24.9bn, supported by asset expansion, stable margins, and healthy fee income growth.

• Total assets reached PHP 3.92 trillion as of June 30, 2026, up by PHP 37.61 billion from December 31, 2025, driven by growth in loans and receivables and interbank loans.

• Comprehensive income dropped to PHP 10.70 billion from PHP 28.15 billion due to unrealized losses on FVOCI securities.

Financial highlights

• Net interest income for 1H26 rose 12.83% year-over-year to PHP 67.74bn, with NIM stable at 3.74%.

• Operating expenses increased 10.09% to PHP 42.44bn, with cost-to-income ratio up 2.4 pts to 52.4%.

• Non-interest income was impacted by a 75.9% drop in trading and FX gains, and other operating income declined 20.99% to PHP 13.90bn, but fee income grew 3.2%.

• Provision for credit and impairment losses rose to PHP 7.46bn from PHP 5.88bn year-over-year.

• Basic/diluted EPS for 1H26 was PHP 5.54, up from PHP 5.52 in 1H25.

Outlook and guidance

• Substantial NPL cover provides flexibility to manage credit costs amid rising risks.

• Solid balance sheet and liquidity ratios position the bank to support loan demand recovery once macro uncertainties ease.

• The bank expects capital expenditures of PHP 3.0–5.0bn for 2026, with 70% allocated to IT.

• No significant trends or uncertainties are expected to materially impact liquidity or operations.

• Weak consumer and business sentiment, geopolitical and domestic political challenges, and volatile markets pose risks to loan demand and asset quality.