Rizal Commercial Banking (RCB) Q4 2025 earnings summary

Executive summary

• FY2025 saw strong profitability driven by consumer loan growth and digital transformation.

• Net income rose 10.9% year-over-year to ₱10.6B, with gross income up 18.5%.

• Digital loan availments accounted for 65% of unsecured loans, reflecting robust digital adoption.

• Recognized for digital excellence, winning Best Bank for Digital by Euromoney for the sixth consecutive year.

• Audited financial statements for 2025 and 2024 were approved by the Board on Feb 23, 2026, and present a true and fair view in accordance with PFRS standards.

• The audit opinion is unqualified, with the key audit matter being the valuation of expected credit losses (ECL) on loans and receivables.

Financial highlights

• Net profit for 2025 was P10,558 million, up 11% from P9,520 million in 2024.

• Net interest income surged 32.1% year-over-year, supported by a 4.8% net interest margin.

• Fee income increased 24.7% year-over-year, while operating expenses rose 10.1%.

• Gross loans and receivables increased to P803,412 million from P742,497 million year-over-year.

• Cost-to-income ratio improved to 55.4% from 59.5% year-over-year.

Outlook and guidance

• Philippine GDP growth forecasted at 5.3%-5.8% for 2026, with continued US Fed and BSP rate cuts expected.

• BSP policy rate projected to decline to 3.75%-4.25% by end-2026, supporting lending and economic expansion.

• Peso expected to remain stable, with USD/PHP at 58-59 levels.

• Management updated scenario assumptions and applied sector overlays to ECL models to reflect potential cash-flow disruptions and heightened credit risk in certain sectors.

• The Group continues to focus on higher-yield loans, disciplined portfolio management, and growth in low-cost funding to protect net interest margins amid market volatility.