BDO Unibank (BDO) Q2 2025 earnings summary

Executive summary

• Net income for 1H25 reached PHP 40.6 billion, up 3% year-over-year, driven by higher net interest income and fee-based services, with return on common equity at 13.9%.

• Maintained market leadership in total assets, loans, deposits, and trust funds as of March 2025.

• Total resources expanded 9% year-over-year to PHP 5.1 trillion, mainly from loan growth funded by deposits.

• Total comprehensive income rose 16% to PHP 44.8 billion, reflecting improved unrealized gains and insurance reserve remeasurements.

• Extensive domestic and international network with 1,821 branches and over 5,800 teller machines nationwide.

Financial highlights

• Net interest income rose 7% year-over-year to PHP 98.1 billion, supported by a 15% rise in net loans and receivables.

• Non-interest income increased 15% to PHP 38.0 billion, with service charges and fees up 18%.

• Gross customer loans grew 14% to PHP 3,427.6 billion; deposits increased 8% to PHP 4,029.9 billion.

• Operating expenses rose 15% year-over-year, mainly due to higher employee benefits, taxes, and advertising.

• Basic earnings per share increased to PHP 7.55 from PHP 7.34 year-over-year.

Outlook and guidance

• Focus remains on expanding sustainable finance, digital banking, and supporting the energy transition.

• Targeting a reduction in coal exposure to below 2% of the loan portfolio by 2033.

• Management expects continued growth in loans and deposits, supported by investments in IT and distribution channels.

• Capital adequacy ratio improved to 15.43%, positioning for further expansion.